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Dentsu Executive Offends and Humiliates Employee With Brothel & Onsen Trips

The Associated Press is reporting some embarrassing news about Dentsu, Japan’s largest advertising agency. Steve Biegel, a former executive of Dentsu’s U.S. branch, is suing the company because CEO Toyo Shigeta forced Biegel into awkward, sexually charged situations:

Shigeta took them to a brothel, leaving Biegel, who is married, offended and humiliated that he had been forced or duped into going there, the lawsuit said.

It said Shigeta later demanded they participate in prostitution and became angry when they did not, accusing them of being “no fun.”

The lawsuit said Shigeta later told them that having sex with prostitutes was a proper style of conducting business and commemorating business dealings.

According to the lawsuit, Biegel, of Woodbury, N.Y., was “horrified, offended and humiliated by this sexually debasing experience of being forced to attend a brothel imposed on him as a condition of his employment.”

On another business trip to Tokyo in October 2004, Shigeta insisted that Biegel and two other employees accompany him to a Japanese bath house where they were instructed to climb naked into a bath with Shigeta, the lawsuit said.

Biegel confronted Shigeta in spring 2006, telling him he almost complained to human resources about the bath house experience, the lawsuit states. Afterward, Shigeta’s attitude and demeanor toward Biegel changed completely and he was fired in November 2006, the lawsuit said.

A clash of two opposing business cultures?

Update: Gothamist has posted Shigeta’s infamous Sharapova upskirt photo, as well as a link to a pdf of the court documents.

Update 2: Some interesting details about the Japanese style of doing business are revealed in the court documents:

Shin Fukushige writes on his blog that the Japanese media might avoid covering this news story, but I’m really hoping they do, since I’m quite interested in how they’d actually describe some of the allegations.

38 comments - What do you think? Posted by James - November 2, 2007 at 9:13 pm

Categories: Foreigners in Japan Tags: dentsu, japan, sex

The Overthinker

Biegel’s got a smeg of a lot to learn about his parent company’s land. Okay, the brothel thing was a bit over the top, but only a bit – I can easily imagine it happening, and all Biegel has to do is go into the room and talk for 90 mins if he doesn’t want to do anything more. But yeah, you could say that Shigeta could have used a bit more discretion. But suing for being taken to an onsen? Blowing up at your boss for that would definitely ruin your personal relationships – Shigeta seems to have been guilty of nothing more than over-enthusiasm here. And I hope Biegel doesn’t include the onsen in his “sexually charged situations”.

Funny – is everyone who sues for this kind of lawsuit “humiliated” by the actions they don’t like? I hear it so often it seems like a convenient legal fiction.

It’s not embarrassing news about Dentsu; it’s embarrassing news about Biegel. But hey, if he’s not there any more, I’ll take Biegel’s place….

Karisu

So, you think trying to force married man to have sex with a prostitute is only a bit over the top? And forcing a man to bath with you nude is fine as well? That may be well and fine for Japanese people, but most Americans (which, let’s remember Biegel is) would not find that experience enjoyable.

Regardless of how these things are accepted in Japan, Biegel worked for the U.S. division of the company and his Japanese boss should not be trying to force things upon his employee that he finds highly uncomfortable and objectionable.

I stand behind Biegal 100% on his action to sue for, what I see as, clear sexual harassment. As I said before, Biegal was employed in the U.S., not in Japan, and Dentsu is held to the same standards as any other company that has offices in the U.S. They have to follow the same rules that everybody else does. The activities Biegal was being pressured into clearly fall under sexual harassment by U.S. law.

The Overthinker

He was in Japan at the time. He could have avoided both the sex and the confrontation by just doing nothing for 90 minutes, and to consider the bathing thing as “sexual harassment” is just wrong: Japanese men bathing together is not a sexual situation. So I definitely hope that part of his suit is tossed out.

http://sleepytako.blogspot.com David

I totally agree. Yea, a Czech brothel, I’m not too sure about that, but an onsen. Jeez. (Check my other reply later in the comments about onsen.) This overpaid tiwt should have considered this before joining a Japanese company. Thinking that everyone who is different has a deficit somehow is typical American thinking that’s destroying the country.

Kansai-boy

What the hell, I wish I worked for Dentsu. That sounds awesome!
revil

My guess is the whole prostitution thing is a simple misunderstanding. Probably he was taken to a hostess bar, which is quite common in the business world here. But from a westerners perspective, it might have looked like a brothel of sorts. Hell, when I first came to Japan, that’s what I thought it was too.

The Overthinker

No, I’d say it would definitely have been a Soapland.

http://zaciroth.deviantart.com/ zaciroth

The brothel…yeah he could have smooth talked his way out of that…but the onsen…grow up thats no big deal at all.
mediocre

Regardless of how it is done in Japan, he was employed in the USA and as such this behavior isn’t seen as acceptable. If he can prove in court that his lack of enthusiasm for these situations contributed to his firing, he has a case regardless of “customs” or “culture” or whatever bullshit people would like to tell him to get over.
john

The original AP report mentions the prostitutiuon incident as occuring in the Czech Republic. Brothel is probably more likely than Soapland. If it occured in Japan, you could excuse it as culture perhaps, now its more of a sex tour. The same page links to a report of Shigeta personally photographing crotch shots while on an ad shoot. There seems to be a pattern emerging. I’m not so sure I’d like to jump into the sento with him either.
http://www.keepingpaceinjapan.com Turner

I’d still attribute it to a clash of cultures. You can’t exactly make the claim that Biegel is completely in the dark – was this his first visit to Japan? Obviously not – the onsen thing is absolutely ridiculous, and to claim it was a “sexually charged” situation only demeans Biegel.

Obviously, we’re only seeing one perspective of the brothel: was Biegel really pressured to use prostitutes like that? Regardless, he should have heard about common business practices in Japan, especially when bringing in guests and foreign parters: taking them to hostess bars is a way of “testing the waters”, so to speak, see whom they are getting involved with.
The Overthinker

Here’s how the Newsday article the AP article links to reports it, and it’s quite telling:
—–
A Woodbury man who was creative director of the U.S. arm of Japan’s largest advertising agency sued the company yesterday, saying he was pressured to visit a brothel in the Czech Republic and engage in other sexually explicit activities on company outings – and that he was fired after he complained.

In a lawsuit seeking unspecified damages filed in U.S. District Court in Manhattan, Steve Biegel said he and other employees of Dentsu Holdings USA were put in awkward, sexually charged situations by Toyo Shigeta, the chief executive, including being forced to have sex with prostitutes.

“I think that this is very serious from my perspective, to suggest to employees that they have to put up with taking off their clothes or going to a brothel or being subject to that kind of sexualized environment when they go to work,” said Andrew W. Dwyer of Newark, N.J., Biegel’s attorney.
——
Looks like they’re also saying that the onsen is a “sexually charged” situation or one of the “other sexually explicit activities”.
Karisu

A little off topic, but for the life of me, I still can’t understand why anyone would want to publicly bath with other men. I find the very idea of it quite revolting and unnecessary.

Clearly there’s a culture difference there, but I’m not understanding why some commenter’s here can’t see why (a lot) of people would find something like an onsen to be disgusting.

The Overthinker

Two reasons: one is the “when in Rome” thing. Especially when it’s your boss. Never hurts to suck up to the boss (Ferenghi Rule of Acquisition No. Something). The idea is that even if you personally find it upsetting, you grin and bare it to avoid offending your host and boss.

Second is that the idea that bathing with other men is “revolting” is slapping a sexual or even homophobic aspect onto something that does not warrant it. I for one would of course prefer to bath with a half-dozen beautiful naked girls, but bathing with men does not turn me gay. Being naked does not mean “sex” in many parts of the world. Japan is – or was – one of them.

In fact the decline in the public bath (sento, not onsen) is making young Japanese more shy about bathing together. No longer accustomed to it as a social practise, they are left with only the “nude=sex/rude” image of the Western (American)-influenced media.
http://sleepytako.blogspot.com David

I enjoy how you adopt a Japanese nick yet leave your open mindedness at just that superficial level. You’ll never be able to learn the language if you continue down this path. Instead of thinking of an onsen/sento through the frames of American/English culture try to look at it through the Japanese eyes. It wasn’t until the Meiji restoration that onsens began to be sexually segregated. Prior to the introduction to Christianity the bathhouse was not a sexual place. What does that tell you about your way of thinking.

I came to Japan as a hot spring fan. I’ve only become even more of an addict (I’ve been to around 70 onsen and sento now). I introduced the onsen to the rest of my exchange students, many of them became addicted… those who didn’t enjoyed the experience non-the-less. I hope you try to rethink your prejudices.

Karisu

Two things that seem to need clearing up.

First of all David, you’re assuming I have a problem with people that do enjoy onsen or sento. I do not. My entire point was that there seemed to be some people in the comments that thought that because Biegel didn’t like participating in them, that there was something wrong with him. I was just pointing out how I found it odd that these commenter’s could not understand how some people (including myself) would not find public bathing enjoyable.

Next, Both David and Overthinker seem to think I wouldn’t enjoy it due to sexual reasons. That isn’t the case. I wouldn’t enjoy it because, quite frankly I just don’t want to see another males genitalia nor do I want anyone else seeing mine or the rest of my naked body(I’m self conscious, what can I say?). Also, from a hygienic stand point, I can’t imagine why having multiple people in the same bath water would be desirable.

Also, one last reason why I wouldn’t enjoy them that is completely a personal reason: I despise taking baths. The thought of sitting in my own filth (let alone other peoples in a public setting) really doesn’t sound appealing to me. I’m a shower only kind of guy.

David, I generally love Japan and their language, and indeed a good portion of their culture and have a very open mind about what they do. Being open minded doesn’t mean I can’t decide I don’t like something on a personal level though. Like I said above, I don’t care what other people do if they enjoy it. I really hope I can move there someday (if I can figure out a way to possibly do that).

That being said, it doesn’t mean I have to like -everything- that is done in Japan in order to be a fan of the country. I’m sure there are Japanese people who are fans of America that don’t find everything we do in the States appealing either.

The Overthinker

Karisu, seriously, how much do you know about Japanese baths? Surely everyone who knows about Japan knows that you wash the filth off BEFORE getting in the bath? So your comment about “filth” doesn’t wash here.

And unless you simply find the male genitalia aesthetically unpleasant then your dislike of seeing them is indeed sexually connected. And if it’s just a matter of something not looking pleasant, there is always the option of not staring. As to your own shyness, there is not a lot anyone else can do about that, but in the case under discussion here, I would imagine the proper response is to ignore your own aesthetic or innate qualms, and do it. You don’t have to like it, you just have to be able to do it when needed, like when your boss insists. Should you do everything your boss insists? No – but for things that are perfectly normal and acceptable in the host culture (unlike double-penetration), then it’s sensible to not kick up a fuss. And it seems this is the issue here: not so much that he refused at the time, but that he later made an issue out of it.
Karisu

I know they wash off before getting into the baths, I guess I’m just a bit of a germophobe. I can’t share a beverage with a family member or loved one for similar reasons. I just think it’s disgusting. So sitting in small body of water where certain body parts used for expelling waste among other things doesn’t sit well with me, even if they’re supposedly clean.

And maybe you’re right, maybe my lack of desire to be surrounded by other naked men is sexual, if so, then it is what it is. It really does come down to more myself not wanting to be naked in front of anyone.

Look, point is, if something is going to make someone uncomfortable, for whatever reason, no decent boss should make his or her employee do something they don’t want to. Regardless of what is the norm. I can’t think of something Americans do that the Japanese don’t, but I certainly wouldn’t make a Japanese employee of mine do something they didn’t wish to do even if it was common place in America.
http://sleepytako.blogspot.com David

Personal germ issues I can understand, but I feel your reaction was unnecessarily harsh and showed a miss understanding of the nature of the Japanese bath. Given that onsen/sento are my thing felt compelled to reply. I wish you could come out here and go to an onsen/sento with me some time. There is little fear of getting ill, and might help you get over your germaphobic tendencies among many other things.

The Overthinker

Hey, cool page of onsen reviews on your site, David. Quite impressive.

http://sleepytako.blogspot.com David

Thanks! I’m going to try to promote it soon.

http://relaxedfocus.blogspot.com/ Rob

Jesus, what an idiot. If you don’t want to sleep with a hooker, then don’t. If you don’t want to hit an onsen [which, on a visit to Japan, working for a Japanese company... lighten up, moron. Or wear your shorts. Or something...] then don’t.

But a lawsuit? Because you were “offended and humiliated” ? What’s humiliating should be his lack of stones to simply stand up to his boss, and continue to work on. He clearly wasn’t punished for his lack of “group spirit” so why the hell does he need to cry to a lawyer?

More sad American “nothing should ever offend me” entitlement nonsense.
The Overthinker

Okay, looking at that update, I am pretty certain that “double penetration” is certainly NOT a standard method of sealing business deals.

doinkies

Yeah, I feel a little suspicious about Shigeta as well after reading that. It’s rather キモイ and definitely not a common practice. But still, if Steve was so squicked then he should have refused his boss’s offer.

Murad

It isn’t like you bathe with other men, you just sit in the same water, some comments make it sound more than it is.

The Japanese exec is an idiot and I don’t see why he should be defended, even if Biegel is stretching things.

You don’t take a guy to a girl bar to test the waters, you test the waters then take them to a girly bar.

(if they pass that is)
Susie

Wow.

I’ve been following this story on Advertising Age and it’s a compeltely different take on things over there than what I’m reading here in comments.

This is happeneing when there’ve already been a couple high ranking ad executives at other companies abusing their positions and company resources for personal amusement.

I’m not thinking it’s solely a “cultural misunderstanding”, especially when your job is to understand the culture you’re immersed in.
Da Kappa

I really don’t think that “double penetration” sex is used in sealing any deals for (what I gather) businesses throughout the world (not just Japan). Soooo… If Shigeta is grilled about his comment on that point he may find himself in more hot water than simply what Biegel is accusing him of. Most Japanese companies should be (and I’d sincerely like to believe) much more considerate about their employees perspectives. Should an employee voice their discomfort to their boss in a situation that they don’t feel right about (key words: at that moment); I’m pretty sure that their boss will not threaten to terminate their employment just because they don’t want to comply (to an after work situation).

Everlasting

I think many people are giving too much weight to the “cultural” excuse, e.g. it’s how things are done in Japan, thus you just have to accept it. First, this assumes that such behavior is accepted or deemed professional. Even though it may occasionally occur, I hardly think any Japanese person or court will agree that business deals are finalized with the hiring of a prostitute and an ensuing orgy. Second, no matter what the cultural expectation, an employee is free to excuse himself from non-employment related affairs. I think increasingly Japanese are beginning to see that and are exercising their right to enjoy for instance, private lives outside of work dominated events and outings. Sure there is a big cultural expectation to do certain things, like drinking after work, but increasingly there is also recognition that one can say no, without retaliation. Third, Biegl should not have been subject to retaliation for his objections, which is what this suit seems to allege. Other posters seem to imply that all Biegel had to do was refuse, yet Biegal alleges that his refusals and complains are what contributed to his dismissal. In America the burden is pretty high to prove such a charge, and although I haven’t read the court filings, my guess is that his attorney is choosing to list all possible causes of action (as any competent attorney would do), including sexual harassment.

Regarding the onsen thing, I really do love onsens and looked forward to going to them while I was in Japan. In fact the first time I ever got naked with others was in an onsen. I felt uncomfortable, but that feeling quickly subsided as my body was adjusting to the near-boiling hot water. People really should give them a try, they’re a MUST for any person traveling to Japan. In any case, the more I read about the boss Shigeta, the more I have to conclude that, even though I’m comfortable with onsens, and being naked with others, I probably would not want to be naked in a bath with such a pervert.

Syd

Let’s explain this American culture so everyone else can understand…

“money, money, money!”

Any idiot could talk themselves out of something like this. It takes a true money grubbing baby to cry that someone offered him sex.

Ryan

What blows my mind is that that oversimplification of the American culture right above will never be reacted to quite so strongly as those who defended Shigeta’s actions as a “When in Rome” situation.

Because, if I were to sum up culture in cute catchphrases, it’d come out as “Money” and “Czech hookers?”

Syd

“Money” or “Czech hookers?”

We have a conundrum.

Please check my comment, referring to “this American Culture”. That isn’t a blanket statement. Compare frivolous lawsuits that have taken place in America against those abroad, i’m sure the US will take the cake. The primary goal of a lawsuit is the settlement, which is usually monetary.

I believe he was offered sex (the onsen part is really just culture) however, aside from being a little embarrassing, I doubt it demands a lawsuit.

Just say no! especially, that “double” part… uggg….

Syd

Wait!!!
I just read a little more about this “Shigeta”. He seems like more than a perv.
I’m not sure how a lawsuit will stop him… maybe they will find more after an investagation.

Anastasius

I was kind of expecting another 200 posts from outraged 2 chan folks about Biegel being a terrorist for defying Japanese traditions and not cheating on his wife while being guest of a Japanese corporation or something like that.
doodles

This is by far the most merit less, insignificant case i have seen in ages. It’s a prime example of american’s using their sense of entitlement to file a lawsuit on an issue which is COMPLETELY based on social customs. If this was an american company, fine so be it, this silly kind of shit can go on. But it was a Japanese firm!, its true what they say, “when in Rome” this guy Biegel is just a douche, and I’m in no way an anti-semite, but what the fuck is up with all the Jewish references in the court filing? What being jewish have to do with anything? jews need to stop thinking the world revolves them and every negative action pointed towards them is because of their religion. Get over yourselves. Kudos to Shigeta, I’m just sorry this warrants how our two cultures can never understand each other, even in the 21st century.
http://popjisyo.com Funny

The explanation of the onsen incident in the court filing makes it sound more like an initiation than a regular onsen trip. Usually you get a small towel you can cover yourself with if you want to. It sounds like he wasn’t given anything.

His account of the incident makes it sound more like those yakuza movies where they make the initiate strip for the pervert boss. And in this case it sounds safe to say the boss was some kind o’ hentai.

If this lawsuit helps inspire Japanese to not take crap from idiot bosses, I’m all for it.
tenbin

O.K., so there are some folks like Karisu who feels germophobic and perhaps a little homophobic and uncomfortable about certain aspects of another culture. But That’s Karisu’s personal problem. Doesn’t exactly warrant or justify a lawsuit everytime you have a personal hangup about something. The answer to a problem isn’t a lawsuit in many situations.

I begin to question Begel’s (and his lawyer’s) true motives about this whole thing. It seems mostly about money and greed. Seeing what sort of nice settlement they can squeeze out from Dentsu. I seriously doubt that Begel was emotionally tramatized to such an extent where it warrants a lawsuit. Especially regarding onsens and communal bathing. I think his lawyers are exaggerating the “emotional trauma” in order to get this lawsuit to stick.
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Everlasting

Wow, what is it with anti-semites beginning their racist rants with, “I’m no anti-semite, BUT…”

Dentsu Executive Offends and Humiliates Employee With Brothel & Onsen Trips

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