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June 25, 2014

FBI, IRS Shutter SF-Based Escort Sites, Arrest Two

LOS ANGELES—A joint operation conducted by the FBI and IRS as part of the nationwide crackdown on child sex trafficking called Operation Cross Country has resulted in the closure of two escort sites operated out of the San Francisco area, and the arrest of two people alleged to have operated the businesses. According to KCRA.com, "Two San Francisco-based escort websites were shut down by the FBI and the IRS on Wednesday and the sites' two alleged proprietors appeared in federal court, accused of facilitating prostitution and money laundering. The sites, MyRedBook.com and SFRedBook.com, advertised free listings for services ranging from massage parlors, strippers, dominatrixes and escorts throughout the western U.S." The article continued, "The site's two alleged proprietors—identified as 53-year-old Eric 'Red' Omuro of Mountain View and 40-year-old Annemarie Lanoce of Rocklin—are accused of facilitating prostitution using interstate communication and laundering more than $5 million in revenue from the sites since April 1, 2010." In a statement issued after the closures, the U.S. Attorney's office said, "The website[s] hosted advertisements for prostitutes, complete with explicit photos, lewd physical descriptions, menus of sexual services, hourly and nightly rates, and customer reviews of the prostitutes’ services." Omuro is accused of using numerous aliases to move funds from the site into his control. The indictment seeks the forfeiture of more than $5 million in assets including bank accounts at four different banks, investments, a BMW and a Mini Cooper." Not everyone is pleased with the action. According to the San Francisco Examiner, "Kristina Dolgin, a spokeswoman for the Bay Area chapter of the Sex Workers Outreach Project, expressed concern that the raid would adversely [affect] a broad swath of local sex workers. Because it is free for escorts to post ads on MyRedbook, Dolgin said, 'This will be impacting the most marginalized workers.'" Dolgin added, "Using an online platform, there is at least the opportunity to interact with the client from a distance. People may have to resort to less safe means of supporting themselves." The Examiner also noted, "MyRedbook has also been a resource for law enforcement targeting pimps. Local police have used the website to conduct stings. In 2011, San Mateo County prosecutors used the site to arrest several suspects who were believed to be pimping underage girls." The two suspects were arraigned in San Francisco federal court this morning. Both are charged with one count of interstate travel in the aid of a racketeering enterprise, and Omuro, who was released on $500,000 bail and is due back in court Friday, was also charged with an additional twenty-four counts related to money laundering. A status conference is scheduled for July 10 before U.S. District Judge William Orrick, added KCRA.

 
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