TORONTO — Xiao Hua Gong has blanketed Toronto with campaign signs ahead of the city’s mayoral election. He has paid for ads on television, buses, subway stations, and on a massive electronic billboard at a major downtown intersection.
But the media entrepreneur, whose company pleaded guilty in 2021 to operating a pyramid scheme, doesn’t seem to have many supporters. Gong’s name doesn’t register in opinion polls, he has no background in government or public service, and some observers have questioned why he decided to run in Monday’s election to lead Canada’s most populous city.
His ubiquitous blue and yellow campaign signs boast that Gong, who also goes by Edward, is “Here to rescue Toronto.”
His campaign manager, Polly Miller, said Gong has “decades of successful executive and management experience,” and wanted “to apply his skills and experiences to benefit the city he loves so very much.”
Gong’s website describes him as a “Canadian entrepreneur, director, artist, journalist, and corporate strategic planner.”
He was born in China and moved to Canada in 2002, where he founded Canadian National Television, a Chinese-language broadcaster.
His campaign promises include hiring 1,000 new police officers, cutting property taxes by $1,000 for each household, and making public transit free for riders aged 55 and older, students and those aged 18 and younger.
Nelson Wiseman, a political science professor emeritus at the University of Toronto, said Gong’s media blitz could be an “ego trip,” or part of an effort to reshape his public image.
“Gong knows he’s not going to win. He doesn’t have any support,” Wiseman said. “I don’t think he’s going to get more than one per cent of the vote, but I could be wrong. Maybe, he’ll get two per cent.”
Wiseman added that “there are all kinds of reasons” why people run, and, in a field with a record 102 registered candidates, motivations vary.
“Some are just running, they want their name out there. They think it might help their individual business,” he said.
Gong’s legal history has attracted increased attention as his campaign material has spread across the city.
In 2021, his Ontario-incorporated company Edward Enterprise International Group Inc. pleaded guilty in Ontario Superior Court to a pyramid scheme and using forged documents.
A statement of facts signed by Gong on Feb. 9, 2021, states that his company recruited members in China who paid the equivalent of $1,000 to receive health supplements and shares in a pharmaceutical company called O24.
The statement indicates that Gong’s company promised investors significant returns once O24 went public, but the company had dissolved in 2010. About 40,000 people were victims of the scheme, which yielded millions of dollars.
Miller, the campaign manager, said Gong “has no interest in re-visiting this difficult chapter of his recent life,” but told The Canadian Press his business “ran legitimate multi-level marketing operations.”
Miller did not respond to requests to interview Gong directly or to questions concerning his campaign finances and donors.
The city limits the amount an individual can personally invest in their campaign, and the overall campaign spending cap is estimated to be about $1.5 million. Candidates are required to file financial statements by Sept. 11, or face a $500 fine.
Gong has also initiated a lawsuit against the Ontario Securities Commission, claiming $7 million in damages and alleging that the agency has infringed on or denied his Charter rights by working with the Chinese government to investigate him.
In his statement of claim filed in February, Gong alleged the agency shared personal information about him with China’s government and that Chinese investigators subjected members of Gong’s organization to physical and mental abuse to extract “confessions” to use against him.
“(The Chinese government) issued a warrant for the arrest and detention of Mr. Gong. If he ever returns to China, Mr. Gong will face persecution at the hands of the (Chinese government), and could face either/or/and, arrest, detention, prosecution, torture, murder,” the statement of claim reads.
Gong’s statement of claim also alleges the Ontario Securities Commission invited Chinese government agents to Toronto to investigate Gong in October 2017.
“The (Chinese government) delegation was treated to expensive meals and other hospitality by the OSC,” the statement reads. “The OSC knew or ought to have known that the invited (Chinese government) operatives would act as police on Canadian soil.”
A spokesperson for the OSC said the agency has not filed a statement of defence yet but that the commission will respond in due course.
“We cannot comment further as this matter is before the court,” JP Vecsi wrote in a statement.
This report by The Canadian Press was first published June 24, 2023.
