Skipping specifics here, but my alma mater had a sort of hushed up scandal about a decade ago that sheds a light on why universities, despite increasingly being adult day cares into social justice rhetoric, are really just exploitative for profit organizations which want to avoid getting in trouble or having bed press...which in turn means they are often too harsh on harmless students and too soft on well connected students.
Rich Chinese kids are the top money making demo for ivy league/top tier universities in the English speaking world. And they can get away with a lot especially if its internal to their (often very insular) communities. In my uni's case, a well connected Beijing failson kept another student imprisoned in his bathroom for weeks if not over a month as his personal maid and sex slave. She could not leave the bathroom unless supervised by him.
The university finally found out and just deported and expelled both of them to cover it up. Thats right, no legal punishment for the perpetrator and the victim got expelled too. All to keep it off the books and away from the media. Parents who are well connected potential cash cows are to be catered to. And I suspect that is what is happening here too.