Definitely not my cup of tea, but I don't see the huge issue to be honest. The people visiting know they're being filmed and want to be seen in the act, the people watching are doing nothing worse than watching interenet/amature porn. You can upload yourself having sex to loads of sites anyway.
I'm sure lots of people will be happy to get free brothel fun, and the company is still making money out of it.
I can see it possibly becoming an issue with unsuspecting foreigners being led there and such...
Again, I don't see it as particularly controversial in this day and age, but I would never even think of going there (or tuning in) myself.