On August 28, 2007, Duan Huizhi, who owns dual nationality of both America and Brazil and is the boss of Crystal Palace Company which deals in crystal, jade and boulder, filed a charge to Los Angeles Federal local court against E Yuefeng, former manager of this company, and Zhou Mei, former employee of this company. Zhou Mei is the journalist for New Tang Dynasty TV. Duan Huizhi accused that they have stolen and misappropriated the company's property, totally $235,000.
That afternoon, Duan Huizhi, looking rather depressed, told to the journalist how he was cheated and how his company suffered from great loss. He owns investment companies both in the China and Brazil. Being a pious Falun Gong follower, he has only employed Falun Gong practitioners to work in Los Angeles Crystal Palace Company since 2003. Everything has gone very well with his business. So he decided to open chain stores in America. He changed his incompetent manager. In November 2003, on the recommendation of Bo Zhanxiong, a Falun Gong practitioner, he agreed to employ E Yuefeng, also a Falun Gong practitioner, to be the new manager of Crystal Palace Company. Later E Yuefeng employed Zhou Mei to be the accountant of the company.
According to the audit of the company, Zhou Mei, in order to express her gratitude to manager E Yuefeng for her job, has begun to collaborate with him to embezzle and dissipate the company`s money even since she came to work in the first month. For instance, from December 2003 to May 2004, an important client had made 10 purchases from the company, each amounting to about $13,000 on the average. Zhou Mei only entered the ten deals into the accounts and helped E Yuefeng privately embezzle all the payment for goods (Later, the company only got back the payment for three purchases). The investigation of the company's current accounts found out that E Yuefeng with the help of Zhou Mei had embezzled the total sum of $158,600 from the company. In order to reward Zhou Mei, E Yuefeng asked Zhou Mei to collect all her invoices for personal consumption she had kept since 2000 and agreed to apply for reimbursement in the company. Within several months, E Yuefeng had helped Zhou Mei get her personal expenses (for example, 5 mobile phones bought by Zhou Mei for herself) covered by the company, and the total sum was 74,900 dollars. In addition, Zhou Mei had accompanied E Yuefeng several times to buy a navigation device for himself with the company's money. But she never entered this purchase into the accounts. In September 2004, when their illegal practices were disclosed, E Yuefeng and Zhou Mei, together with the other 10 employees, quitted and left the company successively without handing over the company's accounts, list of clients and indentures.
Duan Huizhi says that all Falun Gong practitioners are pursuing truthfulness, compassion and forbearance, so it is unbelievable for him that those practitioners he holds utter trust in could conduct such shameful inside job. Bearing in mind that Master Li Hongzhi always instructs the practitioners to be kind to others, Duan Huizhi doesn't spread this news at the beginning. Instead he had a personal negotiation with E Yuefeng and Zhou Mei. He told them he would forgive their past misdeeds only if they could return all the money they had embezzled. But he was disappointed again. Zhou Mei tried every means to delay the payment. Every time she would make such an excuse that she was hard up recently and she was sure to return the money she "borrowed" from the company. By now Zhou Mei has returned nothing. E Yuefeng only returned a small part of the money he had peculated. Then he seemed missing and there was no way to find or contact him. In such a hopeless situation, Duan Huizhi had to resort to law to get back the company's property. He said that it was hard to believe Falun Gong practitioners, who strived to achieve truthfulness, compassion and forbearance, could do such dishonest and unkind things. He concluded that he would never hire any Falun Gong practitioners in future.
