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Inside a closed Los Angeles courtroom, something wasn’t right. 

Clerks working for family court Judge Amy Pellman were reviewing routine surrogacy petitions when they spotted an unusual pattern: the same name, again and again. 

A Chinese billionaire was seeking parental rights to at least four unborn children, and the court’s additional research showed that he had already fathered or was in the process of fathering at least eight more—all through surrogates.

When Pellman called Xu Bo in for a confidential hearing in the summer of 2023, he never entered the courtroom, according to people who attended the hearing. The maker of fantasy videogames lived in China and appeared via video, speaking through an interpreter. He said he hoped to have 20 or so U.S.-born children through surrogacy—boys, because they’re superior to girls—to one day take over his business.

Several of his kids were being raised by nannies in nearby Irvine as they awaited paperwork to travel to China. He hadn’t yet met them, he told the judge, because work had been busy.

Pellman was alarmed, according to the people who...