Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 1 of 9
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`UNITED STATES DISTRICT COURT
`SOUTHERN DISTRICT OF NEW YORK
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`UNITED STATES OF AMERICA
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`YVETTE WANG, a/k/a “YANPING”,
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`a/k/a “Y”
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`__________________________________________:
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`Case No. 23-cr-118 (AT)
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`VERIFIED PETITION UNDER
`FED R. CRIM. P. 32.2 FOR
`ADJUDICATION OF
`PETITIONER’S RIGHT TO
`SPECIFIC PROPERTY
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`G CLUB OPERATIONS, LLC (“G Club” or “Petitioner”) , by and through its undersigned
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`counsel, Green & Sklarz LLC, pursuant to 21 U.S.C. § 853(n) and Fed. R. Crim. P. 32.2(c), hereby
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`respectfully petition the Court for a determination of the Petitioner's interest in the specific
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`property identified on Exhibit 1 (the “Seized G Club Assets”) hereto, which is a subset of the
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`property identified in the Consent Preliminary Order of Forfeiture as to Specific Property/Money
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`Judgment (ECF No. 488 the “Forfeiture Order”), and as further described in the Notice of
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`Forfeiture, attached hereto as Exhibit 2. In support hereof, Petitioner submit as follows:
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`The Petitioner and Connections to this Action
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`1.
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`2.
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`G Club is a limited liability company organized under the laws of Puerto Rico.
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`G Club operated out of an office in Puerto Rico, with staff based in Puerto Rico
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`who worked to promote G Club’s services.
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`3.
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`G Club operated “G|CLUBS,” a luxury concierge and membership program that
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`customers – known as “members” – could join. To become a member, a prospective member
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`signed a membership agreement and issued payments. G Club provided access to a concierge
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`service center with Mandarin and English bilingual support. G Club has thousands of members
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 2 of 9
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`located throughout the world. Miles Guo a/k/a Ho Wan Kwok (“Kwok”) was a spokesperson for
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`G Club.
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`4.
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`5.
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`The ultimate beneficial owner of G Club is Haoran He.
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`On March 15, 2023, Defendant Yvette Wang (“Defendant”) was arrested along
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`with her co-defendant, Kwok, based on charges, among others, of conspiracy to commit wire fraud
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`and money laundering, 18 U.S.C. § 371, in connection with false representations made to
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`prospective investors in GTV, the Himalaya Farm Alliance organizations, and members of G Club.
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`Petitioner was not charged in the indictment.
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`6.
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`Shortly thereafter, on June 1, 2023, an independent fiduciary, FFP (BVI), Ltd.
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`(“FFP”), an international fiduciary services and consulting firm (the “Independent Manager”),
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`began managing the Petitioner. FFP has a mailing address of Post Office Box 2429, Road Town,
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`Tortola VG1110, British Virgin Islands. Andrew Childe is the FFP director responsible for this
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`engagement. A copy of Mr. Childe’s C.V. is attached hereto Exhibit 3.
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`7.
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`On May 3, 2024, Defendant pled guilty, pursuant to a plea agreement, to
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`Superseding Information S4 23 Cr. 118 (AT) (the “Superseding Information”), which charged her
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`in two counts with participating in a wire fraud conspiracy and a money laundering conspiracy,
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`each in violation of 18 U.S.C. § 371. On January 6, 2025, Defendant was sentenced to 10 years in
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`prison.
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`8.
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`On July 16, 2024, Kwok was convicted at trial and is awaiting sentencing.
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`The Seized G Club Assets Originated from G Club’s Members
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`9.
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`The Seized G Club Assets reflect payments originating from G Club’s members for
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`their membership. Specifically, the Seized G Club Assets identified in Exhibit 1 all reflect direct
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`payments from members of G Club or otherwise are traceable to G Club membership payments.
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 3 of 9
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`Thus, Petitioner is the proper owner of these Seized G Club Assets, for purposes of ensuring the
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`return of funds to G Club members, as further described below.
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`Petitioner Was a Victim of Defendant
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`10.
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`G Club was not a defendant in this action and, to the contrary, was managed by
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`individuals in Puerto Rico who complied with government process and otherwise cooperated with
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`the Government, providing documents in response to subpoenas and other demands. And since
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`June 1, 2023, G Club has been managed by the Independent Manager who endeavored to cooperate
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`with law enforcement by responding to requests and providing information. Through counsel,
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`G Club advised the Government of the appointment of an Independent Manager before the
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`Independent Manager was appointed. G Club further discussed the membership funds and
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`accounts at issue with the Government.
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`11.
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`As described by the Government, G Club members were victims of Defendant’s
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`allegedly fraudulent activities and G Club, in turn, was equally a victim:
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`From at least in or about October 2020 through at least in or about
`March 2023, WANG and her co-conspirators fraudulently obtained
`more than approximately $250 million in victim funds through
`G|CLUBS... But, as WANG well knew, victims never received
`stock and instead G|CLUBS funds were used—often at WANG’s
`direction—to purchase, among other things, a 50,000 square foot
`New Jersey mansion; various furniture and decorative items
`including, among other items, Chinese and Persian rugs worth
`approximately $978,000, a $62,000 television, and a $53,000
`fireplace log cradle holder; a $900,000 Lamborghini, and a custom-
`built Bugatti sports car for approximately $4.4 million.
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`See Associate Of Miles Guo, Yvette Wang, Sentenced To 10 Years In Prison For Her Role In An
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`Over $1 Billion Dollar Fraud Conspiracy, Available at: https://www.justice.gov/usao-
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`sdny/pr/associate-miles-guo-yvette-wang-sentenced-10-years-prison-her-role-over-1-billion (last
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`visited Feb. 28, 2025).
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 4 of 9
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`12.
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`As set forth in the Government’s Sentencing Memorandum, Defendant diverted
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`G Club member funds:
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`But G|CLUBS money was not used to fund a media company, or
`even to fund any real member benefits. Rather, G|CLUBS money
`was used to purchase luxury assets, fancy sports cars, and a literal
`mansion for the Guo family. Wang was deeply involved in
`G|CLUBS and acted as its de facto CEO. She directed million-dollar
`money transfers, million-dollar luxury purchases, and all the time
`knew this membership club was no more than a smoke screen to
`conceal the same fraud tricks as the GTV private placement and the
`Farm Loan Program—an offering of GTV stock.
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`Government Sentencing Memorandum at 16, ECF No. 476.
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`13.
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`Petitioner, as a corporate entity, was not aware of the circumstances leading up to
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`the arrest and guilty plea of Defendant.
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`14.
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`Petitioner, through its Independent Manager and since that Independent Manager’s
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`appointment, refrained from accepting any more membership payments (or members) until the
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`issues alleged in the indictment were resolved and where members requested refunds, proceeded
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`to authorize the return of those refunds. The Independent Manager further endeavored to trace all
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`assets to ensure that all assets were preserved.
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`Defendant Cannot Have a Property Interest in Member Funds to Consent to Forfeiture
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`15.
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`Under no circumstances can Defendant assert any property interest in funds that are
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`alleged to have originated with victims and are alleged to be part of a criminal endeavor. As such,
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`Defendant could not have properly consented to the forfeiture of the Seized G Club Assets. With
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`respect to all assets of G Club, inclusive of the Seized G Club Assets, the proper owner of those
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`assets is G Club as an innocent third party for the benefit of its members. Alternatively, the funds
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`would belong to the Government, but never to Defendant.
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 5 of 9
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`16.
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`First, Petitioner is an innocent third party pursuant to 21 U.S.C. § 853(n). Any third
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`party “asserting a legal interest in property which has been ordered forfeited to the United States
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`pursuant to this section may ... petition the court for a hearing to adjudicate the validity of his
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`alleged interest in the property.” 21 U.S.C. § 853(n)(2). The petition, which is sworn and signed
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`by the Petitioner, “shall set forth the nature and extent of the petitioner’s right, title, or interest in
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`the property, the time and circumstances of the petitioner’s acquisition of the right, title, or interest
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`in the property, any additional facts supporting the petitioner’s claim, and the relief sought.” Id. §
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`853(n)(3).
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`17.
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`Here, G Club operated through individuals in Puerto Rico who worked to sell
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`membership benefits and provide services to its members unaware of any scheme by Defendant.
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`However, Defendant is alleged to have misappropriated and has since signed a plea deal in respect
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`of those allegations relating to member funds. Therefore, the proceeds of the Seized G Club Assets
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`should be returned to G Club for distribution to its members – subject to Government oversight
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`and approval.
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`18.
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`Currently, G Club exists solely for the purposes of (a) managing litigation; (b)
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`cooperating with Government requests; (c) winding down operations; and (d) attempting to
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`recover funds for the benefit of members. Since FFP became the Independent Manager, G Club
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`has neither accepted funds from members nor carried out material business operations other than
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`as set forth above.
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`19.
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`G Club files this claim because it is the only proper entity with an interest in the
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`funds paid by its members. More specifically, those funds originated from more than 8,000
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`members – and not from Defendant’s (or Kwok’s) personal assets. As an entity which operated
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 6 of 9
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`under the good faith belief that it was a legitimate business, with an Independent Manager, G Club
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`intends to wind down operations and return funds to its members.
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`20.
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`Second, in the event this Court determines that all assets of G Club constitute fraud
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`proceeds1 then the only other proper party is the Government, which will preserve funds for the
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`member victims. Pursuant to 21 U.S.C. § 853(c), “[a]ll right, title, and interest and property
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`[subject to criminal forfeiture] vests in the United States upon the commission of the act giving
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`rise to forfeiture.” 21 U.S.C. § 853(c). In other words, G Club funds cannot be converted into
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`assets of Defendant, despite her consent to the preliminary order of forfeiture.
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`21.
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`Additionally, the Government has indicated that it intends to seek forfeiture of
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`additional G Club assets. See Letter Dated March 18, 2025, from Department of Justice at 3-4
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`attached hereto as Exhibit 4.
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`22. While not specifically at issue in this Petition, it appears that Kwok, or by extension
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`the chapter 11 trustee (the “Trustee”) appointed in the bankruptcy case that Kwok filed in
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`Bridgeport Connecticut, In re Ho Wan Kwok, Case No. 22-50073 (Bankr. D. Conn. Feb. 15, 2022)
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`(the “Kwok Bankruptcy Case”), cannot claim an interest in the Seized G Club Assets, or any other
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`assets under jurisdiction of this Court. 21 U.S.C § 853(l);2 see Sweet v. United States (In re VPH
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`Pharmacy, Inc.), No. 18-11280, 2018 U.S. Dist. LEXIS 124224, at *6 (E.D. Mich. July 25,
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`2018) (“Further, district courts, not bankruptcy courts, have original and exclusive jurisdiction
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`over any action for the recovery or enforcement of any forfeiture.”); United States v. DeMiro, 446
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`B.R. 804, 808 (E.D. Mich. 2011) (granting motion for mandatory withdrawal as to “all matters
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`1 It must be noted, however, that not all members believe G Club was part of Defendant’s and/or Kwok’s fraudulent
`schemes as they did receive some benefits from G Club.
`2 “The district courts of the United States shall have jurisdiction to enter orders as provided in this section without
`regard to the location of any property which may be subject to forfeiture under this section, or which has been ordered
`forfeited under this section.” 21 U.S.C § 853(l).
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 7 of 9
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`pertaining to the seizure, forfeiture and distribution of the Forfeited Assets for exclusive
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`determination and adjudication by the Court in the criminal case”).3 Petitioner notes that the
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`conduct leading to the Forfeiture Order and the Seized G Club Assets predates the commencement
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`of the Kwok Bankruptcy Case.
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`23.
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`To the extent the Court determines that all proceeds are fraud proceeds (note, not
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`all G Club members believe to be the case), Petitioner nonetheless underscores that FFP, as the
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`Independent Manager, is prepared to assist the Government in tracing the assets that belong to
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`members and will assist the Government to facilitate the return of those funds to G Club members
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`and does not object to Government oversight of all further activities as it winds down operations.
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`Nor does G Club object to the proposed administrator for the remission process requested by the
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`Government, a process with which FFP can assist. See ECF No. 493.
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`Petitioner Has Filed a Timely Challenge to Forfeiture
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`24.
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`Petitioner has timely filed this petition seeking return of the Seized G Club Assets
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`to Petitioner as an innocent third party pursuant to 21 U.S.C. § 853(n).
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`25.
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`On or about February 10, 2025, Petitioner received the Notice of Forfeiture, which
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`states: “Any person, other than the defendant(s) in this case, claiming interest in the forfeited
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`property must file an ancillary petition within 60 days of the first date of publication (February 06,
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`2025) of this Notice on this official government internet web site, pursuant to Rule 32.2 of the
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`Federal Rules of Criminal Procedure and 21 U.S.C. § 853(n)(1).” Notice of Forfeiture at 7.
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`26.
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`Petitioner has thus timely filed this petition within 60 days of notice.
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`3 The Trustee in the Kwok Bankruptcy Case is currently pursuing various adversary proceedings related to G Club
`and their related professionals. See e.g., Despins, Luc A., Chapter 11 Trustee v. ACA Capital Group Ltd. et al., Adv.
`Proc. No. 5:24-ap-05249 (Bankr. D. Conn.) (seeking a judgment that G Club and other entities are alter egos of Kwok);
`Despins v. FFP (BVI) Limited, Adv. Proc. No. 5:24-ap-0506 (Bankr. D. Conn.)3 (claiming that payments made by G
`Club to FFP for services rendered should be “clawed back” and paid to creditors of the Kwok Bankruptcy Estate and
`not alleged victims of G Club).
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 8 of 9
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`WHEREFORE, Petitioner respectfully requests and petitions this Court:
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`A.
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`to amend the Forfeiture Order to exclude the Property in which Petitioner has a
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`right, title, and interest as an innocent third party or superior interest;
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`B.
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`C.
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`for a hearing pursuant to 21 U.S.C. § 853(n)(3) on any disputed matters;
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`in the alternative, and in the event that this Petition is denied, Petitioner hereby
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`respectfully asserts a claim for compensation for its interest in the Seized G Club Property; and
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`D.
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`for such other and further relief as the Court deems just and proper.
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`Date: April 4, 2025
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`THE PETITIONER
`G CLUB OPERATIONS, LLC
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`By:
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` /s/ Jeffrey M. Sklarz
`Jeffrey M. Sklarz
`Green & Sklarz LLC
`One Audubon Street, Third Floor
`New Haven, CT 06511
`Tel: (203) 285-8545
`Fax: (203) 823-4546
`jsklarz@gs-lawfirm.com
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`{00405802.7 }
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`Case 1:23-cr-00118-AT Document 597 Filed 04/04/25 Page 9 of 9
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`I, Andrew Childe, being over the age of 18 years and believing in the sanctity of an oath,
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`VERIFICATION
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`hereby state the following under the penalty of perjury:
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`1.
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`2.
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`I am a Director of FFP (BVI), Ltd. (“FFP”).
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`FFP was retained on or about June 1, 2023 as the been retained as the independent
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`manager of G Club Operations, LLC (“G Club”).
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`3.
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`I have personal knowledge or inquiry knowledge of the information set forth in
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`the above Verified Petition under Fed. R. Crim. P. 32.2 for Adjudication of Petitioners’ Right to
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`Specific Property (the “Petition”).
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`4.
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`5.
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`I am authorized to submit the Petition on behalf of G Club.
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`I attest and declare under penalty of perjury that my petition is not frivolous and
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`the information provided in support of my petition is true and correct to the best of my
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`knowledge and belief.
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`6.
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`On behalf of G Club, I have retained the above-named attorney and firm (Jeffrey
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`M. Sklarz, Esq. of Green & Sklarz LLC) who has authority to represent G Club in this matter. I
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`have fully reviewed the foregoing petition and found that its contents are truthful and accurate in
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`every respect. I declare under penalty of perjury that the foregoing information is true and
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`correct.
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`Date: April 4, 2025
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`_______________________________
`Andrew Childe
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`{00405802.7 }
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