California Property Investor in Child Abuse Case Linked to Repeated Illegal Casino Raids
Guojun Xuan and Silvia Zhang face child abuse charges after 21 children were removed from their Arcadia mansion. Xuan controlled an El Monte complex raided repeatedly since December 2021 for illegal casinos, methamphetamine, marijuana, and mushroom cultivation. The civil complaint and criminal case remain separate with no gambling conviction to date.
SCCG Take — The linked activities show how property ownership can mask overlapping criminal enterprises, complicating enforcement when civil and criminal matters proceed on parallel tracks.
A California property investor stands accused alongside his wife of abusing more than a dozen children born through surrogacy. The same man controlled a commercial complex where police conducted multiple raids uncovering an illegal casino, drugs, and evidence of trafficking.
Guojun Xuan, 66, and Silvia Zhang, 39, were arrested October 6 and appeared in a Pasadena courtroom the next day. They have pleaded not guilty to charges including conspiracy to commit child abuse and dissuading witnesses. Prosecutors allege the couple subjected 15 children, some as young as two, to repeated violence and encouraged nannies to administer beatings.
Repeated Raids at El Monte Commercial Complex
Xuan was already on law enforcement radar for suspected activity at Pacific Place on Valley Boulevard in El Monte. According to Casino.org, a September 2025 civil complaint filed by the City of El Monte detailed raids beginning in December 2021 after a tip about an illegal nightclub.
Officers stopped a man leaving the premises and found five pounds of methamphetamine. Inside they discovered an underground casino with electronic gambling tables and seized machines, cash, and additional methamphetamine. Police returned several times over three years.
A December 2024 raid uncovered gambling machines, poker and mahjong tables, counterfeit currency, and trash bags containing marijuana. One man detained said he was paid to manage the gambling by a group known as “the six friends.” The complex was also linked to Haoren Ma, a convicted felon known as “Dragon.” A March 2023 search revealed a psychedelic mushroom cultivation operation, more drugs, and a concealed handgun.
The complaint states Xuan transferred ownership between companies he controlled to conceal involvement and frustrate enforcement. However, Xuan has not been convicted of operating an illegal casino.
Separate Child Abuse Prosecution and Sentences
The child abuse investigation opened in May 2025 after a two-month-old boy was hospitalized with serious head injuries. Police found numerous children living in the Arcadia mansion under more than 30 surveillance cameras. Authorities removed 21 children from the couple’s custody, most born through surrogacy arrangements.
Prosecutors allege the couple watched footage of beatings and sometimes encouraged the abuse. The couple has denied the allegations via their attorney. Xuan faces up to 17 years and four months in prison if convicted. Zhang faces up to 11 years and eight months. The civil gambling allegations remain separate from the child-abuse prosecution.
Reporting: Casino.org News
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