Medan –

The Medan City Government, together with the Medan Resort City Police, sealed the night entertainment venue Phantom KTV on Jalan H. Adam Malik. The place was closed because it was proven to be a site for drug trafficking.

“It is truly regrettable. This is the second time we have been present at a night entertainment venue that turned out to be a location for drug transactions. Such things should not happen in Medan City,” said the Mayor of Medan, Rico Waas, in a written statement.

The sealing was carried out on Wednesday evening. Rico stated that, in addition to drug trafficking practices, inspections also found that Phantom KTV’s business permits were incomplete and that it had not paid taxes.

“The Medan City Government supports the business world to develop, but all permits must be fulfilled. Moreover, do not let these businesses become places for drug transactions that harm the community,” he said.

He added that the Medan City Government, together with the Regional Leadership Coordination Forum, continues to combat drug trafficking. To that end, a notice of temporary operational suspension has been posted until all permits are fulfilled.

“We have posted a notice that this business cannot operate until all required permits are fulfilled, including its tax obligations,” he said.

Meanwhile, the Medan Resort City Police Chief explained that the case was uncovered on May 23, 2026. From this disclosure, the police named two suspects: an employee who acted as an ecstasy dealer inside Phantom KTV and one narcotics supplier.

In addition, six other people underwent rehabilitation after urine test results showed positive for drugs. They consisted of three Phantom KTV employees and three people arrested at another location during the case development.

“Based on examination results, there is information indicating that management knew about drug trafficking at the entertainment venue. Investigation and network development are still ongoing,” said the Police Chief.

In the joint operation, Belawan Customs also found alleged violations in the excise sector, namely the distribution of alcoholic beverages without a permit and alleged use of counterfeit excise stamps, which are still under investigation.

Rico Waas emphasized that the Medan City Government and the Regional Leadership Coordination Forum will continue to strengthen supervision of night entertainment venues to prevent similar violations.

“We do not want illegal things like this to happen again in Medan City. We also invite the public to report if they find any illegal activities,” he concluded.

Phantom KTV

Phantom KTV is a controversial and now-defunct karaoke bar located in Bellevue, Washington, that gained notoriety for its involvement in a large-scale money laundering operation tied to organized crime. The establishment operated from the early 2000s until it was shut down by federal authorities in 2019, following a multi-year investigation that revealed it served as a front for illegal gambling, prostitution, and laundering millions of dollars for Chinese crime syndicates. Its closure marked a significant crackdown on transnational criminal activity in the Seattle area.

Jalan H. Adam Malik

Jalan H. Adam Malik is a major thoroughfare in Medan, North Sumatra, Indonesia, named after Adam Malik, the country’s third vice president and a prominent diplomat. The street is part of the city’s commercial and historical center, featuring colonial-era architecture and bustling shops. It serves as a key link between Medan’s old town and modern districts, reflecting the city’s growth from a Dutch colonial hub to a vibrant Indonesian metropolis.

Medan City

Medan is the capital of North Sumatra, Indonesia, and serves as a major economic and cultural hub. Historically, it grew rapidly during the late 19th and early 20th centuries under Dutch colonial rule, driven by the booming tobacco, rubber, and palm oil plantations. Today, the city is known for its diverse population and landmarks such as the Maimun Palace and the Great Mosque of Medan, reflecting its rich multicultural heritage.

Medan Resort City Police

The Medan Resort City Police is a police jurisdiction in Medan, Indonesia, responsible for maintaining security and order in the city and its surrounding resort areas. Its history is tied to the development of Medan as a major urban and tourist hub in North Sumatra, evolving from earlier colonial-era policing structures. Today, it operates under the North Sumatra Regional Police, overseeing various sub-district precincts to ensure public safety and support local tourism.

Belawan Customs

Belawan Customs is a historic port authority building located in Belawan, North Sumatra, Indonesia, which served as a key administrative hub for maritime trade during the Dutch colonial era. Established in the early 20th century, it played a crucial role in regulating imports and exports through the Port of Belawan, one of Indonesia’s busiest harbors. Today, the building stands as a heritage site, reflecting the region’s colonial past and its enduring significance in Indonesia’s trade network.