Pao was a strong believer in universal Feng-shui and became one of the few greatest masters of the practice. In 2061, Pao knew Jet Black, an ISSP officer, and had him visit his home. He would approach Jet for help in leaving the syndicate, and leaked information to him. Jet tried his best, but since Pao knew so much about the syndicate's inner workings, he believed escape was impossible.
Pao's wife, unfortunately, came to dislike Pao's faith in Feng-shui, thinking it to mean he couldn't believe in people generally. In 2064, she left him and took Meifa with her. Pao let them go and didn't contact them again, since he wanted to leave the syndicate, and knew that that would put them in danger.
Finally, in 2071, he left the syndicate. He hid a sunstone on Mars and used another to create a pocket in hyperspace to hide in his ship on the way to Jupiter. Just before doing so, he sent a message to Jet that simply said, "Seek the Holy Beast of Ahnzahn. I am where the four gods meet." He knew that Jet would encounter Meifa through Feng-shui, and therefore have some protection as she sought him. Indeed, as the oxygen in his ship ran low, he saw the Bebop through an opening in the pocket and communicated with it, seeing his daughter for the first time in years. The call was short, however, as he couldn't be rescued and the pocket closed for good.
The character was voiced by Paul Carr. 
The name of Pao Pu-Zi comes from Baopuzi, a Taoist and Confucianist book.