Donor pleads guilty to .5 million scam after deceiving investors about access to Trump.
In a significant legal development, Sherry Xue Li, a 53-year-old donor who previously associated with Donald Trump at a 2017 fundraiser, has entered a guilty plea in a federal court in Long Island regarding a fraudulent scheme that swindled victims out of .5 million. Li admitted to deceiving foreign nationals, specifically from China and Singapore, by falsely promising them access to U.S. green cards and connections to then-President Trump in exchange for investments in a purported real estate project in upstate New York.
Li, along with accomplice Lianbo “Mike” Wang, 48, was arrested in 2022 after investigations revealed their involvement in a complex financial fraud that included violations of federal campaign finance laws. Their contributions, totaling 0,000, made them among the largest donors to the Trump Victory Fund, where they engaged in illegitimate straw donor activities without the fund’s awareness, according to prosecutors. Trump himself is not implicated in this case.
The pair used a photograph taken with Trump and First Lady Melania Trump during the fundraiser to bolster their claims of influence and the anticipated success of their project. However, court filings indicate that they had not secured the necessary local permits and had no viable plan to materialize the Thompson Educational Center they promised to construct, which they marketed as a significant investment opportunity.
While Wang pleaded guilty last year and received a five-year prison sentence, Li delayed her plea, speculating that the political environment under the Trump administration could favor her case. However, as trial dates approached, she reconsidered and ultimately pleaded guilty to charges including money laundering conspiracy and obstructing Federal Election Commission regulations.
In conjunction with her plea agreement, Li consented to forfeit the .5 million and several properties, and she now faces a maximum of 20 years in prison, with sentencing scheduled for December. U.S. Attorney Joseph Nocella emphasized the severity of the fraud, which impacted over 150 victims who were misled through what the prosecution termed a systematic web of deceit exploiting legal immigration frameworks.
Li and Wang’s fraud extended to promising investors a return on investments that never materialized, with significant funds diverted for personal expenditures such as luxury clothing, fine dining, and vacations. Despite their efforts to present legitimate business plans, immigration authorities continually rejected green card applications from their investors due to the lack of credible business models.
This case highlights ongoing concerns over unlawful foreign influence in American political and economic systems, as well as the complexities of fundraising within political landscapes. The implications of such fraudulent activities not only affect individual investors but also pose risks to the integrity of democratic processes. Media News Source.
