Asahina-san no Bentou Tabetai - Ch. 15

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Isn't Japan known for being one of the most strict countries with their prostitution industry?

How the hell have the authorities not shut down his work place yet?
 
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Isn't Japan known for being one of the most strict countries with their prostitution industry?

Yes and No. There are lots of regulations, but Japan is not without cases of businesses violating those regulations, engaging in sex trafficking, etc. This "snack bar" that employs Seiya and Yui probably continues to fly under the radar as long as nobody snitches.
 
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How the hell have the authorities not shut down his work place yet?
Unfortunately I've seen worse (I can't talk about it, but nobody got hurt at least) and basically it doesn't matter how many regulations a goverment put out or how many times it sends the police (or whoever is in charge) to check for suspicious businesses, "white collar criminals", as I call them, will always find a way to exploit a loophole somewhere in the daedalus of laws, ironically created exactly to keep these criminals at bay, and cause damage somewhere or to someone, sometimes irreparably.
 

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