Guo Wengui chief of staff pleads guilty to $1 billion fraud
Fugitive Chinese billionaire Guo Wengui hold a news conference on November 20, 2018 in New York, on the death of of tycoon Wang Jian in France on July 3, 2018.
Don Emmert | AFP | Getty Images
The chief of staff to controversial exiled Chinese businessman Guo Wengui pleaded guilty in New York on Friday to a fraud conspiracy that swindled more than $1 billion from hundreds of thousands of victims around the world, prosecutors said.
Yvette Wang’s plea came weeks before the 53-year-old Guo is set to stand trial in Manhattan federal court for related charges. Wang was scheduled to stand trial with Guo in that case before her plea.
Prosecutors accuse Guo, an associate of former Trump White House aide Steve Bannon, of duping his online followers with promises of outsized investment returns. Guo has pleaded not guilty.
Wang, 45, agreed to pay $1.4 billion in restitution to the United States and to forfeit the same amount of money, according to Manhattan U.S. Attorney Damian Williams.
She faces a maximum possible sentence of 10 years in prison for the charges of conspiracy to commit wire fraud and conspiracy to commit money laundering.
She is due to be sentenced Sept. 10.
“Yvette Wang played a leadership role in a broad and complex scheme to defraud thousands,” Williams said in a statement.
“Through false promises and lies, this scheme collected more than $1 billion from innocent victims located throughout the country and the world. Wang inflicted pain and loss on so many, and she will now be held to account for the harm she and others caused,” Williams said.
When Guo was arrested last year, prosecutors said he had used some of the money raised through his company GTV Media and other entities to buy a 50,000-square-foot New Jersey mansion, a $37 million yacht, a $3.5 million Ferrari for his son, a $140,000 Bosendorfer piano and two Hasten 2000T mattresses that cost a whopping $36,000 apiece.
Prosecutors seized more than $650 million in allegedly fraudulent proceeds from 21 different bank accounts, as well as a Lamborghini Aventador SVJ Roadster automobile and other assets.
Three companies linked to Guo, including GTV Media, in September 2022 agreed to pay nearly $540 million to settle civil allegations by the SEC of making illegal offerings of stock and digital assets.
Guo is known by various names including Miles Guo and Miles Kwok, Brother Seven, and The Principal.
He has resided in the United States since 2015. He reportedly fled China to avoid corruption charges.
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