UN Influence-Peddling Scandal: Chinese-Born Pair Allegedly Paid $1 Million to Access UN

According to the report, this convoluted scam had multiple layers, dating back to 2015 and originating in China

UPDATED NOV 10, 2023

Flags from countries float in front of the headquarters of (UNESCO) in Paris, France | Getty Images | Photo by Chesnot

Chinese-Origin Individuals Accused of Infiltrating UN in Influence-Peddling Scheme

A comprehensive investigation conducted by the Organized Crime and Corruption Reporting Project (OCCRP), a global network of investigative journalists has uncovered a vast scheme involving two Chinese-born individuals, Cary Yan and his assistant Gina Zhou, who allegedly paid over $1 million to United Nations (UN) diplomats to gain unauthorized access to the UN's headquarters in New York. The investigation reveals that they aimed to establish a charity capable of joining the UN's Economic and Social Council (ECOSOC).

Security guard walk past the Chinese national flag at the Military Museum of Chinese People's Revolution | Getty Images | Photo by China Photos — Security guards walk past the Chinese national flag at the Military Museum of Chinese People's Revolution | Getty Images | Photo by China Photos

Unraveling the Scandal: A Multi-Pronged Scheme

According to the report, this convoluted scam had multiple layers, dating back to 2015 and originating in China, with the duo eventually becoming naturalized citizens of the Republic of the Marshall Islands. OCCRP reports that before their involvement in the Marshall Islands case, they embarked on a mission to purchase influence within the United Nations, aided by a variety of U.N. officials and representatives, including alleged Chinese agents. Among the officials named in the report are Ugandan Foreign Minister Sam Kutesa, Jean-Victor Nkolo, spokesperson for Kutesa, and Francis Lorenzo, then-Ambassador of the Dominican Republic to the United Nations.

Members of the United Nations General Assembly hold a meeting at UN headquarters | Getty Images | Photo by Mario Tama

The Ugandan Connection: A Hidden Web of Payments

The OCCRP investigation uncovered that Yan and Zhou utilized proxies to funnel over $150,000 from China, disguised as "tuition fees," into a "shadow account" operated by Ugandan diplomats. It was this underhanded financial maneuvering that funded the pair's meetings within the UN, even though none of the money had officially gone through the organization's bank accounts. This subterfuge ultimately forced Nkolo, Kutesa's spokesman, to resign from the UN before the conclusion of the inquiry. Foreign Minister Kutesa, who served as the President of the UN General Assembly from September 2014 to September 2015, was implicated in assisting Yan and Zhou in their efforts to gain access to UN officials. The report alleges that Kutesa and Nkolo arranged for photos of the duo with then-UN Secretary-General Ban Ki-moon during a climate conference, without Ban's knowledge of the financial arrangements behind the scenes.

The Role of Ambassador Lorenzo: Facilitating the Takeover

Francis Lorenzo, formerly the Deputy Ambassador from the Dominican Republic to the United Nations while serving in his UN role, reportedly aided Yan and Zhou in acquiring an existing non-governmental organization (NGO) with U.N. accreditation. The plan was to rename the NGO and use it to establish contact with senior U.N. diplomats and officials. The investigation reveals that Yan paid Lorenzo $1 million to orchestrate the takeover. Despite Lorenzo's prior conviction in a bribery and money laundering scheme in the US, he retained his access to the U.N. headquarters until 2018.

NEW YORK, NY - SEPTEMBER 24: Ambassador Francis Lorenzo speaks at the 2014 South-South Awards at United Nations on September 24, 2014 in New York City. (Photo by Rommel Demano/Getty Images) — Ambassador Francis Lorenzo speaks at the 2014 South-South Awards at the United Nations on September 24, 2014, in New York City. (Photo by Rommel Demano/Getty Images)

With their new NGO in place, Yan and Zhou contacted smaller, financially vulnerable states, seeking their sponsorship for events funded by Chinese backers. Their goal was to secure photos with diplomats to create an impression of United Nations endorsement, not only for themselves but also for fellow Chinese entrepreneurs. This elaborate scheme began to unravel when the woman who sold the NGO to Yan and Zhou was approached by the FBI in 2019 due to her connection to evidence linking the US-based charity to the bribery of officials in the Marshall Islands.

UN Response and Cooperation

In response to this scandal, U.N. Spokesman Stephane Dujarric stated that the organization was cooperating with local law enforcement. Dujarric emphasized the need for all individuals with access to the U.N. headquarters to be aware that its integrity should be protected and not exploited for personal gain. This revelation underscores the importance of maintaining the sanctity of international organizations such as the United Nations and the need to shield them from illicit activities that compromise their credibility.