The Champagne Room near Interstate 10 and 40th Street looks like a strip club, but police say it's actually a house of prostitution. Officers raided the building Tuesday and arrested four people.
It took two years of investigating for authorities to bust the place. Police say the business owner, her boyfriend, and two women who worked there as prostitutes have been arrested.
Phoenix police sent undercover officers inside the business. Customers were allegedly given a menu where they could pick from a variety of services.
"Would charge anywhere between $300 to $900 for specific sexual acts," says Phoenix Police Sgt. Steve Martos.
Police were first notified about this place after business owners and employees in the nearby industrial area complained.
"Some girls would stand on the street corner of 40th and flip signs to advertise the business, other girls just stand out front and try to get your attention as you drive by, they play loud music," says Shawne Wilson, who works nearby.
"We hardly saw them..they'd come out every now and then, but we thought it was just a strip joint because of the way they were dressed. They were dressed in nothing, but not in our wildest dreams did we think anything was going on, other than that," said a business owner who did not want to be identified.
Owner Janet Fiore, boyfriend Sterling Costa, and suspected prostitutes Margaret Pahssen and Tiphany Finklea are facing numerous charges.
$6,000 in cash was found inside the Champagne Room. A search warrant was also served on Fiore's home in Surprise, near 107th Avenue and Bell Road.
Police are now trying to track down other employees who may have worked there. More arrests are expected.
Video: FOX 10's Mia Garcia reports.
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