Two defendants facing felony racketeering charges connected to alleged prostitution at day spas in Indian River County have changed their pleas, marking a first in the case.
Kenneth Zullo, 65 and Yan Xu, 51 have pleaded no contests to one misdemeanor count each, according to court records. Both will avoid more jail time as a result.
The multi-agency investigation into alleged prostitution at the spas resulted in charges against over 150 men for allegedly soliciting prostitution.
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On May 31, Yan Xu had a change of plea hearing and entered a plea of no contest to engaging in prostitution. Prosecutors dropped two felony counts against her. Xu had initially pleaded not guilty to all charges in the case.
Monday, Zullo pleaded no contest to a lesser misdemeanor charge. He initially faced one felony count of racketeering in the case. The judge agreed to withhold adjudication against Zullo as part of the plea.
Both Zullo and Xu were ordered to pay thousands of dollars in fines and fees as part of the plea agreements.
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Several other defendants face felony charges for alleged involvement in the day spas, including Lanyun Ma, the only person charged with human trafficking by way of racketeering in the case.