Posted by (American Life Insurance Guide, Los Angeles) Recently, a number of cases of bribery and fraud in enrollment by well-known American colleges and universities broke out and made headlines in major U.S. media.
The largest bribe in the case came from a Chinese family.Tao Zhao, chairman of Buchang Pharmaceuticals, used $650 million to open the back door to Stanford University for his daughter, Yusi “Molly” Zhao.This is by far the largest case of college admission fraud in the United States.Since the college fraud case was exposed in March, it has been in the forefront of the storm.Chinese financial advisory groupThe experience of the industry is also worthy of industry thinking.
Chinese financial adviser fired by Morgan Stanley
According to a report in "Time" magazine, as in the admissions fraud case in March, Zhao Tao paid US$650 million to the "intermediary" William Singer through Michael Wu, a Chinese financial adviser under Morgan Stanley in Southern California. , Let her daughter enter Stanford University.
After the scandal broke out, Morgan Stanley fired Michael Wu, a Chinese financial adviser based in the Pasadena office.
American Life Insurance GuideThe reporter inquired about Micharl Wu's Linkedin records, which revealed that he was serving as the Managing Director at Morgan Stanley.
According to a Morgan Stanley spokesperson, Morgan Stanley's agent Michael Wu was fired for failing to cooperate with the internal investigation.Morgan Stanley said, "We are cooperating with the authorities."
Agent Michael Wu has not yet been sued.According to publicly available information, he has 16 years of experience in the brokerage industry. He previously served at Merrill Lynch for 10 years, and since 2015, he has served Morgan Stanley.
According to people familiar with the matter, the cooperation between Morgan Stanley's financial adviser and Singer, a key figure in the fraud case, lasted until 2015, when Singer's relationship with the bank ended.However, his relationship with the personal financial adviser seems to continue.
Morgan Stanley claimed that he "doesn't know the other side of Singer" and that "he has a legitimate business."
Attorney Michael Wu and the company have their own opinions
Earlier on May 5, according to the South China Morning Post, Michael Wu’s lawyer issued a statement stating that he was misled by Singer and that he was also found in Morgan Stanley’s service provider directory.
“Mr. Wu will seek any and all available legal recourse to defend his own rights,” Michael Wu’s lawyer Raymond Aghaian said on Thursday.
He added that Wu received the dismissal notice when he was abroad and has been "trying to fully cooperate with Morgan Stanley."
Chinese cross-border wealth management advisory industry confidence may be shaken
Although the two sides hold their own opinions, with the fermentation of fraudulent admissions cases in American colleges and universities, the always-concealed relationship between wealthy families in China and related overseas financial advisors has also appeared in the public's field of vision.
A Chinese client who has been managing assets by former financial consultant Micheal WuAmerican Life Insurance GuideSaid that when he saw the report related to Michael and the college fraud case in the Chinese media, he was shocked, "Financial consultants are in charge of the money after all."
Earlier this week, the “Wall Street Journal” reported that Qiu Xue Yang, a Chinese financial consultant from Oppenheimer & Co, California, helped a Chinese family pay 120 million in a recent college admissions cheating scandal in the United States. U.S. dollar payments.The case is currently under further investigation.
(Reported by American Life Insurance Guide Network)
