LOL! He is illegal in the country?! That tells you all there is to it! He shouldn't even be allowed to serve as an elder if he is illegally in the country per WT rules. That tells you he only has privileges because the other elders want him/need him to have privileges. If they were going by the book, he wouldn't even be serving.
As for the deal with his daughter, again, it depends on the other elders and if they think he did everything he could to make sure she didn't lead that kind of lifestyle. If they deem he was doing everything within his power to prevent her from messing up like that, they could let him stay as elder as long as it didn't stumble the congregation. But the fact that the congregation does feel stumbled and he is still there again shows that he's only still an elder because the other elders want to keep him there.