A $200 million MLM pyramid fraud called CKB168 preyed on Asian-Americans in the US. Most CKB168 victims were based in China when they traveled abroad.
CKB168 was shut down by the SEC back in 2013. Sixteen of the top promoters and executives of CKB168 were sued in all. The DOJ also brought parallel criminal allegations in 2015. Several CKB168 defendants have resolved the fraud allegations over the years.
The SEC has now obtained a final judgment against the remaining non-settling defendants, nine years after the SEC first requested it.
Over the years, we have kept a loose log of CKB168 events. Because CKB168 mostly targets victims who speak Chinese, we didn’t formally review it.
Three CKB168 settlements were known to us as of January 2022: Heidi Mao for $784,729; Cheongwha “Heywood” Chang; and Toni Tong Chen for $2,101,949.81 collectively.
The SEC issued the following list of the remaining settlements, which includes the most recent final judgments, in a news release on August 12th: CKB executives Hung Wai “Howard” Shern and Rui Ling “Florence” Leung are jointly seeking $178,749,545 from CKB, WIN, CKB168, Biz Solution, and Cyber Kids; Leung and Shern could each face extra fines of $13.7 million.
Yao Lin and Ouni International Trading Inc. are separately responsible for $2.35 million, while Daliang “David” Guo and Rosanna LS Inc. are collectively responsible for $5.1 million. Lin might face additional fines of $1.89 million.
Rayla Melchor Santos is asking for $1.04 million, and Joan Congyi “JC” Ma is asking for $1.95 million. In addition to the criminal case CKB168, In June 2019, Daliang “David” Guo received a 144-month prison term.
In 2016, Wen Chen “Wendy” Lee, Chih Hsuan “Kiki” Lin, and Cheong Wha “Heywood” Chang received prison sentences of 21 months, 37 months, and 12 months, respectively. Toni Tong Chen, Chang’s wife, received a 20-month prison term in 2016.
Except for Guo, all of the CKB168 defendants entered guilty pleas. A federal jury found Guo guilty in 2018.