A Queens man admitted in federal court to laundering millions of dollars from a prostitution operation run through spas in the Capital Region.
Ming Xia, 41, of Flushing, pleaded guilty March 3 to conspiracy to commit money laundering involving proceeds from a prostitution enterprise.
Federal prosecutors said Xia operated several spas where employees provided commercial sex services to customers.
The businesses generated more than $2 million, which investigators said Xia laundered through third parties and used to buy assets, including real estate.
As part of his plea agreement, Xia agreed to forfeit $198,000 in cash seized by law enforcement along with two commercial properties and four residences.
Authorities said the case involved a joint investigation by the FBI, Homeland Security Investigations, the Internal Revenue Service Criminal Investigation division, and the New York State Police.
Sentencing is scheduled for July 1 before U.S. District Judge Anne M. Nardacci.
Xia faces a maximum sentence of 20 years in prison and a possible fine of up to $500,000, along with up to three years of supervised release.
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