Inside California’s ‘House of Horrors’: Wealthy Couple Accused of Abusing Their Surrogate-Born Children in Mansion

A sprawling mansion in the wealthy California city of Arcadia was supposed to be a home for a large family. Instead, prosecutors say it became the center of an extensive child abuse investigation involving Guojun Xuan, 66, and his wife, Silvia Zhang, 39. The couple, who had at least 21 children, most of them born through surrogacy, are accused of allowing repeated physical abuse inside their home. Authorities allege that at least 14 children were victims, some of them only a few months old.

According to prosecutors, Xuan and Zhang operated a surrogacy business called Mark Surrogacy Investment, recruiting women from across the country to carry embryos created using Xuan’s sperm and donor eggs. Prosecutors allege that the couple misled some prospective surrogates about their family circumstances. In one case, Zhang allegedly presented herself as a single woman struggling to conceive, while another woman reportedly did not know the couple already had numerous children. The operation reportedly involved payments ranging from $45,000 to $135,000 to surrogate mothers.

Inside the couple’s more than 10,000-square-foot mansion, the children were reportedly supervised by live-in nannies and monitored through a network of more than 30 surveillance cameras. Prosecutors allege that the children spent hours in makeshift classrooms and were subjected to harsh physical punishment. Investigators say surveillance footage captured nannies slapping, spanking and striking children, sometimes with objects. In some instances, prosecutors allege that Xuan and Zhang watched the footage and laughed. Xuan is also accused of personally striking a child after allegedly telling a nanny to hit harder.

The investigation gained attention in May 2025, after a two-month-old boy was taken to a hospital with a serious head injury. Authorities allege that a nanny, Chunmei Li, struck the infant, while the parents delayed seeking medical attention and gave hospital staff an explanation that the baby had fallen from a bed. Prosecutors further allege that the couple later instructed children to deny that they had been beaten and told nannies to conceal objects used for punishment before police arrived. The infant’s injury prompted investigators to examine what was happening inside the mansion.

Following a 17-month investigation, authorities brought multiple felony charges against Xuan and Zhang in October 2026. Both face conspiracy to commit child abuse, while Xuan also faces a direct child abuse charge and other allegations involving witness intimidation and helping a nanny evade arrest. Zhang faces additional charges related to allegedly discouraging witnesses from reporting what happened. The nanny, Li, was previously charged with felony child abuse, and an arrest warrant remains outstanding. Authorities have said the children were removed from the home and placed under protective custody.

The couple have pleaded not guilty, and their attorney has denied the allegations, arguing that the abuse was the responsibility of the nannies and disputing claims that Xuan personally harmed the children. A judge set bail at $20 million for each defendant. If convicted as charged, Xuan could face more than 17 years in prison, while Zhang could face more than 11 years. Meanwhile, the investigation continues, and the future of the children remains a major concern as authorities work to determine the full extent of the alleged abuse and ensure their safety.