Legalized and heavily regulates Prostitution.

Organized crime is kind of regulated too (a lot of the tongs that would have been in the drug trade ended up in the postitution trade and construction)

It’s illegal for Singaporeans to go to those places. If a man goes only his wife or parents can pick him up from jail. This is to deter them from going there to begin with.

The government knows if they ban it. It drives it underground. So they tolerate it and try to ensure locals don’t use it.