Accused pimp made thousands, police say

The classified ad for Fuji Oriental Therapy Massage featured a picture of an attractive woman and offered services including a sauna, steam beds and a body shampoo.

But court records released Tuesday portray a seedy side of the Horizon Drive business, one that reportedly defined it during its entire 12-year existence.

Those records allege 58-year-old Fuji Massage owner and operator Nan O’Reilly made tens of thousands of dollars — and potentially much more —via prostitution and used the proceeds to hire prostitutes, pay property taxes on the massage parlor building and purchase property in Colorado Springs. She also used the money to pay homeowners association dues on her Grand Junction home, where she and, often, some of the prostitutes live, according to the records.

Prosecutors on Tuesday charged O’Reilly with two felony counts each of racketeering and pimping and misdemeanor counts of keeping a place of prostitution, promoting sexual immorality and pandering.

She also was charged with a felony count of filing a false tax return in 2007. Authorities say she reported $229,531 in income while her banking records show she collected at least $70,208 more.

Mesa County Chief Deputy District Attorney Dan Rubinstein said the fact O’Reilly collected that much reported and unreported income in a single year is indicative of just how much prostitution was going on at Fuji Massage.

“For a roadside Asian massage parlor in Grand Junction, Colorado, we take that to be an indication that this is a large corporation that is operating with multiple businesses sheltering and hiding money and using various businesses to purchase real estate,” he said.

A criminal complaint filed Tuesday indicates O’Reilly, and two companies she formed, Spring LLC and Spring Inc., owned and managed Fuji Massage. Suk Young Yu, 52, an employee who also faces charges in connection with the investigation, ran the massage parlor from 2005 to 2007 in O’Reilly’s absence.

O’Reilly told detectives that “straight,” legitimate massages cost $60 an hour. But clients who were contacted by detectives admitted paying anywhere from $100 to $300 for a variety of sex acts, police said.

The complaint details 58 separate dates between June 2004 and March 2008 on which clients paid nearly $15,000 for prostitution services using Discover credit cards. Prosecutors are using those instances to support one of the racketeering charges. Those clients were only identified in the complaint by their initials and hometowns.

The nearly $15,000 amount doesn’t include money Fuji Massage received from clients who paid with other credit cards or cash. Rubinstein said authorities still are collecting information and investigating Fuji Massage, as well as reviewing other tax returns filed by O’Reilly.

The complaint cites two instances in which police contacted johns who admitted they paid for sex from Fuji Massage employees.

In one case, officers discovered a Grand Junction man used a Discover credit card to pay for $218 in services in February 2003. The man told detectives the charge, as well as several other cash transactions that occurred later, paid for sex acts.

In the other case, officers found a Lakewood man charged a total of $1,062 to his Discover credit card for services.

The man visited the massage parlor three different times between August 2004 and May 2005 and admitted the charges were for sex acts.

O’Reilly remains in the Mesa County Jail on $250,000 bond. She will return to court Dec. 10.


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