Prosecutors have demanded Guo Wengui, the Chinese billionaire charged in a $1 billion fraud scheme, be denied bail to ensure that he will not flee or engage in illegal business while awaiting trial.
Guo, whose real name is Ho Wan Kwok, was arrested last month in connection with a conspiracy that defrauded thousands of victims out of more than $1 billion. The 54-year-old exiled Chinese political dissident has ties to former Donald Trump adviser Steve Bannon, who previously announced a joint initiative in 2020 that was aimed at overthrowing the Chinese government.
Guo, who has been residing in the U.S. since 2015, allegedly tricked his online followers into investing in multiple scams, including his media company GTV, a luxury club called G|CLUBS and a cryptocurrency known as Himalaya Coin.
According to the Justice Department, Guo pocketed the money and bought a mansion in New Jersey, a $3.5 million Ferrari and a $37 million yacht.
The billionaire faces a total of 11 criminal counts relating to wire fraud, securities fraud, bank fraud and money laundering charges.
In court on Tuesday, Guo was described as “sociopathic” by a prosecutor who urged U.S. District Judge Analisa Torres to deny the defendant bail.
Last week, Guo’s lawyers proposed a $25 million bail package, including location monitoring, home detention and an armed guard. His lawyers also argued that Chinese authorities would ensure he faced “intolerable risks to his life” if he were to flee the U.S.
In advance of the hearing, the government submitted a letter showing Guo’s access to tens of millions of dollars that may help him flee the country. The letter argued Guo to be a threat and at risk to continue a pattern of frauds.
According to prosecutors, Guo’s bail proposal was “woefully inadequate” due to his substantial foreign contacts and significant resources to flee.
The defendant uses dozens of different cellphones and cellphone scramblers; he has relied on an intricate and dense web of shell corporations, middlemen, and subterfuge. [Guo’s] ability to conceal his actions is not speculative. Federal and state court judges have found as much.
Despite claims that Guo is currently unemployed and in bankruptcy proceedings, the government said that federal agents found over $500,000 in U.S. currency, foreign currency and gold coins in one of his homes. A fugitive related to the case is also believed to be living in the United Arab Emirates with access to millions of dollars that can help Guo and his family escape.
Anyone who believes they are a victim of Guo’s conspiracy is encouraged to email [email protected] or submit their information at forms.fbi.gov/NY_GTV.
