In a surprising turn of events in Tokyo’s Kabukicho red-light district, police arrested the CEO and manager of a major adult video company—not for anything inherently illegal, but for operating without the proper business license.
Soft on Demand (SOD), one of Japan’s biggest AV producers, ran SOD Land, a venue it proudly marketed as an “adult theme park.” The main attraction? Fans could pay to drink and interact one-on-one with SOD’s adult video stars.
Legal Business, Missing Paperwork
Businesses where staff sit and drink with customers (involving light physical contact) are perfectly legal in Japan. However, they fall under the Entertainment Law (Fūeihō) and require a specific “social bar” (shakō inshokuten) license—similar to cabaret clubs, host clubs, or snack bars.
SOD Land apparently skipped this step.
The venue featured a rotating cast of around 600 women, mostly SOD actresses. There were dedicated floors: one for mingling with top stars and another for newer talent. Customers paid ¥3,000 for a one-hour session, with additional drinks and services pushing costs up to ¥5,000 or more.
Millions Made Without a License
The shop had been operating without the required license since October 2020. According to reports, it pulled in roughly ¥700,000 per night (about $5,300 USD), totaling around $5 million USD over two years.
In December 2022, Kabukicho’s Public Safety Unit and Tokyo police visited the premises, warned management about the violation, and instructed them to obtain the proper license. Management ignored the warning.
On March 14, 2023, authorities returned, confirmed the illegal operation, and arrested the 27-year-old store manager, Higuchi Gou. The following day, they arrested SOD’s CEO, Iguchi Shou.
Impact on Fans and Actresses
SOD Land quickly announced a “temporary break” on Twitter and issued an apology to affected customers. Comments were disabled on the post, but reactions poured in via quote tweets. Disappointed fans lamented canceled plans, while several SOD actresses publicly noted the financial hit to their side work and livelihoods.
In statements after the arrests, CEO Iguchi acknowledged that the business required proper licensing for its customer-interaction format. The manager claimed he was simply following company policy.
It remains unclear why a major company like SOD chose to operate this way for so long despite the obvious risks.
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