California Surrogacy Child Abuse Case: Prosecutors Claim Xuan Armed Forces Leader Owns Substantial Assets

On October 14, 2026, California’s pro-Communist Overseas Chinese Leader, Guojun Xuan, and Silvia Shasha Zhang, involved in a large-scale surrogacy and child abuse case, are still in the early stages of judicial proceedings and both are in custody. According to court documents, prosecutors allege that the two controlled a large number of bank accounts and related assets, conducting transactions in the range of “billions”.

Guojun Xuan and Silvia Shasha Zhang were arrested again on October 6 and are facing serious criminal charges. Initially, prosecutors requested bail amounts of $100 million for each, which was later set at $20 million per person by a judge. Their defense attorneys stated on Monday (12th) that they are seeking further reduction of bail amounts to increase the likelihood of bail for both.

Los Angeles County Deputy District Attorney McKenzie Teymouri, who is responsible for prosecuting the case, argued in the bail motion submitted by the prosecution that the two defendants have a high risk of fleeing.

She pointed out that considering the nature and seriousness of the charges against them, the methods involved in the case, and the substantial financial resources of the two, the prosecution opposes reducing their bail. The following details regarding the case and financial situation are based on court documents submitted by the prosecution.

This high-profile case that garnered widespread attention burst into the public eye unexpectedly in May last year: Guojun Xuan and Silvia Shasha Zhang were found to be keeping 21 children in a mansion worth around $4 million, with most of the children born to different surrogate mothers but under the legal guardianship of the two.

Prosecutors stated in the bail motion that Guojun Xuan and Silvia Shasha Zhang were not legally married. When they started dating, Silvia Shasha Zhang was working for Guojun Xuan. The documents also mentioned that Silvia Shasha Zhang has a 13-year-old daughter from a previous relationship, while Guojun Xuan has a 5-year-old child from a previous partner.

According to court documents, from April 2021 to May 7, 2025, the two had 19 children through surrogacy. In the weeks following the establishment of the surrogacy agency, Mark Surrogacy, they purchased a mansion in Arcadia with an area of 10,287 square feet. Children seen on surveillance footage, apart from Silvia Shasha Zhang’s 13-year-old daughter, regardless of age or gender, all had their hair cut in a similar short style.

On May 9, 2025, all 21 children were taken into official custody. After placement, many exhibited behaviors related to trauma, including fear of bathing or going out, nightmares, unusual tolerance for pain, aversion to physical contact, and emotional withdrawal.

Los Angeles County Deputy District Attorney Nathan Hochman previously stated that the defendants had set up a “house of horrors” inside the mansion. The residence was equipped with 32 cameras to monitor the children and nannies, with at least 15 children suffering repeated physical abuse.

Investigators obtained approximately 10 days of surveillance footage, which recorded hundreds of instances of children being physically abused.

Guojun Xuan’s defense attorney, Mitchell Krems, denied the prosecution’s allegations and stated that the accusations of child abuse against Guojun Xuan are unfounded.

The prosecution argued in the bail motion that their investigation found Guojun Xuan to have control or management over approximately 200 bank accounts through personal signing authority or power of attorney, with one investment account exceeding $70 million. Some of these accounts are registered under the names of others, including relatives residing outside the United States. Silvia Shasha Zhang is also a co-signatory on some of the accounts and has been involved in related transactions.

Additionally, Guojun Xuan controls at least 70 company bank accounts. According to the prosecution, these accounts engaged in financial transactions totaling approximately $250 million per year from 2023 to 2025.

Guojun Xuan’s lawyers argued in their opposition filing that the total amount of transactions does not equate to net assets; accounts registered under the names of relatives and others, even with the defendant’s power of attorney, cannot be considered as personal assets.

The prosecution noted that Guojun Xuan and Silvia Shasha Zhang are known to hold passports from the United States, China, and Mexico. However, Guojun Xuan’s attorney disputed this claim, stating that the prosecution did not provide evidence to substantiate it.

In the bail motion, the prosecution argued that the defendants have close ties to China; both have previously resided in China and have family members living there. Evidence obtained during the investigation also shows that the defendants have the ability to easily send others to China. The prosecution believes that the nanny involved in the suspected child abuse in this case, Chunmei Li, is still in China.

The prosecution stated that surveillance footage also showed Silvia Shasha Zhang expressing concerns that some children might disclose the abuse within the residence. When she felt that the children could not be taught to hide the abuse, she suggested immediately sending the children to China.

The case is currently in the prosecution and investigation stages. If convicted, Guojun Xuan could face a maximum sentence of 17 years and 4 months in state prison, while Silvia Shasha Zhang could be sentenced to a maximum of 11 years and 8 months in prison.