Suspected ''Fake Mergers, Real Immigration'': Chaos as Chinese Acquisitions in Japan Lead to Unpaid Wages
Chinese-owned companies are allegedly acquiring Japanese hotels and nursing homes as a front to help investors obtain residency visas. This ''fake merger'' scheme has led to the closure of dozens of facilities, leaving employees unpaid and elderly residents displaced.
📋 Article Processing Timeline
- 📰 Published: May 3, 2026 at 14:47
- 🔍 Collected: May 3, 2026 at 15:01 (14 min after Published)
- 🤖 AI Analyzed: May 3, 2026 at 15:05 (3 min after Collected)
A wave of sudden closures at prominent Japanese hotels has led to media investigations uncovering a pattern of acquisitions by a company led by a Chinese-born president. The firm has acquired at least 37 hotels and nursing care facilities across Japan, primarily in the Kanto region, since 2020. However, at least 24 of these have already ceased operations. Former employees have come forward alleging that these acquisitions are part of a scheme to obtain Japanese ''Business Manager'' visas for Chinese investors, resulting in widespread issues including unpaid wages and the sudden termination of elderly care services.
In one instance, the Shin Daishin Hotel in Choshi, Chiba, went silent last November, leaving many tourists stranded. Despite claims by the new owner that the hotel was undergoing renovations for a spring reopening, site visits in April showed no signs of construction. Investigations revealed that the company frequently purchases struggling facilities for low sums (1–5 million yen) and resells them to Chinese investors for vastly inflated prices (40–100 million yen). Marketing materials in Beijing explicitly mention ''immigration'' and ''permanent residency'' through investment in these facilities. While the company''s lawyer claims wage issues are ''mostly resolved'' and operations are standard M&A, affected staff report millions in unpaid salaries and severe disruption to the lives of the facilities'' residents.
In one instance, the Shin Daishin Hotel in Choshi, Chiba, went silent last November, leaving many tourists stranded. Despite claims by the new owner that the hotel was undergoing renovations for a spring reopening, site visits in April showed no signs of construction. Investigations revealed that the company frequently purchases struggling facilities for low sums (1–5 million yen) and resells them to Chinese investors for vastly inflated prices (40–100 million yen). Marketing materials in Beijing explicitly mention ''immigration'' and ''permanent residency'' through investment in these facilities. While the company''s lawyer claims wage issues are ''mostly resolved'' and operations are standard M&A, affected staff report millions in unpaid salaries and severe disruption to the lives of the facilities'' residents.