@Rad Rose ML even said it himself, the hypnotism still lingers in MC's mind, making him lean towards him for sexual urges. So yes, he's still hypnotized, though not in the usual way.
Why are you still arguing knowing you're on the wrong side? On the side of rooting for step-brothers having a sexual relationship? On the side where the ML started hypnotizing his smaller, weaker, step-brother and having s** with him just to say "play-times over" so he won't remember a thing?