The US authorities stated that fugitive Chinese billionaire GWG was arrested in New York on Wednesday morning for plotting a complex conspiracy to defraud thousands of his online followers of at least $1 billion. A federal indictment released in Manhattan accused GWG and a co defendant of using GWG's "enormous online influence" to "promise huge economic returns and other benefits To attract investment in various entities and projects. In a statement, New York Southern District federal prosecutor Damian Williams stated that GWG "is accused of using the money he stole to enrich his personal finances, including buying a 4600 square meter mansion, a $3.5 million Ferrari, and even two $36000 mattresses for himself and his close relatives." Williams said that the money was also used to fund a $37 million luxury yacht. GWG, also known as Miles Guo, is a business partner of Stephen Bannon, who served as a senior advisor to former President Trump. In August 2020, Bannon was arrested for fraud on a yacht owned by GWG; Bannon refused to plead guilty to these charges, and Trump later pardoned Bannon.
The indictment alleges that GWG and co defendant Yu Jianming misappropriated most of the funds. The indictment states that the G | Club's $26.5 million funds were used to purchase GWG's luxury home in New Jersey; More money is used to pay for the luxurious decoration, furniture, and decorations there, including nearly $1 million worth of Chinese and Persian carpets, a $62000 TV, and a $53000 fireplace wooden frame. “