Name: Exiled Chinese Businessman Guo Wengui Arrested on $1 Billion Fraud Charges
Uploaded: 2023-03-16T01:10:51.000Z
Description: NEW YORK—U.S. prosecutors have arrested exiled Chinese businessman Guo Wengui, accusing him of orchestrating a scheme to defraud over $1 billion from his online followers.

Dave Martin is NTD's Senior Sports Reporter and sports analyst. He also hosts "Data Hub" segments during NTD's special election coverage, "The Nation Decides."

Dave Martin

NTD Plus

News

News with integrity, from the United States and around the world. Focused reports and analyses that shed light on major issues the world deserves to know. NTD Evening News airs daily at 6 p.m. ET.

NTD Evening News

19-Year Old Andreeva Wins French Open, Youngest Since 1992

Mari Otsu is NTD's White House correspondent based in Washington. 

Mari Otsu

Moms Across America Founder Zen Honeycutt on GMO Safety, Glyphosate Concerns, and the MAHA Movement

Daniel Monaghan is a reporter for NTD News covering culture, social issues, and education. He holds a BA in Political Science and Government.

Daniel Monaghan

White House Week in Review (June 6): US Brokers Israel–Lebanon Ceasefire

NTD Newsroom comprises teams of reporters, editors, and producers assigned to cover breaking news and other stories.


NTD Newsroom

Hegseth Honors D-Day Veterans in France

Rudy Blalock is a Southern California-based daily news reporter for NTD. Originally from Michigan, he moved to California in 2017 and the sunshine and ocean have kept him here since. In his free time, he may be found underwater scuba diving, on top of a mountain hiking or snowboarding, or at home meditating—which helps fuel his active lifestyle.

Rudy Blalock

World News

Asia &amp; Pacific

Missing US Student Found Dead in Japan, Family Says

Jason Perry is an Army veteran and NTD's national security correspondent. Jason primarily covers border security, national defense, foreign wars, and veterans' issues.

Jason Perry

Anthropic: Humans Could Soon Lose Control Over AI

David Lam is a national correspondent based in California and a part-time anchor for "NTD Tonight." Before joining NTD he was a financial analyst.

David Lam

California Prepares to Host FIFA World Cup Matches

Sam Wang is a Washington correspondent for NTD News based in Washington, D.C. Sam covers politics on Capitol Hill, and U.S.-China relations. 

Sam Wang

Citizens Weigh Newly Painted Lincoln Memorial Reflecting Pool

Cary Dunst is the news anchor for NTD Evening News. He is also the co-host of NTD Good Morning.


Cary Dunst

D-day Was ‘The Most Complex Mission in Modern Military History’: Retired Navy SEAL

Jason Blair is a national correspondent for NTD News based in California. 

Jason Blair

48 Charged in Texas Over Major Drug Trafficking Operation

Arleen Richards is NTD's legal correspondent based at the network's global headquarters in New York City, where she covers all major legal stories. Arleen holds a Doctor of Law (J.D.).


Arleen Richards

NTD Evening News Full Broadcast (June 6)

NTD Evening News Full Broadcast (June 5)

NTD Evening News Full Broadcast (June 4)

NTD Evening News Full Broadcast (June 3)

NTD Evening News Full Broadcast (June 2)

NTD Evening News Full Broadcast (June 1)

Chris Beers is an NTD News anchor and political correspondent based at the network's global headquarters in New York City. Chris co-anchors "NTD News Today" weekdays at 10:00 am ET.

Chris Beers

NTD Evening News Full Broadcast (May 31)

NTD Evening News Full Broadcast (May 29)

NTD Evening News Full Broadcast (May 28)

NTD Evening News Full Broadcast (May 27)

The Associated Press is an American not-for-profit news agency headquartered in New York City. 

The Associated Press

US News

State News

California

More Than 17,000 Under Evacuation Orders as Southern California Wildfire Threatens Homes

40,000 Ordered to Evacuate as Chemical Tank Leaks, Threatens Explosion in California

Video of US Fighter Jet Shooting Down UFO Over Lake Huron Emerges in New Pentagon Files

Mary Man is a writer for NTD. She has traveled around the world covering China, international news, and arts and culture.

Mary Man

China News

Epoch Times Obtains Over 2,000 Unseen Tiananmen Square Photos on 37th Anniversary of the June 4th Massacre

News you can trust from the U.S. and around the world. Critical information and insight. We cover the stories that others don’t. NTD News Today airs Monday–Friday at 11 a.m. ET.

NTD News Today

US Government Sues Chick-fil-A Over Religious Rights

Sports News

Kyle Busch, Two-Time NASCAR Champion, Dies at 41

Haika Mrema

Medical Plane Crash in New Mexico Mountains Kills 4, Sparks Wildfire

California Mayor Resigns, Will Plead Guilty to Acting as Chinese Agent

Jill McLaughlin is an award-winning journalist covering politics, environment, and statewide issues. She has been a reporter and editor for newspapers in Oregon, Nevada, and New Mexico. Jill was born in Yosemite National Park and enjoys the majestic outdoors, traveling, golfing, and hiking.

Jill McLaughlin

We present news that is truthful and based on facts, outside of the political fog. Instead of focusing on the negative things happening around us, our mission is to give our viewers a good morning with empathetic and uplifting stories. Our aim is to provide an antidote to negativity by shining a light on the best side of people. We speak to inspiring people who positively impact communities, pursue topics that represent our common human values, and will never miss an opportunity to bring you heartwarming stories.

NTD Good Morning

Scott Pelley Fired by ’60 Minutes’ After Clash With Management

Reuters is a news agency owned by Thomson Reuters. It employs around 2,500 journalists and 600 photojournalists in about 200 locations worldwide writing in 16 languages.

Reuters

Middle East

Iran

Trump Calls Iran's Response to Latest US Ceasefire Proposal 'Totally Unacceptable'

NEW YORK—U.S. prosecutors have arrested exiled Chinese businessman Guo Wengui, accusing him of orchestrating a scheme to defraud over $1 billion from his online followers.

Guo, also known as Miles Guo, faces an 11-count indictment charging him with wire fraud, securities fraud, bank fraud, and money laundering, according to a Justice Department statement.

U.S. authorities seized around $634 million in illicit funds from Guo’s 21 different bank accounts between September 2022 and March 2023, the statement said. The department said it seeks to forfeit the funds they believe constitute proceeds from his alleged fraud. A Lamborghini Aventador SVJ Roads that Guo allegedly acquired with proceeds of the scheme was also confiscated on Wednesday.

Guo was arrested in New York on Wednesday morning and is expected to appear in court in the afternoon. His alleged co-conspirator and financier, Kin Ming Je, also known as William Je, is currently at large.

The prosecutors said Guo had used the funds he “stole” to enrich him and his family, including buying a 50,000 square foot mansion, a $3.5 million Ferrari, two $36,000 mattresses, and financing a $37 million luxury yacht.

The U.S. Securities and Exchange Commission has <a href="https://www.sec.gov/news/press-release/2023-50">filed</a> a parallel civil suit against Guo and Je.

"We allege that Guo was a serial fraudster, who raised more than $850 million by promising investors outsized returns on purported crypto, technology, and luxury good investment opportunities," said Gurbir S. Grewal, director of the SEC’s division of enforcement.

"In reality, Guo took advantage of the hype and allure surrounding crypto and other investments to victimize thousands and fund his and his family’s lavish lifestyle."

The 52-year-old Chinese billionaire fled to the United States in 2015 and bought a penthouse apartment at a hotel overlooking Central Park. He gained a substantial online following as a vocal critic of the Chinese Communist Party from around 2017 and exploited his fame to solicit investments, court filings stated.

Chinese businessman Guo Wengui, who is seeking asylum in the United States after accusing officials in his native China of corruption, poses at his New York City apartment on Nov. 28, 2017. (Timothy A. Clary/AFP via Getty Images)

In one scheme called the farm loan program, Guo and co-conspirators gained around $150 million by promoting “Himalaya Farm Alliance,” a collective of informal groups located in cities around the world, according to prosecutors. Part of that money, the department said, covered maintenance expenses of the 145-foot luxury yacht that Guo’s close relative owns and around $10 million went to the personal bank accounts controlled by Je.

“G|CLUBS,” a purported online membership club, siphoned around $250 million in funds by promising to be “an exclusive, high-end membership program offering a full spectrum of services'' and “a gateway to carefully curated world-class products, services, and experiences,” prosecutors said. With the funds, Guo purchased a 50,000-square-foot New Jersey mansion and various furnishings, such as Chinese and Persian rugs worth approximately $978,000, a $62,000 television, and a $53,000 fireplace log cradle holder, according to the indictment. The G|CLUBS proceeds also funded a custom-built Bugatti sports car worth roughly $4.4 million, the document said.

Guo also promoted a purported cryptocurrency “ecosystem” called Himalaya Exchange, advertising a trading coin and a purported stablecoin called the “Himalaya Dollar” with a fixed 1 to $1 value backed by reserves, according to court filings. Neither could be traded elsewhere other than on the Himalaya Exchange.

The SEC in September 2021 charged three entities related to Guo over illegal unregistered offerings of stocks and digital assets. The agency said it subsequently collected over $454 million from the companies that it’s distributing to victims, after the firms agreed to <a href="https://www.theepochtimes.com/media-companies-linked-to-chinese-exile-to-return-millions-to-investors-in-sec-settlement_3996238.html">settle the case</a> without admitting to or denying the SEC’s charges.

Guo filed for bankruptcy in February 2022 after a New York judge ordered the businessman to pay $134 million to a creditor.

<em>From <a href="https://www.theepochtimes.com/exiled-chinese-billionaire-guo-wengui-arrested-on-1-billion-fraud-charges_5125494.html">The Epoch Times</a></em>

china

Businessman

Videos

Business News

04_Top Stories

fraud

New York

Latest Clips

Guo Wengui

Management

Eva Fu is a New York-based writer for The Epoch Times focusing on U.S. politics, U.S.-China relations, religious freedom, and human rights. Contact Eva at eva.fu@epochtimes.com

Eva Fu

02_Second Lead

Latest and breaking news, documentaries, movies, and lifestyle content on NTD+.
 
Empower your knowledge and elevate your spirit with NTD+, your go-to destination for truthful news, insightful documentaries, and captivating lifestyle content that enriches your life.