In Palau, a state governor, a business executive and two Filipino nationals are facing charges in relation to prostitution and money-laundering operations.
The Peleliu governor, Temmy Shmull, is charged with soliciting prostitutes at a karaoke bar in Koror.
The Marianas Variety reports the man running the establishment is facing employment restriction charges and failing to obtain a foreign investment approval certificate needed when operating a business with a foreign national.
The owner of the bar, Grace Baconga, who is a Filipino national and a local sponsor, Jeryl Blas, who is also originally from the Philippines, are facing charges of people trafficking, advancing prostitution, profiting from prostitution and money laundering.
The bar closed after a police raid a month ago.
According to the paper, there have been reports that three female workers fled from the bar, saying that the DJ assaulted one of them.
The workers say they were recruited in the Philippines to work as waitresses or cashiers at a fine dining restaurant, but were shocked to find they were to work as so called guest-relations officers at the bar.