loading . . . NJ Bureau of Securities Sues Former Princeton Resident Who Allegedly Defrauded Investors Out of $2.5 Million and Misused Investor Funds _Xiao “Mark” Hu Also Facing Criminal Charges in Connection with Alleged Investment Scheme_
###### **For Immediate Release: June 4, 2026**
**Office of The Attorney General**
– Jennifer Davenport, _Attorney General_
**Division of Consumer Affairs**
– Jeremy E. Hollander, _Acting Director_
**Bureau of Securities**
– Keith A. Alt, _Acting Bureau Chief_
**Division of Law**
– Michael Walters, _Director_
###### **For Further Information:**
**Media Inquiries-**
Lisa Coryell
[email protected]
View Complaint __
**TRENTON** – Attorney General Jennifer Davenport announced today that the New Jersey Bureau of Securities (Bureau) within the Division of Consumer Affairs (Division) filed a lawsuit against a former Princeton, New Jersey resident who allegedly defrauded investors out of at least $2.5 million and misused investor funds to support his lavish lifestyle.
According to a Complaint filed in Superior Court in Mercer County today, Xiao Hu, aka Mark Hu, through his companies—Skyline Technology USA LLC (Skyline) and Thunderbirds.ME, Inc. (Thunderbirds) (collectively, Defendants)—offered and sold unregistered, fraudulent securities to at least 15 investors, including at least nine New Jersey residents. The investment instruments included stock offerings, funding and sponsorship agreements promising fixed returns, and related investment contracts tied to technology and AI development projects.
Hu also commingled investor funds with funds in his personal bank accounts and misappropriated at least $280,000 for his personal benefit, including the purchase of a new home in Florida and a tropical vacation and payment of his children’s private school and college tuition.
“New Jersey families work hard for their money, and protecting residents from fraud is essential to keep our state affordable,” **said Attorney General Davenport.** “Our lawsuit alleges that Mark Hu exploited investors’ trust, swindling them and diverted their money for his own personal gain instead of legitimate business purposes. My office will continue holding bad actors accountable and safeguarding the financial security of all New Jerseyans.”
“As we will show, Mark Hu deceived investors into believing they were participating in a legitimate opportunity to grow their money, when in reality the only person profiting from these sham securities was Hu himself,” **said Jeremy E. Hollander, Acting Director of the Division of Consumer Affairs.** “We will not tolerate such a blatant abuse of investor trust and disregard for securities laws.”
“Financial fraudsters often target people with whom they share personal, professional, or community connections in order to quickly build trust and neutralize skepticism,” **said Acting Bureau Chief Keith A. Alt.** “Investors should always research any investment opportunity thoroughly, verify that the securities and those selling the securities are properly registered, and ask for clear, written financial information before committing their money.”
As the complaint alleges, Hu targeted Asian American investors in the Princeton area using the social media platform WeChat, and he solicited his friends and colleagues, including from in-person “seminars” at the Princeton public library. Hu often falsely claimed to have a Ph.D. in Computer Science from Columbia University to bolster his credibility. Hu falsely promised annual returns of between 10-22% on investments, and he promised to bestow myriad titles on investors that had no correlation to their role in the business, including “Managing Partner,” “Managing Director,” “Co-Founder,” and “Chief Operation Officer.”
The seven-count lawsuit alleges that Hu, and Skyline and Thunderbirds, through Hu, violated the New Jersey Uniform Securities Law by, among other things, employing and operating a scheme to defraud investors; selling unregistered securities; and by making false and misleading statements and leaving out key information investors needed to avoid being misled.
The suit seeks a court order permanently enjoining the Defendants from offering, selling, issuing, or promoting securities to, from, or within New Jersey and from engaging in the New Jersey securities business in any professional capacity. The lawsuit also asks the court to assess civil monetary penalties, restitution for the victims, and disgorgement of all profits and funds obtained through the alleged violations, and such other relief as the Court deems just and equitable. The suit also seeks disgorgement of financial benefits unlawfully obtained by Hu and his wife, Jennifer Rong, who is named as a Nominal Defendant, as well as Nominal Defendant Think Net, Inc.
Hu is also facing criminal charges in connection with the sale of securities tied to Skyline. In February 2026, a state grand jury indicted Hu on charges of securities fraud, theft by deception, money laundering, misconduct by a corporate official. The case is being prosecuted by the New Jersey Division of Criminal Justice.
The Bureau’s investigation was handled by Investigators Boris Maltsev and Hilary Hoover, under the supervision of Supervising Investigators Sharon MacDermott and Rachel Glasgow. Deputy Attorney General Rahul Kapoor of the Securities Fraud Prosecution Section in the Division of Law’s Affirmative Civil Enforcement Practice Group is representing the Bureau in this matter, under the supervision of Deputy Attorney General Evan A. Showell, Assistant Section Chief of the Securities Fraud Prosecution Section, and Assistant Attorney General Brian F. McDonough.
The Bureau is charged with protecting investors from investment fraud and regulating the securities industry in New Jersey.
It is critical that investors “Check Before You Invest.” Investors can obtain information, including the registration status and disciplinary history, of any financial professional doing business to or from New Jersey, by contacting the Bureau toll-free within New Jersey at 1-866-I-Invest (1-866-446-8378) or from outside New Jersey at (973) 504-3600, or by visiting the Bureau’s website at www.NJSecurities.gov. Investors can also contact the Bureau for assistance, or to raise issues or complaints about New Jersey-based financial professionals or investments.
### https://www.njoag.gov/nj-bureau-of-securities-sues-former-princeton-resident-who-allegedly-defrauded-investors-out-of-2-5-million-and-misused-investor-funds/
