A surrogate carrying a child for Chinese billionaire Xu Bo — a man reported to have over 100 children — said she trusted her agency to "protect surrogates."
asserted
she → carry → surrogates
Now, the business practices of California-based Patriot Conceptions and its CEO are facing fresh scrutiny.
asserted
practices → base → scrutiny
Stanford University's Hoover Institution, where the company's CEO Haotian Bai formerly served as a fellow, cut ties with him last week, shortly after a CBS Sunday Morning investigation featuring the surrogate put a spotlight on loopholes and accusations of questionable practices in the commercial surrogacy industry.
asserted
investigation → serve → industry
A subsequent story in the New York Post looked at Bai's background.
asserted
story → look → background
"He is no longer affiliated with the Hoover Institution," the institution said on its website.
asserted
institution → affiliate → website
"In light of recent media reports, it is clear that Mr. Bai misled the Institution on the nature of his businesses."
asserted
Bai → mislead → businesses
During his 2024-25 fellowship, Bai focused on veterans' access to in vitro fertilization.
asserted
Bai → focus → fertilization
He frequently advertises his surrogacy agency as veteran-founded.
asserted
He → advertise → agency
Bai said in a 2019 court declaration, filed in a dispute with a former business partner, that he served in the U.S. Army in Afghanistan until 2017 and that he'd been diagnosed with PTSD.
asserted
he → say → PTSD
A U.S. Army spokesperson confirmed to CBS News that Bai served as a chemical operations specialist from November 2013 to October 2017.
asserted
Bai → confirm → October
However, the Army said that while he assisted with units that were preparing to deploy, he never deployed himself.
asserted
he → say → units
"He had no deployments and left the Army in the rank of specialist," said Christopher Surridge, a U.S. Army spokesperson.
asserted
Surridge → have → specialist
After leaving the military, Bai co-founded another surrogacy agency in 2018.
asserted
Bai → leave → 2018
He ended up in a court battle with his co-founder a year later.
asserted
He → end → founder
The case was later voluntarily dismissed.
asserted
case → dismiss → ?
Bai founded Patriot Conceptions in 2019
The Hoover Institution said it would conduct "a full internal review" of the application process for the Veteran Fellowship Program.
asserted
it → found → Program
CBS News reached out to Patriot Conceptions, and in a written response, Bai said he went through "a normal application process as a U.S. Army veteran for a Hoover Institution fellowship in 2023 and was selected through what appeared to be their usual channels and protocols to be a fellow."
asserted
what → reach → 2023
The statement said there was "no point at which Mr Bai 'misled' the Hoover Institution about his research or his intentions."
asserted
Bai → say → research
Bai's surrogacy agency caters to international clients, who make up 40% of its business — with an emphasis on intended parents from China.
asserted
who → cater → China
The U.S. is the only developed country where commercial surrogacy is widely legal, attracting foreign nationals who don't have the option in their country, with a large percentage coming from China.
asserted
percentage → develop → China
It remains unclear how Patriot Conceptions initially agreed to provide a surrogate for Xu Bo, a video game executive who is well known in China.
uncertain
who → remain → China
Patriot Conceptions partnered with a global surrogacy agency representing the intended father.
asserted
Conceptions → partner → father
The surrogate, whom CBS News is calling Judy to protect her identity, said she first learned who the intended parent was on the night before her embryo transfer in April, after traveling from her home state to California for the procedure.
asserted
parent → call → procedure
Documents obtained by CBS News showed that the intended father was Xu, who has boasted online about his desire to father large numbers of children.
asserted
who → obtain → children
A single mother, Judy said she decided to become a surrogate because she wanted to use the payment to create a better life for herself and her daughter.
asserted
she → say → herself
She said she also liked the idea of helping someone build a family — but added that she never imagined it would be that large.
asserted
it → say → family
"You don't think to ask … 'Oh, do they have, like, over 100 babies already?'" she said in an interview.
asserted
she → think → interview
In an earlier phone conversation with CBS News, Bai asked whether Judy's surrogacy records had been offered for sale on the dark web.
asserted
records → ask → web
CBS News obtained the records from whistleblowers concerned about irregularities in the surrogacy industry.
asserted
News → obtain → industry
During the call, Bai dismissed media reports detailing the scale of Xu's family.
asserted
Bai → dismiss → family
Xu, a reclusive billionaire who is rarely seen in public, made his fortune as founder of Guangzhou Duoyi Network, one of China's largest mobile game companies.
asserted
who → see → companies
The Wall Street Journal first reported on the number of children Xu is said to have fathered via surrogacy, as well as other Chinese billionaires building mega-families.
asserted
Xu → report → families
His company said in a December statement that Xu had 12 children born in the U.S. via surrogates, but acknowledged a larger overall total: "Regarding the rumors about the number of children … the actual number is only a little over one hundred."
asserted
number → say → children
Six months later, Xu posted a photo of young children seated in rows alongside a statement: "Mr. Xu Bo believes in the philosophy that more children bring more blessings, and he wishes for all his words and actions to benefit the long-term development of the Chinese nation."
asserted
words → post → nation
CBS News reached out to Xu directly and through representatives but received no response.
asserted
News → reach → response
Addressing media coverage in a recent statement, Xu wrote: "Overseas media outlets have previously produced numerous misinterpretations and unfriendly reports about China, as a Chinese citizen safeguarding China's interests, Xu stands on the same side as the Chinese government and avoids granting interviews to overseas media unless necessary."
asserted
Xu → address → media
Following the publication of the CBS News report on Sept. 13, Patriot Conceptions said the firm's employees had encouraged Judy to terminate her contract after public reports about the size of Xu's family surfaced in December.
asserted
reports → follow → December
A statement issued by Patriot Conceptions stated that "it did not know the wider scale of Xu's family described in later public reporting."
asserted
it → issue → reporting
Patriot Conceptions declined to be interviewed on camera.
asserted
Conceptions → decline → camera
Judy disputed this account, stating that the agency "never" advised her to terminate the agreement.
asserted
agency → dispute → agreement
…and 5 more, not listed.