Skip to comments.Chinese national indicted in Colorado for trying to illegally export to China...
Posted on 02/07/2012 3:07:36 AM PST by Cindy
NOTE The following news release is a quote: www.ice.gov/news/releases/1202/120206denver.htm
FEBRUARY 6, 2012 DENVER, CO
Chinese national indicted in Colorado for trying to illegally export to China radiation-hardened computer circuits used in satellite communications
DENVER Philip Chaohui He, aka Philip Hope, a Chinese national, made his initial appearance in U.S. district court on Thursday after he was named in a three-count indictment charging him with attempting to export defense articles without U.S. State Department authorization.
The indictment was announced by U.S. Attorney John Walsh, District of Colorado and Michael A. Holt, special agent in charge of the Denver office of U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI). The indictment was originally sealed in Denver pending He's return; it was unsealed in San Francisco on Jan. 12.
During his initial appearance Feb. 2, He was advised of his rights, the charges pending against him and the penalties associated with those charges. He is next due in court on Feb. 8 for arraignment and a detention hearing.
According to the indictment, He attempted to illegally export to China radiation-hardened computer memory circuits used in satellite communications, with a value of almost $550,000. The indictment charges He with conspiracy, attempted unlawful export of defense articles and attempted smuggling of defense articles, all related to his attempt to export to China items listed on the U.S. Munitions List. He had been residing in Oakland, Calif.
"Enforcing the Arms Export Control Act is critical to the national security of our country," said U.S. Attorney John Walsh. "Thanks to HSI and the other agencies working with them, we were able to prevent sensitive technology from getting into the hands of foreign nationals overseas who are not legally entitled to possess it."
"Illegally exporting radiation-hardened computer components is a serious threat to U.S. security," said Holt. "Our HSI special agents in Colorado Springs, San Francisco and Los Angeles worked together to investigate and eliminate this threat."
According to the indictment, He, the only employee of Oakland-based Sierra Electronic Instruments (SEI), purchased 312 radiation-hardened circuits from a Colorado manufacturer. The circuits purchased by He are categorized as defense articles within the International Trafficking in Arms Regulations. Lawfully exporting defense articles requires licensing from the U.S. State Department's Directorate of Defense Trade Controls. On April 28, 2011, an unindicted co-conspirator caused two wire transfers totaling about $489,720 to be sent to He's bank account in California. On or about May 9, 2011, He provided payment in full, $549,654, at the time He placed the order with the Colorado manufacturer. According to the indictment, on or about May 17, 2011, He provided false certification to the Colorado manufacturer that his company was purchasing the integrated circuits for an end-use in the United States only, and that He further acknowledged that the items were controlled by U.S. export laws and could not be transferred, transshipped or otherwise disposed of in any other country without the prior written approval from the U.S. Department of State.
On Dec. 11, 2011, He drove to the Port of Long Beach, Calif. and met with two men in front of a docked ship bearing a Chinese flag. The Chinese-flagged ship was registered to Zhenhua Port Machinery Company LTD, a subsidiary of the China state-owned corporation China Communications Construction. The ship had recently arrived from Shanghai, China, and was scheduled to return on Dec. 15, 2011.
He allegedly concealed 200 integrated circuits in several plastic infant formula containers placed inside five boxes which were sealed and labeled as "milk powder" written in Chinese. He transported the boxes in the trunk compartment of his vehicle. Neither He, nor his company, SEI, had a license to export defense articles of any description.
If convicted of count one, conspiracy to violate the Arms Export Control Act (AECA) and to smuggle goods from the U.S., He faces not more than five years in federal prison and a fine of up to $250,000. If convicted of count two, attempted export of defense articles in violation of AECA, He faces not more than 20 years imprisonment, and a fine of up to $1 million. If convicted of count three, smuggling goods from the U.S., He faces not more than 10 years in federal prison, and a fine of up to $250,000.
The Defense Security Service and the Defense Criminal Investigative Service provided critical assistance to HSI with this investigation. Assistance was also provided by the U.S. Attorneys offices located in the Northern and Central Districts of California.
He is being prosecuted by Special Assistant U.S. Attorney John Canedy with assistance from Assistant U.S. Attorney Matthew Kirsch. The charges contained in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.
They are not our friends. Repeat. They are not our friends.
Why didn't he simply ask the communist-in-chief. Obama would have gladly provided them.
"In April 1985 [Leon] Panetta joined with 13 of his leftist congressional colleagues including Ron Dellums, Don Edwards, George Miller, Christopher Dodd, and Les Aspin in sponsoring a 20th anniversary fund-raising gala for the pro-Marxist Institute for Policy Studies (IPS), which had been described by Brian Crozier, director of the London Institute for the Study of Conflict, as the "perfect intellectual front for Soviet activities which would be resisted if they were to originate openly from the KGB." The IPS was originally funded with millions of dollars from the Faberge perfume magnate and Communist Party member Samuel Rubin and his wife."
"Readers who recall the movement to impeach Bill Clinton remember that one of the charges raised by Clinton's critics was the conflict of interest created when individuals connected with the Chinese Overseas Shipping Company (COSCO) such as John Huang, Charles Trie, and James and Mochtar Riady helped funnel contributions to the Clinton reelection campaign. Afterwards, the Clinton administration lobbied for granting COSCO a 10-year lease on the former Long Beach Naval Shipyard in California.
During a March 1997 edition of CNBC's Equal Time program, California Republican State Senator Dick Mountjoy noted that COSCO-linked arms dealer Wang Jun had been granted personal access to President Clinton, and that Wang's business associates had smuggled illegal assault weapons into California for delivery to street gangs by making use of a ship owned and operated by COSCO.
Mountjoy then stated:
The next thing you know, (then-Chief of Staff) Leon Panetta is down here negotiating that port for the Chinese.
There is much more to the COSCO-Long Beach connection than we have room for here, but a good summary of the threat the arrangement made to U.S. security may be found in an item inserted into the Congressional Record by Rep. Gerald B.H. Solomon on May 20, 1997.
Even the most unbiased of observers may legitimately ask: Why on Earth is an individual who helped negotiate the turnover of the Long Beach Naval Shipyard to the communist Chinese, thereby creating the threat to U.S. national security described in the Washington Times article by Rowan Scarborough and inserted into the Congressional Record by Rep. Solomon, being considered for a top position at one of our nation's most critical intelligence agencies?"
The Idiot's Guide to Chinagate
By Richard Poe
May 26, 2003
CHINA WILL LIKELY replace the USA as world leader, said Bill Clinton in a recent Washington Post interview. It is just a matter of time. Clinton should know. He has personally done more to build Chinas military strength than any man on earth.
Most Americans have heard of the so-called "Chinagate " scandal. Few understand its deadly import, however. Web sites such as "Chinagate for Dummies" and its companion "More Chinagate for Dummies" offer some assistance. Unfortunately, with a combined total of nearly 8,000 words, these two sites like so many others of the genre offer more detail than most of us "dummies" can absorb.
For that reason, in the 600 words left in this column, I will try to craft my own "Idiots Guide to Chinagate," dedicated to all those busy folks like you and me whose attention span tends to peter out after about 750 words. Here goes.
When Bill Clinton took office in 1993, China presented little threat to the United States. Chinese missiles "couldnt hit the side of a barn," notes Timothy W. Maier of Insight magazine. Few could reach North America and those that made it would likely miss their targets.
Thanks to Bill Clinton, China can now hit any city in the USA, using state-of-the-art, solid-fueled missiles with dead-accurate, computerized guidance systems and multiple warheads.
China probably has suitcase nukes as well. These enable China to strike by proxy equipping nuclear-armed terrorists to do their dirty work, while the Chinese play innocent. Some intelligence sources claim that China maintains secret stockpiles of chemical, biological and nuclear weapons on U.S. soil, for just such contingencies.
In 1997, Clinton allowed China to take over the Panama Canal. The Chinese company Hutchison Whampoa leased the ports of Cristobal and Balboa, on the east and west openings of the canal respectively, thus controlling access both ways. A public outcry stopped Clinton in 1998 from leasing Californias Long Beach Naval Yard to the Chinese firm COSCO. Even so, China can now strike U.S. targets easily from their bases in Panama, Vancouver and the Bahamas.
How did China catch up so fast? Easy. We sold them all the technology they needed or handed it over for free. Neither neglect nor carelessness are to blame. Bill Clinton did it on purpose.
As a globalist, Clinton promotes "multipolarity" the doctrine that no country (such as the USA) should be allowed to gain decisive advantage over others.
To this end, Clinton appointed anti-nuclear activist Hazel OLeary to head the Department of Energy. OLeary set to work "leveling the playing field," as she put it, by giving away our nuclear secrets. She declassified 11 million pages of data on U.S. nuclear weapons and loosened up security at weapons labs.
Federal investigators [Cox Report] later concluded that China made off with the "crown jewels" of our nuclear weapons research under Clintons open-door policy probably including design specifications for suitcase nukes. Meanwhile, Clinton and his corporate cronies raked in millions.
In his book The China Threat, Washington Times correspondent Bill Gertz describes how the system worked. Defense contractors eager to sell technology to China poured millions of dollars into Clintons campaign. In return, Clinton called off the dogs.
Janet Reno and other counterintelligence officials stood down while Lockheed Martin, Hughes Electronics, Loral Space & Communications and other U.S. companies helped China modernize its nuclear strike force.
"We like your president. We want to see him reelected," former Chinese intelligence chief General Ji Shengde told Chinagate bagman Johnny Chung. Indeed, Chinese intelligence organized a massive covert operation aimed at tilting the 1996 election Clintons way.
Clintons top campaign contributors for 1992 were Chinese agents; his top donors in 1996 were U.S. defense contractors selling missile technology to China.
Clinton recieved funding directly from known or suspected Chinese intelligence agents, among them James and Mochtar Riady who own the Indonesian Lippo Group; John Huang; Charlie Trie; Ted Sioeng; Maria Hsia; Wang Jun and others.
Commerce Secretary Ron Brown served as Clintons front man in many Chinagate deals. When investigators began probing Browns Lippo Group and Chinagate connections, Brown died suddenly in a suspicious April 1996 plane crash.
Needless to say, China does not share Clintons enthusiasm for globalism or multipolarity. The Chinese look out for Number One.
"War [with the United States] is inevitable; we cannot avoid it," said Chinese Defense Minister General Chi Haotian in 2000. "The issue is that the Chinese armed forces must control the initiative in this war." Bill Clinton has given them a good start.
The Idiot's Guide to Chinagate:
(this version hasn't the necessary hyperlinks, but the above doesn't seem to be available any longer)
Richard Poe, "Chinagate: The Third-Way Scandal" (June 3, 1999)
Christopher Ruddy, "Russia and China Prepare for War: Parts I - VIII," NewsMax.com (March 9 -18, 1999)
From the Sino-Russian Joint Statement of April 23, 1997:
"The two sides [China and Russia] shall, in the spirit of partnership, strive to promote the multipolarization of the world and the establishment of a new international order."
"As a globalist, [Bill] Clinton promotes "multipolarity" the doctrine that no country (such as the USA) should be allowed to gain decisive advantage over others."
From a 2003 Washington Post article:
"...a statement [Bill] Clinton made in February 2002, in which he told an audience in Australia, 'This is a unique moment in U.S. history, a brief moment in history, when the U.S. has preeminent military, economic and political power. It won't last forever. This is just a period, a few decades this will last.'
'In all probability, we won't be the premier political and economic power we are now' in a few decades, he said, pointing to the growth of China's economy and the growing economic strength of the European Union.
Whether the United States maintains its military supremacy, he said, depends in part on how much those other entities invest in their militaries, and Clinton said working cooperatively is essential to U.S. interests.
But he said he did not want to be misunderstood. 'I never advocated that we not have the strongest military in the world...I don't think a single soul has thought I was advocating scaling back our military.'
Source: Washington Post article from May 2003:
or find his remarks here (Talon News):
Clinton Predicts America's Decline: