Background:
PAX Lawsuit, Guo Bankruptcy and Attacking the
Trustee appointed by the bankruptcy court.
Background: Guo Wengui’s (also known as “Miles Kwok” or “Ho Wan Kwok”), lawsuit with PAX
- Guo’s company borrowed $46 million from Pacific Opportunity Fund (PAX) in 2007. (See, In Re: Genever Holding LLC, (Case 2020-bk-12411 (NYSD, BK 2020), Doc. 13, p. 8.)
This dispute goes back nearly a decade. In March 2011, Kwok and PAX entered into a contract in Asia (the “2011 Personal Guarantee”) under which Kwok personally guaranteed a loan facility—approximately $46 million at the time—that PAX had issued to one of Kwok’s companies.
- Instead of paying off the debt, Guo (as Kwok), began hiding his assets by creating potentially hundreds of shell entities, including China Golden Spring, Eastern Profit, and HK USA.
- On April 18, 2017, PAX filed a lawsuit against Guo. On February 3, 2021, the New York state court ordered Guo to pay PAX $116,402,019.57. (See, In re: Ho Wan Kwok, et al., (AKA “Kwok”), Chapter 11 Case No. 22-50032 (JAM)(U.S.Bk.Ct.Conn. 2022), Doc. 1, p. 4.):
PAX sued Kwok for breach of the personal guarantee contract on April 18, 2017 in New York State Supreme Court. Following nearly four years of litigation, on February 3, 2021, PAX secured a judgment against Kwok for $116,402,019.57. PAX then “undertook a year’s-long effort to enforce [the] judgment by first identifying and then attempting to levy upon Kwok’s assets in the United States.” This was no small task because, as Justice Ostrager found, “Kwok, who is a self-declared multi-billionaire, had secreted his assets in a maze of corporate entities and with family members.” Kwok has yet to repay any of the $116,402,019.57 judgment, which accrued post-judgment interest at the rate of 9 percent per year.
- On October 15, 2020, the court entered a restraining order that Guo should not dispose of his $67 million apartment in New York and the “Lady May,” the luxury yacht upon which Steve Bannon was arrested. See, In re: Ho Wan Kwok, et al., supra., Doc. 1, p.4:
On September 30, 2020, Justice Ostrager issued a temporary restraining order preventing Kwok “from making or causing any sale, assignment, transfer or interference with any property in which he has an interest….” Two weeks later, on October 15, 2020, Justice Ostrager specified that this restraint on Kwok included the Lady May.
- Defying the order, in April 2020, the Lady May was transferred to HK USA, another shell entity held by Guo, and sailed to the Bahamas and then to Europe. In re: Ho Wan Kwok, et al., supra., Doc. 1, pp.4-5:
But unbeknownst to Justice Ostrager and PAX, the Lady May had already left New York for Florida on or about October 9. The yacht then went to the Bahamas, and finally to Europe.
- On February 9, 2022, the court issued a contempt order with a daily fine of $500,000 to Guo. See, In re: Ho Wan Kwok, et al., supra., Doc. p. 5:
Justice Ostrager held that evidentiary hearing on February 2, 2022. After hearing testimony from seven witnesses, Justice Ostrager concluded that “[t]he testimony adduced at the hearing out of the mouths of [Kwok]’s witnesses clearly and convincingly demonstrated that Kwok beneficially owns and controls the Lady May and has utter contempt for this Court and the judicial process.” The court further found that “[n]ot only does Kwok control the yacht, it appears he provided the funds to purchase it and he is the person who principally enjoys the use of the yacht.” As a result, Justice Ostrager entered the February 9 order of contempt (the “Contempt Order”), which imposed a $134 million fine, based on the “268 days,” “[a]s of February 7, 2022,” that “the Lady May ha[d] remained outside the jurisdiction of the Court.”
- On Sep. 13, 2021, the SEC Charges Three Media Companies affiliated with Guo with Illegal Offerings of Stock and Digital Assets. See, Companies to Pay More Than $539 Million in Settlement for Distribution to Investors
- On Feb 15, 2022, Guo filed for bankruptcy:
- On July 8, 2022, Luc Despins, partner at Paul Hastings LLC, was appointed by the Bankruptcy Court in Bridgeport, Connecticut, as a trustee.
- Since then Guo’s people have conducted an extensive campaign of attack to harrass Despins.
With the case going poorly for Kwok, Kwok turns to his large social media following.
Over time, Kwok has amassed over 1 million followers across various digital and media platforms such as YouTube, GTV, Twitter, and Gettr. Kwok has a “verified account” on Gettr, as indicated by the red “V” next to his username, and posts several times a day to an audience of more than 171,000 Gettr followers.
Kwok published information and harassing and defamatory statements about PAG’s Chairman and his family, the Trustee and his family, and PAX’s and the Trustee’s counsel, urging his followers to protest at their homes or offices.
On November 16, 2022, Kwok reposted and pinned on Gettr, one of his primary social media outlets, a post by the “Himalaya Global Alliance” (originating from a Gettr account called “NFSC Speaks”) urging supporters to protest at the addresses of “known CCP operatives and sympathizers.” The communication published (i) the home address of the Trustee; (ii) the home addresses or cities of residence for the Trustee’s former spouse and his (iii) the New York office address of the Trustee’s counsel, Paul Hastings LLP; (iv) the home addresses of the Chairman of PAG,2 Mr. Shan and his family members; and (v) the New York office address of PAX’s counsel, O’Melveny & Myers LLP.
Guo’s Liabilities At This Point
Liabilities | Amount ($ million) |
Liability to PAX | 116 |
Fine due to Lady May | 134 |
SEC Settlement | 539 |
Total | 790 |
On March 15, 2023, Guo Wengui aka Miles Kwok was indicted with William Je (at large) on multiple counts of Securities and Wire Fraud. HarkHerald.com has published multiple articles exposing both of these men since September of 2021. Multiples Counts were brought against both men and other’s unknown: See, SEC Charges Exiled Chinese Businessman Miles Guo and His Financial Advisor William Je in $850 Million Fraud Scheme:
“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.”
Some of those organizations’ websites, such as the Rule of Law Society (Bannon), and Guo Media, have recovery emails and recovery phone numbers based in Mainland China. See, SIDEBAR: IT Connections Between Guo Wengui, Bannon and China
On March 18, 2023, Guo’s supporters started protesting against the indictment, some were even attacking the credibility of the FBI.
As Luc Despins, the trustee appointed by the Connecticut Bankruptcy Court in Davenport, a partner of Paul & Hastings LLC, summarized:
Guo’s “modus operandi is to utilize social media as a tool to harass and intimidate his adversaries as he attempts to evade the legal process… [falsely accusing his targets of being] operatives of the Chinese Communist Party (“CCP”). [He goes even to the point of], publishing to his 171,200 followers on the online social media platform Gettr the home and work addresses of the parties adverse to him.
(See In re: HO WAN KWOK, et al., Case No. 22-05032, Doc 1, p. 2 (D.Conn.Bk.Ct. 2022).
Participants came from Canada, Europe, and Singapore to harass Luc Despins and the SEC.
- They attacked Luc Despins, his law firm, and falsely accused the SEC’s action as being paid for by the CCP. Guo’s followers simultaneously launched their assaults in multiple locations in the US and Japan.
One of the main people organizing the attacks was Pamala Tsai of Epoch Times. She also appears now on Guo TV as “Nicole.” Below is a screenshot of Pamala Tsai with Bruce Chasan, Founder of the Law Offices of Bruce J. Chasan, LLC.
- Pamela Tsai now works for Guo under the alias of “Nicole”:
- Court documents from In re: HO WAN KWOK, et al., supra., evidences some of Pamala Tsai’s aliases.
- On Nov 23, 2022, the court issued a Temporary Restraining Order.
- The attack continued:
- This is Pamela Tsai threatening Despins and the court:
- Pamela Tsai was making threats with another harasser, Beile Li, who is on the list submitted to the Court by Despins, identifying who was harassing him:
- Luc Despins identified Pamela Tsai, aka Nicole, as the leader of this campaign to harass him and his family:
- Interestingly one of the participants of this campagin against SEC and Luc Despins is Mr Ji Guangcao. (See, An et. al. v. Despins et. al. Case No. 22-10062 S.D.N.Y.; & Zhou et. al. v. United States Securities and Exchange Commission et. al. Case No 21-10600 S.D.N.Y.)
According to the Chinaqw site, or China Qiao Wang, the leading United Front affiliated website, Mr Ji is the leader of a United Front affiliate, Dallas Ft Worth Chinese Alliance (DFWCA).
A notice posted 9 years ago indicates Mr. Ji was one of the founders of DFWCA
According to Baidu, China Qiaowang which covered Mr. Ji’s trip to China on Aug 1, 2014 has “extensive and close ties with Chinese government agencies“, responsible for “conveying government information on Overseas Chinese Affairs“.
Who is Pamela Tsai?
In helping you understand Guo’s network, we’ll use Pamela Tsa, aka “Nicole,” as an example.
- Hours after Guo was indicted, Pamela Tsai appeared on YouTube in a video spreading propaganda that Guo’s indictment was a conspiracy between the FBI and the Chinese Communist Party:
- Pamela Tsai is/was the Marketing Director for Epoch Times.
- Pamela Tsai also helped instigate the J6 insurrection by spreading election propaganda when she was interviewed by Isobel Yeung:
- Shortly after Yeung reported the Chinese involvement in J6, Pamela Tsai produced a video attacking Yeung as a communist collaborator.
- This is Isobel Yeung reporting on China’s oppression in East Turkestan.
- This was Yeung’s interview with Guo
- In 2022, Pamela Tsai appeared frequently on GTV (Guo TV), as a host, under the alias of Nicole.
- Pamela Tsai promoted cryptocurrency, falsely claiming she was a former US Treasury employee who retired early after making a windfall from Guo’s cryptocurrency. She further claimed this fortune gave her the freedom to participate in the New Federal State of China (NFSC), and its relief effort in Ukraine.
- However this “Ukrainian relief effort” by NFSC accomplished little and was more of a photo op to raise money than a true effort to help the Ukrainian refugees.
On March 7, 2023, Mother Jones reported: Steve Bannon, an Exiled Mogul, and the Ukraine Rescue Effort That (Mostly) Wasn’t
- Pamela Tsai has established herself as a prominent face for the New Federal State of China, an entity created by Guo Wengui, that was also one of the top sponsors for CPAC 2023:
- Pamela Tsai (aka Nicole) and Beile Li promoting NFSC in CPAC
- Before going to CPAC, Pamela Tsai led Guo’s team in attending the Amerifest 2022, an event held by Turning Point USA and featuring Mike Lindell and Kari Lake:
- Pamela Tsai was a featured guest of the event:
- With her associate Beile Li:
- Beile Li was a leader organizing attacks against SEC, falsely alleging that SEC’s was acting upon the order of CCP to charge Guo.
- This is Beile Li falsely attacking Luc Despins and Paul Hastings LLC as receiving orders from CCP
- Asked by the Connecticut Court of Bankruptcy, Luc Despins also listed Li among the 10 main attackers:
- Guo enthusiastically endorsed this new NFSC delegate:
- Steve Bannon also endorsed the NFSC:
The Epoch Times
The Epoch Times’s support for Guo Wengui and William Je, through Pamala Tsai, seems contrary to their stated position of supporting law and order.
- The Epoch Times is controlled by the Falun Gong, once tolerated by the CCP for the purpose of relieving religious pressure in China.
- In 1990s Falun Gong grew rapidly thanks to its sponsor at that time, Mr. Wu Shaozu. (1939-2012):
- According to Baidu, Mr. Shaozu Wu was a People’s Liberation Army (PLA) Major General in charge of China’s nuclear and ballistic missile research and development, and a member of the 12th, 13th, 14th, and 15th Central Committee of the Communist Party of China. Wu Shaozu Bio on Baidu
- General Wu Shaozu’s open support greatly enhanced Falun Gong’s profile
- After the Falun Gong grew large and powerful, it made the mistake of publicly disagreeing with some of the CCP’s policies. It staged a public demonstration against CCP on April 25, 1999. Afterwards the CCP began oppressing the organization. General Wu Shaozu pleaded for forgiveness on behalf of Falun Gong. Jiang Zemin, CCP’s General Secretary turned him down. Falun Gong went into exile.
- On March 10, 2022, OpenDemocracy published a report: The media giant you’ve never heard of, and why you should pay attention
“In September 2003, The Epoch Times launched an English-language news website, with a New York print edition a year later. Editions in Spanish, Russian, German, French, Romanian, Swedish, Czech, and Slovakian soon followed. In the early 2000s, several other media outlets linked to Falun Gong launched, including Vision Times, the Sound of Hope radio network, and NTD TV. Sources of funding for these various outlets are unclear. According to The New York Times, former Epoch Times employees believed that the outlet was “financed by a combination of subscriptions, ads, and donations from wealthy Falun Gong practitioners”.
In this same time frame, multiple newspapers across the United States, and in fact the world, were contracting or going out of business, yet the Epoch Times was expanding into a multi-lingual giant publishing in 33 countries.
The question arises as to where the money came from to cause this miraculous expansion of what was once a small New York local newspaper, in such a short time.
Contrary to the portrayal of an anti-CCP personality for the Epoch Times in the above article, recent OSINT in the Chinese Community indicates that Falon Gong, realizing its mistake, has been trying to get back into the good graces of the CCP. It has evolved into a controlled opposition group of the CCP, with a mission of recruiting “useful idiots” to spread CCP propaganda.
- After Xi Jinping came into power in 2012, Falun Gong was hopeful that Xi would restore its legal status in China, It hoped to return to China as a major Chigong organization endorsed by CCP. To win Xi’s favor, Falun Gong carried out a multiyear propaganda campaign falsely promoting Xi as a reform-minded leader who would reintroduce religious freedom in China.
In future reports, we will share with our readers how the Epoch Times collaborated closely with senior agents of the United Front, through people like Pamala Tsai, to spread right-wing propaganda designed to divide and weaken the Western World.
Questions Raised
As stated before, the participants in the above-described attacks came from Canada, Europe, and Singapore, to the U.S., to participate in these orchestrated protests on Luc Despins, on the YouTube propaganda sites, at protests at the homes of Guo’s opponents, and in other actions against Guo’s opponents over the years,
These multinational attacks, springing up on such short notice, raise some questions that need to be investigated by law enforcement along with other questions:
- Who has paid for the transportation, housing, and expenses of these protestors?
- GETTR is owned by Guo Wengui. Evidence has been presented that Guo is connected to the Chinese Ministry of State Security. (MSS) The MSS is the equivalent of the Russian KGB, receiving 15%of Russia’s intelligence budget, but doing hardcore intelligence work, like the CIA.) See, BIG LIES & BIG MONEY: HOW THE CCP, STEVE BANNON AND GUO WENGUI ARE ACTIVELY UNDERMINING AMERICAN DEMOCRACY
- Organized posts on GETTR are coordinating these protests, directing gatherings as to time, place, and message.
- William Je, Guo’s co-defendant, has been evidenced to be a senior Chinese United Front Work Department (United Front) agent. The United Front is the equivalent of the psyops arm of Russian FSB, in that it is China’s main information warfare intelligence department and both receive around 85% of their countries’ intelligence budgets. See, MAGA Leaders Financed By Chinese Intelligence Agency To Conduct Psychological Warfare Against United States
- To what degree is the United Front, a Chinese intelligence (information warfare) agency, and the MSS involved in these protests, whose main purpose is to create media events at which they shout misinformation into a camera?
- Aside from GETTR, China is involved in a number of other social apps posting propaganda regarding the 2020 election, Covid, and vaccines, designed to divide U.S. society. This includes Truth Social, now under investigation for laundering Russian money, and Parlor, which is hosted in China.
- What is Chinese involvement in these platforms and is it coordinated with Russia?
- A mysterious fire broke out six hours after Guo was arrested and transported by the FBI. There is an ongoing investigation by the FBI to determine if the fire was set remotely. See, Fire Breaks Out at NYC Penthouse Hours After Chinese Businessman Arrested in $1B Fraud
- What evidence was destroyed, and why?
- The evidence as to the charges Guo and Je face is either available through SEC filings, corporate records, or bank records and is already in the possession of the prosecution or they could not have brought the indictment. A fire destroying Guo’s copies of those records would be pointless. Were there intelligence communications in Guo’s apartment that were so sensitive as to chance setting a fire to destroy those documents with members of the FBI present in the apartment when the fire was remotely detonated?
- Mainstream media has erroneously focused on Guo’s financial fraud. The government sees Gou as a much larger threat. In a filing, on 3/22/2023, in a related case where the Defendant believes Guo Wengui may have records related to his charges, the Defendant stated, parroting the government motion opposing bail in Guo’s case:
“Guo’s criminal behavior only escalated over time to the point that the DOJ is of the opinion that he should be denied bail as he presents a high risk of inflicting more economic harm and threats to the personal safety of our citizens. Indeed, when FBI agents were searching his residence after his arrest, a fire unexpectedly started and the FBI had to evacuate and leave behind evidence that it was trying to collect. He was and remains a clear and present danger to our country.” See, UNITED STATES OF AMERICA vs. PRAKAZREL MICHEL, ET AL., Defendants, Case 1:19-cr-00148-CKK (D.C.Dist.Ct. 2019), Doc. 239, p. 4.
- To narrowly report on the Guo indictment, without addressing his connections to Chinese Intelligence, or his connections to other Chinese presently facing criminal charges, like the case above, denigrates the national security threat posed by Guo and Je through their network of websites and contacts spreading propaganda. See, Chinese businessman with links to Steve Bannon is driving force for a sprawling disinformation network, researchers say
- Guo’s indictment, and denial of bail, opens a window for Western nations to investigate how Guo’s disinformation network operates and its relationship with various institutions pretending to be anti-CCP. Penetrating and dismantling that network will not only offer valuable intelligence into the CCP’s clandestine operations but also present an opportunity to identify the part of the United Front misinformation network that CCP intelligence has built throughout the Western world. That includes the U.S., Canada, the U.K., Denmark, the Netherlands, New Zealand, Australia, and some parts of South America.
CONCLUSION
Hark Herald Press will continue to focus on Guo’s MSS network and its financial relationship with the United Front, which includes individuals and organizations publicly posing as anti-CCP.
Pamala Tsai has been portrayed as the Marketing Director for the Epoch Times.
- Pamala Tsai falsely posed as a former Treasury Agent while endorsing the very investments Guo and Je have now been indicted for by the United States. Investments, and 501(c)(3) organizations, that were also promoted by Steve Bannon.
- Pamala Tsai is orchestrating protesters targeting individuals opposing Guo Wengui in his bankruptcy case in Connecticut.
- Pamala Tsai is appearing on GTV as Nicole in an attempt to hide her identity and ties to Epoch Times.
- Pamala Tsai agitated the J6 insurrection and attacked a reporter who truthfully reported on the Chinese involvement in J6.
- Pamala Tsai is rapidly organizing protests against the arrest and indictment of Guo Wengui and William Je on March 15th, 2023.
- The Epoch Times is spreading the very same propaganda about the “Stop the Steal,” Covid, vaccines, and the “radical left,” as is being promoted by organizations known to be controlled by the United Front.
- Hark Herald leaves it to you to consider if there is enough smoke to look for a fire. (Besides the one at Guo’s apartment.)
Thamk you so much!! True reporting of the truth
Incredibly well researched. This had to take a tremendous amount of time.
I applaud your amazing work, Bravo! Not sure readers realize virtually all of Guo’s victims and followers are Chinese, most of whom do not speak English. Many of his victims are in China and there are evidence when anyone turns against him in China they disappears quickly, mostly likely reported by him to Chinese authorities. I am a victim of Guo’s scams in US and have reported them to the SEC and FBI. It is absolutely true that this scam goes far beyond just money. Guo was and continues to be a CCP operative aimed at the destruction of America. He should rot in jail and his network must be destroyed. Your article help Americans to see how evil this guy is. Keep up the good work!
Incredible detail. Absolutely jaw dropping. Amazing work, James!