Fugitive Chinese tycoon Guo Wengui charged with fraud in US, accused of conning investors out of over US$1 billion
- Guo Wengui, arrested on Wednesday, faces 11 criminal counts, including securities fraud and money laundering charges
- Guo bought luxury cars and a US$37 million yacht with alleged fraudulent proceeds, according to the Justice Department
The US arrested exiled Chinese businessman Guo Wengui on Wednesday, charging him with orchestrating a conspiracy to defraud thousands of online followers out of more than US$1 billion.
At his arraignment late Wednesday afternoon before US Magistrate Judge Katharine Parker, Guo pleaded not guilty to the charges. Parker denied Guo bail after prosecutors argued that he had “limited ties to the United States and the resources to flee from this country and from the legal consequences of his fraud”.
The US Department of Justice said that Guo and his alleged co-conspirator Kin Ming Je targeted fraudulent offerings to investors who were aligned with Guo’s policy stance on China.
The indictment formally charged Guo as Ho Wan Kwok but listed several alleged aliases, including “Miles Guo”.
