The Pascha brothel in Cologne is embroiled in a financial scandal involving Chinese investors and a significant bank loan.

The Pascha, Europe’s largest brothel, is at the center of a criminal investigation involving a bank executive and a €5 million loan. The inquiry, initially focused on a human trafficking case, revealed suspicious financial dealings tied to the brothel’s property.

During the pandemic, the Pascha filed for bankruptcy, leading to a proposed sale to a family from Macau. To facilitate the deal, a bridging loan was secured from Volksbank Köln Bonn, despite internal concerns about the transaction’s legitimacy. Investigations suggest a close relationship between the lawyer involved and the bank’s management, raising questions about the approval process for the loan.