Latest US lawsuit filed against fugitive tycoon Guo Wengui brings total claims to US$5.3 billion
New claim, worth US$3.7 billion, will be lodged by lawyer Kevin Tung pending further examination of the plaintiff’s arbitration in Chinese courts
China’s fugitive tycoon Guo Wengui may face additional legal action in the US, bringing total claims being pursued against him in New York State courts by mainland Chinese plaintiffs to about US$5.3 billion.
The latest claim, worth US$3.7 billion, will be lodged by Kevin Tung of the law firm Kevin Kerveng Tung PC pending further examination of the plaintiff’s arbitration in Chinese courts, said the attorney, who has filed two other lawsuits since June on behalf of clients trying to find recourse in a New York court for assets they weren’t able to recover in China.
Tung spoke to reporters in a briefing in New York arranged jointly with Beijing-based Wuchen Law Firm, an event that was just as much a demonstration as it was a press conference. The Beijing firm’s managing partner Li Yanxin also addressed a standing-room-only group of mostly Chinese journalists as well as pro- and anti-Guo demonstrators.
“Mr. Guo has never denied owing these creditors the amounts they haven’t been paid,” Tung told reporters at a press conference in New York. “The responsible thing for Guo to do would be to explain that the government has frozen his assets and ask his creditors for patience.
“Instead, he flaunts his wealth on social media, taunts the plaintiffs and dares them to come at him,” Tung added. “Look how much the claims are increasing. He just keeps inviting the claims against him.”
Tung and Li displayed photos of several of Guo’s assets in the US as some of the items that could be used to compensate their clients. Tung said he’s applied for a court injunction that would prevent Guo from transferring any funds or assets out of the US.
The items highlighted by the lawyers included a luxury Manhattan apartment currently on the market for US$78 million, a yacht docked in Manhattan worth an estimated 20 million euros (US$23.6 million), and an Airbus 319 worth US$94 million.
Last month, Guo boasted about a luxury apartment he claimed to own in one of New York City’s tallest buildings. The unit, which appears to be in 432 Park Avenue, has a 360-degree view of Central Park and looks out at the Statue of Liberty and the United Nations headquarters, according to a Twitter post Guo published at the time.
The first lawsuit Tung filed in New York against Guo amounted to about $50 million, brought on behalf of nine contractors who worked on properties in China owned by companies Guo controls. The second suit, which Tung says will be filed “soon”, involves a mix of companies and individuals seeking US$1.5 billion.
Another lawsuit Tung plans to file in New York is on behalf of a Chinese government official accusing Guo of defamation.
A property developer, Guo has close ties to former state security vice-minister Ma Jian, who is under investigation for corruption and is suspected of giving Ma 60 million yuan (HK$70.4 million) in bribes.
Guo has been living in self-imposed exile in his luxury New York penthouse overlooking Central Park.
China’s foreign ministry spokesman Lu Tang confirmed in April that Interpol had issued a “red notice” seeking Guo’s arrest.
Guo regularly takes to social media to level allegations of bribery and conspiracy against high-profile individuals in China, including President Xi Jinping’s top anti-corruption official Wang Qishan, usually through self-made videos.
Guo “is always saying things about the leaders of the PRC. Always saying he has information. Where is the information? There is no information”, Liang Guanjun, deputy director of the New York-based Overseas Chinese United Friendship Association, said from the podium after Tung and Li spoke.
“It doesn’t matter if you’re rich or poor in this country. It doesn’t matter if you’re a big lawyer or a small lawyer,” Liang shouted, drawing applause from some attendees. “The US is about the rule of law. Everyone is equal under the rule of law here.”
