Federal Charges Filed Against Sushi Chain for Harboring Illegal Immigrants

Underground Labor Network Detected in Arizona Sushi Restaurant

Neighbors Alerted Authorities Without Response

ICE Uncovers Extensive Operation

The owner and two managers of a sushi restaurant chain in Arizona were arrested on federal charges related to harboring undocumented immigrants and operating what investigators describe as a human trafficking network in the East Valley.

Court documents state that Yung Lau, a naturalized U.S. citizen originally from China, along with two managers—including his brother—kept dozens of undocumented immigrants in four so-called “stash houses.”

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According to the charges against the sushi chain, the workers were forced to work seven days a week without days off under a strict control system.

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The restaurants involved were Sakura Sushi, with locations in Gilbert, Mesa, and Phoenix, and Akita Sushi in Scottsdale.

Federal agents raided all four restaurants and the four residences last week, shutting down an operation that neighbors say had been reported to local authorities since 2023.

Neighbors Warned for Years About Suspicious Activity

HOLY CRAP! The Trump administration just busted an illegal alien STASH HOUSE and de facto indentured servitude scheme in Arizona

Dozens of illegals hired, kept in crammed houses, and underpaid, worked 7 days a week. The employer is being CHARGED.

«There were 4 restaurants… pic.twitter.com/PcdyrRnCfL

— Eric Daugherty (@EricLDaugh) December 21, 2025

Residents living near the stash houses said they noticed unusual patterns for years, according to AZ Family.

Brandy Forman, a neighbor of one of the homes in Tempe, said a white van would leave every day around 9 a.m. and return close to 9 p.m.

At night, she said, the vehicle would come back full of men who entered the house silently and avoided eye contact.

Forman said she felt uneasy due to the number of men and the nervous behavior they displayed.

Gary Gallagher, a neighbor of another home in Mesa, described similar scenes.

He said the people living there were extremely withdrawn, turned their backs if someone looked at them, and were never seen outside the house.

Court documents indicate that neighbors contacted the Tempe Police Department in 2023 and 2024 to express their concerns.

Tempe police stated that patrol units attempted to gather information but were unable to establish probable cause.

Gilbert police were also alerted in May of last year and said the reported activity did not constitute criminal behavior nor involve immigration issues, so charges were not filed against the sushi chain at that moment.

Federal Investigation Reveals Structure of the Operation

Arizona sushi chain behind stash houses holding migrants & exploiting them, feds sayhttps://t.co/uBt63c4Zex pic.twitter.com/fEobfszkIv

— David Baker (@MrDBake) December 20, 2025

According to court records, Immigration and Customs Enforcement (ICE) launched an investigation in March.

Undercover agents observed at the Phoenix restaurant that employees of Chinese origin directed operations, while Hispanic workers had very limited interaction with customers.

A former ICE agent who reviewed the complaint described the case as larger than typical workplace enforcement operations.

The investigation alleges that about 10 undocumented immigrants were housed in the Tempe residence, while others lived in properties tied to the restaurant operation in Mesa.

Workers were transported daily between the houses and the restaurants in white vans.

Yung Lau and Zhen Liu are facing charges for harboring undocumented immigrants and knowingly employing unauthorized foreign nationals.

Lau’s home was also searched, and his attorney declined to comment on the charges.

Qin Liu, identified as Lau’s brother, is also charged with harboring undocumented immigrants.

Some of the immigrants found in the residences remain detained as material witnesses. All three defendants are scheduled to appear in federal court on December 30.