Zhong Gong Sues LA County Counsel

LOS ANGELES (CN) - The International Zhong Gong Headquarters has sued the Estate of Hong Bao Zhang and the Los Angeles County Counsel for $8 million to $10 million, claiming Zhang, the founder of the 38 million- member Zhong Gong, withdrew the money from the society to invest for the society's benefit, then died in a traffic accident before he could return it. The County Counsel, as administrator of the estate, denied the group's claim.

"Hong Bao Zhang was the founder and spiritual leader of a Chinese spiritual and cultural movement known (as) Zhong Gong, which included more than 38 million members," the suit states. He founded the plaintiff organization in 2000 as a Virginia nonprofit organization.

Zhang was killed in a traffic accident in Tuba City, Ariz., on July 31, 2006. Plaintiff claims he had secretly taken $8 million to $10 million from corporate accounts, but intended only to invest it and return all the money to the plaintiff organization. Plaintiff "made a claim on the Zhang estate for the return of those funds which was denied on or about Aug. 10, 2007."

It sues for conversion and wants the money. It's represented in Superior Court by Thomas Bayard of Diamond Bar.

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