Securities Fraud Lawyer Blog
On September 7, 2021 in the Clark County Nevada District Court, Chinese businessman Patrick Sun was ordered to pay $996,572 to an investor in his Chateau Le Trois EB-5 investment program. Mr. Sun previously known as Yao Jiang, from Shanghai, China, legally changed his name from Yao Jiang to Patrick Sun in the Clark County District Court by way of a name change filing in February, 2012. Thereafter Yao Jiang began doing business under his new name, Patrick Sun.
In 2014, Mr. Sun and his then wife Ruomei Zheng put together a plan to develop a 14 acre parcel of land in the southwest Las Vegas valley to construct a mixed use development comprised of condos, a hotel and a convention center. They called the project “Chateau Les Trois.” The plan was to attract EB-5 investors, mostly Chinese nationals, who would provide the capital for a substantial portion of the development.
Mr. Sun didn’t own the land, which was located at 8030 W. Maule Ave near the 215 Freeway and Buffalo Drive in the southwest Las Vegas valley. Instead, Mr. Sun – through an affiliated LLC – held an option to purchase the land from a third party. Despite a written purchase contract to acquire the land, and numerous extensions provided by the seller, Patrick Sun never acquired the land, never pursued another EB-5 project on behalf of the CLT investors, and failed to return Plaintiff’s money.
Plaintiff’s investment into Chateau Le Trois was made as part of an approved “EB-5” investment program that offered foreign investors an opportunity to obtain legal residency in the United States in exchange for making an investment in an American business that created or preserved American jobs.
Patrick Sun was the managing partner or member of all of the Chateau Le Trois entities, and he and his then wife Ruomei Zheng were the managers behind the Chateau Le Trois securities offering and project.
Ms. Zheng was also the managing member of Silver State Regional Center, LLC, which was a necessary immigration component of the Chateau Le Trois EB-5/securities offering. Silver State had its status terminated by the US Citizenship and Immigration Service in April, 2018. Ms. Zheng is also a realtor in Las Vegas, and runs the Golden Asset and Property Management Company.
After being served as a Defendant in Plaintiff’s lawsuit Ms. Zheng filed for bankruptcy listing Plaintiff’s lawsuit as the primary liability which she is trying to discharge.
Patrick Sun never broke ground on his Chateau Le Trois project, and today the property is a 14 acre vacant parcel in the Nevada desert, owned by a third party. In April, 2020 Plaintiff contacted Patrick Sun to inquire about her Chateau Le Trois investment, and immigration status. Mr. Sun admitted that the project had not been completed. When Plaintiff demanded her money back, Mr. Sun promised to meet her face to face and provide her with a $500,000 cashier’s check as a refund. He then confirmed this during a “WeChat” session as well as on a voicemail message. After that, Mr. Sun stopped communicating with Plaintiff, and has not returned the money.
As a result of this conduct, Plaintiff filed a lawsuit in Clark County District Court, and on September 7, 2021 Judgment in the amount of $996,572 was entered against Patrick Sun.
Plaintiff was represented by The Law Office of David Liebrader in this matter.
The Law Office of David Liebrader practices exclusively in the field of investment loss recovery. For the past 26 years, we have dedicated our law practice to assisting investors who have been victims of investment fraud via fraudulent and unsuitable investment transactions. During that time, we have recovered money for over one thousand individuals, pension plans, trusts and companies. The recoveries we have obtained via judgments, awards and settlements on behalf of our clients exceed $50,000,000.
When investors contact our firm, they can expect prompt attention, and a detailed analysis of their issues. Typical claims that we are asked to review involve “unsuitability (where a financial advisor makes investment recommendations that are inconsistent with a customer’s investment objectives), claims for “churning” (where a broker enters into an excessive number of trades for the purpose of generating commissions), claims involving illiquid investments such as private placements (I.e., real estate investment trusts, limited partnerships, equipment leasing and oil and gas drilling programs) as well as claims for violations of state securities laws, which often provide investors remedies like attorney’s fees and interest, if they are successful on the claim.
If you suspect that you have been the victim of investment fraud, or had a financial advisor recommend unsuitable investments to you, call us today for a free, confidential consultation at (702) 380-3131.