Exiled Chinese tycoon Guo Wengui, also known as Ho Wan Kwok or Miles Guo, has been found guilty of defrauding investors out of $1 billion to fund his lavish lifestyle. Guo, whose anti-Communist crusade attracted high-profile allies including former Trump advisor Steve Bannon, was convicted on nine of twelve counts of fraud and racketeering conspiracy following a nearly two-month trial in Manhattan federal court.
The charges stem from Guo’s efforts to raise money through videos filmed in his New York City penthouse and on his luxury yacht. Prosecutors argued that Guo used his public critique of the Chinese Communist Party to build a loyal following, subsequently duping these supporters into investing in sham business ventures. The funds, intended for legitimate businesses, were instead diverted to finance Guo’s extravagant spending on luxury cars, homes, and designer goods.
Despite the defense’s attempts to frame Guo’s opulent lifestyle as a protest against the Chinese Communist Party, the jury, whose names were kept secret due to the high-profile nature of the case, found him guilty after approximately seventeen hours of deliberation. They acquitted him on three counts, including wire and securities fraud related to the Chinese media platform GTV and one count of unlawful monetary transactions.
Assistant U.S. Attorney Juliana Murray emphasized during closing arguments that the case was about fraud, not Guo’s political activism. “Is Miles Guo a real political activist? I don’t know and I don’t care, because that’s not what this trial is about,” she stated.
The court heard testimonies from numerous investors who claimed Guo’s promises of high returns misled them. One investor, Jenny Li, testified that she mortgaged her home to invest $100,000 in Guo’s ventures, only to be left with nothing but a partial refund from the SEC.
In addition to investor testimonies, the trial included statements from luxury car dealers and financial professionals who detailed how Guo spent the defrauded funds. Prosecutors also highlighted the unusual step of maintaining anonymous jurors to protect them from potential backlash due to the case’s intense public interest.
Guo’s defense, led by attorney Sidhardha Kamaraju, argued that his client’s wealth was used to challenge the Chinese Communist Party and that the financial contributions from his supporters were meant to further his political mission. The defense also brought forth testimony from George Higginbotham, a former Justice Department employee, who admitted to colluding with Chinese officials to illegally lobby for Guo’s deportation.
The case, US v. Guo, 23-cr-00118, US District Court, Southern District of New York (Manhattan), has seen significant twists, including the excusal of a juror who googled the name of Guo’s at-large co-defendant, William Je, prompting the jury to restart deliberations.
Guo, who fled China in 2014 amid an anti-corruption crackdown, now faces up to 20 years in prison on the most serious charges. Sentence is set for November 19. His legal team has indicated that an appeal is almost certain.
