On September 5, 2024, in New York, former deputy chief of staff to Governor Cuomo, Sun Wen, and her husband Hu Xiao were arrested. The prosecution charges Sun Wen with violating the Foreign Agents Registration Act, acting on behalf of the Chinese Communist Party, visa fraud, smuggling of foreigners, and conspiracy to launder money. Hu Xiao is charged with money laundering conspiracy, conspiracy to commit bank fraud, and misuse of identity documents. Both are prohibited from contacting the Chinese Consulate and its diplomatic missions during their trial.
The 65-page indictment provides many details of the case.
To repay Sun Wen for her political activities on behalf of Henan Province, CC-1 (Chairman of the Henan Association) and CC-2 (President of the China Overseas Chinese Business Association, Shandong native) assisted Sun Wen’s husband, Hu Xiao, in his business development in China.
As early as 2016, CC-1 discussed with Sun Wen how to expand Hu Xiao’s seafood export business to China. CC-1 shared a news article with Sun about a U.S. city shipping live lobsters to Zhengzhou, Henan Province for the first time. Sun immediately inquired about the opportunity to participate in that business. CC-1 responded, “definitely an opportunity.” A month later, CC-1 reiterated the desire for Sun and Hu to export live lobsters to Henan Province.
From February to March 2017, CC-1 arranged for Sun Wen to speak at the “China Henan International Investment and Trade Fair” held in Zhengzhou, where she was asked to speak on behalf of New York State on economic trade relations between China and New York State. She planned to present her speech drafts to CC-1 but spoke on behalf of New York State in the Henan Free Trade Zone without authorization.
CC-1’s organization handled Sun’s registration and arranged travel for Hu Xiao, Sun Wen’s parents, Hu’s Chinese business partners, and a representative from Company A. Sun Wen told her parents that the Henan Provincial government representative gave her young son a red envelope containing $200. She was aware that the Chinese government partially funded this trip and mentioned in communication with Company A that it seemed “all expenses were covered by the Henan government.”
In March, she learned that the Overseas Chinese Affairs Office had booked rooms for her team and discussed with CC-1 how to assist her husband in launching his seafood import business in China.
During the coordination with the Henan Provincial government, CC-1 helped arrange meetings for Hu with several business institutions in Henan Province and personally intervened in Chinese customs issues to facilitate the import of live lobsters.
Later in 2017, CC-1 and CC-2 continued to assist Hu in business development in China, discussing business proposals and visiting multiple cities in Shandong Province with Hu.
In early 2018, CC-1 and CC-2 helped arrange for Sun Wen to attend a conference organized by the National Federation of Returned Overseas Chinese, responsible for her travel arrangements. The conference was organized by the United Front Work Department, and Sun Wen was accompanied by CC-2 and a representative from the State Council Overseas Chinese Affairs.
Sun Wen asked CC-1 to help Hu Xiao with his first investment in China and used coded language to indicate financial benefits for Hu from CC-1, which would be his first “loan.” CC-1 agreed to help, saying CC-2 would “go all out.”
On January 30, 2018, Sun Wen attended a conference of the China Federation of Overseas Chinese Associations in Beijing. CC-2 booked the presidential suite where former First Lady Michelle Obama stayed during her visit to Beijing for Sun.
In February of the same year, Chinese news reports mentioned a meeting between CC-2’s delegation and the China Federation of Overseas Chinese. An article with a photo showed Sun Wen (fourth from the left) and CC-2 (third from the left) standing with several members of the China Federation of Overseas Chinese, including the chairman and the Communist Party secretary. Sun sent a news article link to her parents, reporting on the visit of a delegation from the United States Chinese Entrepreneur Association to the Deputy Director of the Overseas Chinese Affairs Office.
Additionally, CC-1 and CC-2 continued to assist Hu Xiao’s business in China as a reward for Sun Wen’s participation in the China Federation of Overseas Chinese conference. CC-2 solicited project updates from Hu and his business partners, and Hu provided a document titled “Lobster Project Entry Agreement.”
While working at the Empire State Development Corporation in New York, Sun Wen went on official business to Jiangsu Province with colleagues. During this time, she received undisclosed and unauthorized benefits from Jiangsu Province officials, including arranging a job opportunity in China for her cousin. These benefits were not reported to the Empire State Development Corporation. Sun Wen also assisted a Jiangsu Province delegation in signing a memorandum of cooperation with Governor Cuomo during their visit to New York, similar to her previous cooperation with a government delegation from Henan Province.
On April 22, 2016, Sun Wen and her husband received a remittance of $47,895 from mainland China for travel expenses. On May 14, Sun Wen began her trip to Jiangsu Province and returned to New York on May 24.
On May 20, Sun Wen mentioned meeting with the Chairman of the Jiangsu Council for the Promotion of International Trade, who offered her cousin a job when she mentioned he was looking for work. In subsequent communications, Sun Wen confirmed that her cousin had secured a ten-year employment contract through contacts at the Jiangsu Council for the Promotion of International Trade.
In 2019, Sun Wen participated in drafting a memorandum of understanding between Jiangsu Province and New York State, encouraging government-to-government exchanges in the fields of science, technology, and innovation, involving universities, research institutions, enterprises, and other key stakeholders, and promoting cooperation in basic research, technological innovation, and commercialization of research results. The memorandum also planned to “establish mechanisms for exchange and cooperation between the State University of New York and universities in Jiangsu Province.”
On October 29, 2019, Governor Cuomo and the Deputy Governor of Jiangsu Province signed the memorandum in Manhattan, hosted by the Foreign Affairs Office of the Jiangsu Provincial People’s Government.
On December 20, 2023, more than six months after leaving the New York State government and being dismissed, Sun Wen sent an email to the District Affairs Director of the Governor’s Office and the newly appointed Consul of the Chinese Consulate in New York, suggesting finding a liaison to facilitate cooperation with the Governor’s Office. On February 8, 2024, the District Affairs Director received an email aimed at reestablishing contact between New York State and Jiangsu Province, mentioning the memorandum of understanding.
To be continued…