Immigration New Zealand (INZ) has welcomed the forfeiture of over $1 million NZD in assets, marking the final step of a complex and sustained operation into Sun Entertainment Ltd and its director, Hongxia Chen (also known as May Chen).

The investigation, which began in July 2021, uncovered serious breaches of the Immigration Act and Prostitution Reform Act. It involved allegations that Ms Chen employed Chinese nationals as sex workers, some of whom were in New Zealand unlawfully and potentially being exploited.

“This has been a significant and sustained operation involving multiple agencies over several years,” said Steve Watson, General Manager Immigration Compliance and Investigations. “We do not tolerate this kind of offending. It undermines the integrity of our immigration system and puts vulnerable people at risk.”

The investigation led to multiple enforcement actions, including the execution of search warrants in May 2022 across Auckland and Tauranga, where four unlawful migrants were located. Ms Chen was subsequently charged with seven counts of aiding and abetting unlawful employment. She pleaded guilty to five charges and was sentenced to five months of community service in November 2022.

In December 2022, restraint orders were issued under the Criminal Proceeds (Recovery) Act, covering a Mt Maunganui property valued at over $1 million, $144,000 in cash, and a vehicle.

In September 2025, a court-approved settlement confirmed the forfeiture of all known New Zealand-based assets held by Ms Chen.

“This final step sends a strong message,” said Mr Watson. “Not only will we hold people accountable through the courts, but we will also ensure that they do not profit from illegal activity. We are pleased with this outcome and proud of the work our teams have done, alongside New Zealand Police and other government agencies, to bring this case to a close.”

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