What do you mean by "… and there's nothing illegal going on?" More to the point, what do you suppose the cops mean by, "…there's nothing illegal going on? Of course it all really comes down to whether a judge (and/or jury) believes, "… there's nothing illegal going on", doesnt it? Oh, and which laws? Criminal (I assumed), or local bylaws.
This topic—MPs legal or not—comes up about every four months. Search: bylaw, Criminal Code, "handjobs legal" and especially 'bawdyhouse' (also bawdy house), in this Forum or just flip back thru the last dozen or so pages. The most recent was not long ago.
If I might summarize: Just like there ain't no such thing as a free lunch, there ain't no such thing as a sure thing. Mps and handjobs in them have been found both legal and illegal. If you don't like it, write your MP (re Criminal Code) and city councillor (re: bylaws). Meantime, hobby careful.