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Body in bag trial: Defendants Kaixiao Liu and family ran Auckland sect, Crown says

The kidnapping and manslaughter trial of alleged sect leader Kaixiao Liu and his wife (Lanyue Xiao) and parents (Xiuyun Li and Jingui Liu). An interpreter is seated in the middle. Photo / Jason Dorday
The kidnapping and manslaughter trial of alleged sect leader Kaixiao Liu and his wife (Lanyue Xiao) and parents (Xiuyun Li and Jingui Liu). An interpreter is seated in the middle. Photo / Jason Dorday
Listen to this article — Body in bag trial: Defendants Kaixiao Liu and family ran Auckland sect, Crown says

When a fisherman found the body of an unidentified woman wrapped in plastic and floating in Auckland’s Gulf Harbour in March 2024, everything about the bizarre and unsettling discovery was a mystery.

It was eventually determined, after an international investigation that included a photo of the dead woman’s tattoo being distributed to media, that she was 70-year-old Chinese citizen Shulai Wang.

Now, for the first time, it can be reported that Wang is believed to have moved to New Zealand to receive “religious instruction” from Kaixiao Liu, who led a religious group called “The Ark” out of an Ōrewa home.

Prosecutors allege Wang was held captive in a locked tent on the property, physically disciplined and severely punished, and group members were told by their religious leader she was “evil” and that food should be withheld from her.

Kaixiao Liu, Lanyue Xiao, Jingui Liu and Xiuyun Li went on trial today in the High Court at Auckland, facing charges including kidnapping Wang and causing her death.

Wang and five other female religious devotees lived with Kaixiao and his father and mother, Jingui Liu and Li, as well as his wife, Xiao, and their children, at an Ōrewa residence where they were in “practical servitude”.

Police revealed the identity of the Gulf Harbour victim, Shulai Wang, 70, of China. Photo / New Zealand Police
Police revealed the identity of the Gulf Harbour victim, Shulai Wang, 70, of China. Photo / New Zealand Police

In her opening submission, Crown prosecutor Emma Kerr said the women referred to Kaixiao Liu as “lord or master or teacher” and his wife, Xiao, was called “queen”.

When police tried to question the women, “Some only clasped their hands together in prayer and smiled”, Kerr said.

The Crown’s case is that Wang and the other five women were controlled by a “strict set of rules” and compliance was measured by a points system.

Wang, who was the oldest devotee of the women, allegedly had breached those rules and was repeatedly punished.

A pathologist observed “multiple” blunt force injuries, Kerr said, which were inflicted prior to her death.

Prosecutor Emma Kerr. Photo / Jason Dorday
Prosecutor Emma Kerr. Photo / Jason Dorday

“We don’t bruise once we’re dead.”

Kerr said members were told by their leader: “She did not listen to God’s way, and how she did not repent.”

Police, she told the court, also found audio recordings and journal notes from those living in the home, which detailed the alleged treatment of Wang in the days leading up to her death, as well as her attempt to escape.

Evidence found at the home, prosecutors allege, showed Wang died on or around March 7.

Kaixiao Liu (left) and Lanyue Xiao appear in the North Shore District Court on July 1, 2024. Photo / Dean Purcell
Kaixiao Liu (left) and Lanyue Xiao appear in the North Shore District Court on July 1, 2024. Photo / Dean Purcell

Prosecutors say sect members – including Kaixiao Liu, his wife and his father – had wrapped her body in plastic and weighed it down with landscaping stones purchased from Bunnings before throwing it in a stream.

But it didn’t stay submerged for long.

Kerr told the court the fisherman who found the body initially believed there could be meat inside, then he noticed clothing and believed it could be a bag of rags.

“But then he saw a hand.”

She said that alongside Wang’s body were two 10kg SunRice bags that were filled with stones. Kerr told the jury these would turn out to be “critical” pieces of evidence as the serial numbers on the bags helped identify Kaixiao Liu as the person who had made large purchases of that brand of rice from Pak’nSave Albany weeks before the body was found.

Footage from Pak’nSave Albany’s petrol stop showed the sect leader filling up a white van.

That same vehicle was also seen visiting the Gulf Harbour Marina on March 8, four days before the body was discovered.

Kerr said when police inspected footage from the marina closely, they saw a group of five people, including children, walking between the white van and a floodgate bridge, pushing a pram.

Gulf Harbour Marina Whangaparāoa peninsula. Photo / Alex Burton
Gulf Harbour Marina Whangaparāoa peninsula. Photo / Alex Burton

Kaixiao Liu was also paying rates at the Ōrewa home where the sect members were residing.

The sect leader and Xiao were arrested in June 2024, as they attempted to board a plane to China with return tickets.

Accused wants ‘the truth’

Kaixiao Liu, who is representing himself, said in his opening statement this was a “difficult situation” for the court.

“And of course difficult to us, we want to find out the truth.”

He said the group had asked people who “may know” the truth, but they had not received an answer that satisfied them.

Justice Mathew Downs said: “What issues would you like the jury to look out for in the trial?”

Kaixiao Liu asked the court to call the five women who lived at the Ōrewa address as witnesses.

He said evidence from the women was “just hearsay” and he claimed that he had encouraged them to tell him “the truth” but they gave “different answers”.

“I was very disappointed.”

He accepted that maybe he had done wrong, but he wanted the truth to be found.

“This is truly like an American series ... We don’t know who the bad guy is yet.”

Justice Downs told the jury: “That’s Mr [Kaixiao] Liu’s way of saying keep an open mind.”

Kaixiao Liu’s wife, Xiao, said that while English was not her native language, she would do her best to speak the truth.

“I am thankful and grateful to be here with you.”

She asked the jury to examine whether the Crown’s narrative, assumptions and stories were supported.

“At the conclusion of the trial, I believe you will do the right decision.”

Kaixiao Liu’s mother, Li, is also self-representing but is being assisted by Phil Hamlin, who gave her opening remarks.

Hamlin said Li had no intention to kidnap, hold Wang against her will or deprive her of what she needed to live.

She alleged she “barely had any contact” with Wang and did not hurt or harm her, Hamlin said.

Jingui Liu, Kaixiao Liu’s father, thanked the judge and jury.

“I do believe you will do the justice.”

‘Chosen to represent themselves’

The trial is scheduled to last between four and six weeks.

Alongside the kidnapping and manslaughter charges, Kaixiao Liu, Xiao and Jingui Liu are also accused of interfering with a body.

Both Kaixiao Liu and Xiao are charged with attempting to pervert the course of justice.

Kaixiao Liu alone is accused of failing to assist police.

They have pleaded not guilty to all charges.

Each defendant will be arguing their case themselves as they have elected not to be represented by a lawyer.

“You must not reach any conclusion adverse to any defendant merely because the defendants have chosen to represent themselves,” the judge said.

“I have appointed an experienced criminal lawyer to help the defendants if their help is sought during the trial.”

Katie Harris is an Auckland-based journalist who covers issues such as sexual assault, workplace misconduct, media, crime and justice. She joined the Herald in 2020.