Sounds like something out of "The Lives of John Lennon" by Albert Goldman. This author was an asshole and an opportunist. He's infamous for heaping trash on John and Elvis, among others, based on rumours and poorly researched, second-hand material. Avoid at all cost Johann.

What's factual is that Lennon and Epstein spent four days in Barcelona in April of 1963 at the end of a particularly grueling tour. Also fairly well established is Epstein's attraction for Lennon and Lennon's fascination with Epstein's pick-up tales. Lennon was apparently quite curious about the Beatles manager, a man so different than him. Epstein was Jewish, openly gay, refined, and upper-class.

Lennon reportedly denied that Epstein's attraction was requited, but I haven't seen any actual quotes. Whatever happened in that Barcelona hotel room was only known by Lennon and Epstein. The version of events as depicted in Christopher Munch's wonderful film is quite plausible, in my opinion. The performances by David Angus and Ian Hart (who also played Lennon in Backbeat) are great. It's a shame The Hours and the Times is only available on vhs. Perhaps your video store has a copy. It's fascinating, and only an hour long.