Man arrested by FBI owns property with an Illinois state trooper

Trooper was also previously part-owner of the building that later became Jade Spa

A 60-year-old man charged in federal court with operating six “houses of prostitution” in Springfield wants to transfer his ownership interest in an office building to an Illinois state trooper who jointly owns the building.

Gregory L. Fraase of Springfield asked U.S. Magistrate Judge Karen McNaught for permission to transfer his interest in a vacant two-level building at 2040 Timberbrooke Drive to Nathan Shanks.

Man arrested by FBI owns property with an Illinois state trooper
Illinois State Trooper Nathan Shanks jointly purchased a west-side property in July 2023. Shanks was also previously part-owner with Fraase of the building on Wabash Avenue that became Jade Spa.
Fraase said in a March 22 motion that he and Shanks jointly purchased the west-side Springfield property, previously used for offices and a physician office, at an auction in July 2023. The price they paid was listed at $148,000 in Sangamon County property records.

Fraase said in the motion that he wants to get rid of his ownership interest, without charging Shanks anything for it, because of Fraase’s “recently changed financial situation.”

Fraase’s attorneys, Dan Fultz and Mark Wykoff, wouldn’t comment on how Fraase’s financial situation has changed.

Fraase wants to stop having to make mortgage, insurance and utility payments and otherwise contribute to the upkeep of the Timberbrooke Drive property, he said in the motion. 

Federal prosecutors said in a court filing that they are “aware of only one change in the defendant’s financial situation, the fact that he no longer is profiting from violations of federal law.”

Prosecutors said they object to the property transfer unless Fraase provides more information about it. Prosecutors noted that Fraase’s pretrial release conditions require that he not “dissipate his assets” without court permission.

McNaught on March 28 gave Fraase 28 days to provide more information about the proposed transaction before she would consider granting approval. That information included the property’s original purchase price, Fraase’s share of the price and all the terms of any proposed sale or transfer of the property.

McNaught did grant Fraase’s request to refinance the loan on his 2020 Chevrolet Corvette.

click to enlarge Man arrested by FBI owns property with an Illinois state trooper
Springfield resident Greg Fraase is seeking federal court permission to transfer his part-ownership of this vacant office building at 2040 Timberbrooke Drive to the other owner, Illinois State Police Trooper Nathan Shanks.

Fraase was indicted March 5 by a federal grand jury on one count of conspiracy in connection with alleged prostitution at sites advertised as Asian massage parlors. Indicted with Fraase was Jia Liu, a woman described as his alleged associate in the venture.

The indictment said Fraase and Liu conspired to operate the prostitution sites “together with others, known and unknown to the grand jury.” Court documents said the sites were operated by Asian women, some traveling from other countries, to provide sexual services in exchange for food, lodging and incomes of up to $30,000 per month.

Fraase also was indicted on one count of marriage fraud that alleged he married Chinese national Weiwei Hu, was paid at least $20,000 to do so, and evaded U.S. immigration laws to help the woman gain American citizenship.

Hu now lives in New York, according to court documents. Liu, whose age, address and whereabouts haven’t been made public, hasn’t been arrested.

Fraase and Liu could face maximum prison terms of five years on the conspiracy count, and Fraase could face an additional five years in prison if convicted of marriage fraud.

Fraase was first arrested Feb. 9 and released on his own recognizance. He has pleaded not guilty and has declined comment through one of his attorneys.

While Fraase’s case goes through the court system, he continues to work his longtime job at the Sangamon County Water Reclamation District, where he earns $98,134 per year as a pretreatment coordinator.

Of the six establishments mentioned in court documents, a woman at only one of the sites – Jade Spa, 1560 Wabash Ave. – answered the phone the afternoon of April 16 and said it was open for business.

At the five other sites, calls to their advertised phone numbers indicated the numbers either weren’t working, weren’t completing calls or didn’t have a voicemail set up. The five sites were: Cozy Cabin Spa, 1144 E. Sangamon Ave.; Capital Spa, 3915 N. Dirksen Parkway; Warm Spa, 116 North Grand Ave. E.; A-1 Spa, 509 N. Dawson St.; and Healthy Spa, 613 N. Seventh St.

Shanks, 39, couldn’t be reached for comment. Shanks is a master trooper and was paid $124,000 in 2023, according to the Illinois State Comptroller’s Office.

He didn’t return a cellphone message left by Illinois Times and didn’t respond to a note left at the door to his home on Springfield’s west side.

Shanks also didn’t respond to a message sent through his Facebook page, on which he frequently professes his Christian faith.

Sangamon County property records indicate Shanks and GLF Group LLC previously jointly owned the one-story building behind Famous Wine & Spirits that later would become Jade Spa.

Jade Spa was one of several Asian massage establishments raided by the FBI in early February, a local law enforcement source who requested anonymity said.

Shanks transferred his half-ownership of the Wabash Avenue building to the new owners, Seven Carpenters LLC and GLF Group, in June 2021, according to property records.

Fraase represented the new owners in fall 2021 when he obtained zoning approval from the Springfield Planning and Zoning Commission and Springfield City Council for zoning approval to use the building for a tattoo shop and “body works spa,” according to a city of Springfield legal notice. 

GLF is mentioned in court records filed by the FBI in the criminal case against Fraase. According to those records, Fraase was paying for Ameren utilities at the six massage parlor locations on behalf of GLF Group as of Feb. 6.

Illinois Secretary of State records listed Fraase as a GLF Group manager as of April 16.