Of course, the pitiable General Wulong wouldn't know that because he captured Ouyang Fei at that time, it set off a series of events that followed. Even if he knew, he probably wouldn't care much, let alone accept Xie Xie's accusations. A simple "how was I to know this would happen?" could deflect all of Xie Xie's accusations. Because that's indeed the case. At that time, Xie Xie didn't know this would happen. Otherwise, he would say anything to help Chu Mo. Even if it meant falling out with General Wulong, it would be worth it.
In fact, perhaps even the heart of Bigfoot Xiezun has some doubts. Was the change in the Tunnel World really caused by Chu Mo? Were those disappeared living beings really taken away by Chu Mo? Even if Chu Mo is a cultivator in the Supreme realm, he might not have such capabilities, right?