China's Brilliance Ex-CEO Bilking Billions for U.S. Auto Factory Scam?

Robert Farago
by Robert Farago

If it sounds too good to be true, someone somewhere is scamming someone somewhere. This morning’s story in Automotive News [AN, sub] would almost have us believe that former Brilliance automotive CEO Yang Rong is “leading a venture to build a $6.5 billion auto plant in northern Mississippi, where he would hire 25,000 workers to eventually produce 1 million cars a year.” ‘Cause, you know, the U.S. market has room for another mainstream automotive brand. To its credit, AN sees a few problems with the concept: “It would be easy to dismiss his proposal out of hand. The plan has no brand, products or retail network. But Yang oversaw a rise from nowhere in Brilliance’s fortunes in the 1990s, and he has been attracting money from some of China’s wealthy residents.” The last part of that statement is the most credible; and it doesn’t bode well for anyone gullible enough to invest in Rong’s visionary vehicles. Oh, and Uncle Sam’s part of the scam . . .

Vincent Wang, Yang’s associate and one of three key project players with the name Wang, spoke with Automotive News on behalf of Yang because of the industrialist’s limited English. Wang said the project will attract auto investors through a special U.S. visa program called EB-5. That program, created in 1990, encourages wealthy foreigners to invest in the United States.

A commercial investment of $1 million, or $500,000 if made in an economically distressed area such as northern Mississippi, qualifies a foreign family for a permanent-resident green card. “A lot of people in China want to move some of their money out of China,” Wang said.

There’s a lot of history behind Mr. Rong; none of it would lead you to believe that your money would be safe in his hands. In short, if loving Rong is right, I don’t want to right.

Robert Farago
Robert Farago

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  • YZS YZS on Sep 01, 2009

    They only became a car company in 1992, and they've done pretty well for themselves so far.

  • JAG64 JAG64 on Oct 05, 2009

    Guys, Please keep the comments clean of racist remarks.

  • Jalop1991 The intermediate shaft and right front driveshaft may not be fully engaged due to suspected improper assembly by the supplier. Over time, partial engagement can cause damage to the intermediate shaft splines. Damaged shaft splines may result in unintended vehicle movement while in Park if the parking brake is not engagedGee, my Chrysler van automatically engages the parking brake when we put it in Park. Do you mean to tell me that the idjits at Kia, and the idjit buyers, couldn't figure out wanting this in THEIR MOST EXPENSIVE VEHICLE????
  • Dukeisduke I've been waiting to see if they were going to do something special for the 60th Anniversary. I was four years old when the Mustang was introduced. I can remember that one of our neighbors bought a '65 coupe (they were all titled as '65 models, even the '64-1/2 cars), and it's the first one I can remember seeing. In the '90s I knew an older gentleman that owned a '64-1/2 model coupe with the 260 V8.
  • SCE to AUX "...the complete Mustang model lineup to peruse"Will the fake Mustang show up, too?
  • SCE to AUX We don't need no stinking badges.
  • SCE to AUX I've never been teased by a bumper like that one before.
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