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Couple Accused in Surrogacy Scandal to Seek Release From Jail, Attorneys Say

Prosecutors say the couple ran a surrogacy agency from their mansion and used 32 cameras to monitor alleged punishment of children as young as 2 months.

  • On Tuesday, attorneys for Guojun Xuan and Silvia Zhang requested their release from jail as the Arcadia couple remains in custody on $20 million bail each pending trial on child abuse charges.
  • Prosecutors allege the pair operated a "house of horrors" at their mansion, where CCTV footage revealed nannies carried out a "pervasive system of physical abuse" at the couple's direction between April 27 and May 7, 2025.
  • Operating their own firm, Mark Surrogacy Investments, the couple collected 21 surrogate children and maintained "learning centers" monitored by 32 surveillance cameras, allegedly misleading birth mothers about their family circumstances.
  • Defense attorney Mitchell Krems argued the couple faces unfair scrutiny, stating his client is "not abusive whatsoever," while Los Angeles County District Attorney Nathan Hochman called the residence a "house of horrors."
  • The FBI is probing the enterprise for money laundering and surrogacy fraud; if convicted, Xuan faces up to 17 years and four months in prison, while Zhang could face up to 11 years and eight months.
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Couple accused in surrogacy scandal to seek release from jail, attorneys say

An Arcadia couple facing child abuse-related charges in a surrogacy scandal plan to seek release from jail, according to their attorneys.

·Philadelphia, United States
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Pro-China community leaders in California, including Hsuan Kuo-Chun and Chang Szu-Wei, are involved in a large-scale surrogacy case. Prosecutors revealed that the couple controlled approximately 200 bank accounts with annual transactions reaching $250 million. They have close ties with China and face a high risk of fleeing. They could face up to 17 years in prison.

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MyNewsLA.com broke the news on Monday, October 12, 2026.
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