Tokyo Metropolitan Police have arrested a 45-year-old man and four of his staff for allegedly running an illegal poker parlor in Shinjuku Ward that investigators suspect funneled money to the yakuza, Tokyo Reporter reported.
Hiroki Sei, a company executive who lives in Suginami Ward, and four other men and women were arrested during a raid on Oct 25 at a multi-tenant building in Aizumicho. Police say Sei managed the parlor. All five face charges of opening a gambling establishment for profit.
Sei has partially denied the allegations. He told investigators there was "no doubt I made a profit through participation fees," but denied taking a commission directly from the games, Tokyo Reporter reported.
A 10 percent take on every win
Police say the parlor let customers play poker with bets of up to ¥4,000 a hand. The house allegedly took a 10 percent cut of winning players' payouts, a fee known in poker as a rake.
Investigators estimate the operation brought in about ¥120 million between July 2025 and October 2026. They are now tracing the money, suspecting that part of the profits went to organized crime syndicates.
Officers also arrested seven male customers, aged in their 20s to 40s, at the scene on suspicion of illegal gambling.
Poker's gray zone in Japan
Gambling for profit is illegal in Japan except in narrow cases such as state-run racing and pachinko, where winnings are exchanged for prizes rather than cash. Poker rooms have opened across Tokyo in recent years by charging entry and seat fees, which operators argue keeps them clear of the law.
Taking a percentage of the pot is where that argument breaks down. A rake ties the house's income directly to the stakes being played, which is the conduct police are now pursuing.