The recent indictment by the US Department of Justice (DoJ) of Bill Guan, the chief financial officer of Epoch Times, has sent shockwaves through the media industry. The accusations are serious – alleging his involvement in an international money laundering scheme worth around $67 million using cryptocurrency. According to the DOJ, from 2020 to May 2024, Guan orchestrated a large-scale operation to launder illegal funds into the bank accounts of his media company and its affiliates.
The allegations paint a picture of a sophisticated scheme, where Guan managed the company’s “Make Money Online” team from a foreign office to carry out the money laundering operation. The team used cryptocurrency to purchase illicit proceeds, primarily from fraudulently obtained unemployment benefits loaded onto prepaid debit cards. These funds were bought at discounted rates through a specific cryptocurrency platform and then converted into digital assets.
Guan’s deceptive practices didn’t stop there. When questioned by banks about the increased transactions, he allegedly misled them by claiming the funds were from donations. Furthermore, in 2022, Guan falsely informed a congressional office that donations made up an insignificant portion of the media company’s revenue. This deception allowed the company’s annual revenue to skyrocket by approximately 410%, reaching a staggering $62 million.
Now, facing charges for conspiracy to commit money laundering and bank fraud, Guan could potentially spend decades behind bars if convicted. The maximum sentence for money laundering is 20 years, while each count of bank fraud carries a potential 30-year sentence. US Attorney Damian Williams emphasized the seriousness of the allegations, stating that Guan conspired to benefit himself, the media company, and its affiliates at the expense of defrauded individuals.
The allegations against Bill Guan shed light on the dark underbelly of financial crimes in the media industry. This case serves as a stark reminder of the importance of upholding integrity and transparency in all financial transactions. As the legal proceedings unfold, the repercussions of this scandal will reverberate throughout the media landscape.