Everthing Liu Wong has said is a lie.There never was a group called the Five Dragons, his father had no great style, he never trained under Fei Xian, etc. After all, if Xu Li is such a bad guy, why did Chan Sen follow him and feel the need to avenge his death? It's not even unprecedented in Wuxia; consider the film Hero.
Wong's goal was always to teach Chan Sen.What better way to end Xu Li's reign than to persuade those who would pass on his teachings to pass on yours instead?
We have seen Xu Li.The narration always seems to flow a little oddly around this page and the following, but if you take both statements on meeting people to be connected... tinfoil hats may be required.