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Clinton and Chinese Missiles
| Tuesday, Jan. 14, 2003
| Charles R. Smith
Posted on 01/14/2003 5:42:09 PM PST by backhoe
Subject: Clinton and Chinese Missiles
12/26/02 State Dept. charge letter aginst Hughes Space - 33 pages
Clinton and Chinese Missiles
Charles R. Smith
Tuesday, Jan. 14, 2003
Chinese Army Gets U.S. Missile Technology for Money
A newly released document from the U.S. State Department reveals that the most
successful Chinese espionage operation in recent history occurred during the
The document accuses Hughes Space and Communications Company of violating U.S.
national security 123 times by knowingly sending detailed missile and space
technology directly to the Chinese army.
According to the State Department, the most serious violations occurred when
Hughes gave the Chinese army information that supported its analyses of the
investigation of the January 1995 failure of the launch of a China Long March 2E
(LM-2E) rocket carrying the Hughes-manufactured ASTAR II commercial
On Jan. 26, 1995, approximately 52 seconds into flight, a Chinese LM-2E carrying
the Hughes APSTAR II communications satellite failed. This was the LM-2E's
second failure. The first failure of the LM-2E in December 1992 involved an
attempted launch of the Hughes OPTUS B-2 commercial communications satellite.
"Respondents decided to form and direct a launch failure investigation beginning
in January 1995 and continuing throughout much of that year. The investigation
involved the formation of several groups of leading technical experts from China
and the U.S., which throughout the investigation engaged in an extensive
exchange of technical data and analysis, producing a wide range of unauthorized
technology transfers," noted the State Department charge document.
"At no time did the Respondents seek or receive a license or other written
approval concerning the conduct of their APSTAR II failure investigation with
PRC authorities," states the charge document.
According to the State Department, "this strategy was further influenced by
Respondents' business interests in securing future contracts with the PRC and
with Asian satellite companies in which PRC influence figured prominently, and
concern that U.S. Government policy constraints on technology transfer as
administered by ODTC were an impediment to achieving these interests."
Chinese Rocket Failure Blamed on U.S.
According to a 1998 Defense Department investigation, the reason for Hughes
passing the technical information to China was because the Chinese army blamed
Hughes for the rocket failure.
"Following the APSTAR II failure, there was disagreement between Hughes and the
Chinese about whether the principal cause of the failure was the launch vehicle
or the satellite. The subsequent joint Hughes-Chinese failure investigation was
apparently intended, at least in part, to resolve this dispute," states the 1998
Defense Department report.
"According to the Hughes/Apstar materials, the disagreement between Hughes and
the Chinese focused on two views of the cause of the launch failure: (1) the
Chinese claim that the satellite was defective as evidenced by satellite fuel
igniting; and (2) Hughes' claim that the satellite was a contributing factor
only after the launch vehicle fairing had failed which exposed the satellite to
"DoD believes that the scope and content of the launch failure investigation
conducted by Hughes with the Chinese following the January 1995 APSTAR II
failure raises national security concerns both with regard to violating those
standards and to potentially contributing to China's missile capabilities,"
states the Defense Department report.
PLA General Shen Rongjun
Chinese General Shen Rongjun led the penetration of U.S. missile and space
technology during the Clinton administration. The 2002 State Department letter
makes it clear that they believe Gen. Shen led the successful penetration of the
Clinton administration and Hughes.
In 1994, Gen. Shen was second in command of a Chinese army unit known as
COSTIND, or the Commission On Science, Technology and Industry for National
Defense. Shen, and his COSTIND operatives in front companies, secured a wide
range of advanced missile and space technology from Hughes after a 1994 meeting
with Commerce Secretary Ron Brown.
Commerce documents obtained using the Freedom of Information Act show that Brown
met with Gen. Shen in 1994 during a trade trip to Beijing. President Clinton
personally authorized the meeting between the Chinese general and Brown.
Before moving to Commerce, Brown headed the Democratic National Committee. The
Federal Election Commission fined the DNC in 2002 for "knowingly and willingly"
accepting donations from Chinese army sources.
Gen. Shen did obtain help from the White House by pressuring Hughes with
satellite contracts. Hughes CEO Michael Armstrong wrote President Clinton in
1993 threatening to pull support for Clinton if he did not allow the space
technology transfers to China. In 1994, Clinton approved a waiver for Hughes to
transfer advanced satellite encryption systems to China.
According to a Sept. 20, 1995, memorandum, Hughes regarded Gen. Shen Rongjun as
"the most important Chinese space official."
The Chinese army penetration of Hughes was so successful that Gen. Shen managed
to get his son, Shen Jun, a job at Hughes as the lead software engineer for all
Chinese satellites. According to Hughes, Shen Jun had access to "proprietary"
satellite source code.
"On July 9, 1996, Respondents submitted a munitions export license application
to ODTC seeking authorization for one of its employees, Shen Jun, described as a
dual Canadian Chinese national, in order to provide Chinese-English language
translation and interpretation support for the preliminary design phase of the
APMT satellite project," states the 2002 charge letter.
"In no place in that submission nor otherwise did HUGHES SPACE AND
COMMUNICATIONS COMPANY inform ODTC that this individual was, in fact, the son of
PLA General and COSTIND Deputy Director Shen Rongjun, which fact was material to
the U.S. Government's consideration of whether the license application should be
approved or denied."
"The record indicates that Shen Jun's role for Respondents went well beyond that
of an interpreter/translator and more closely resembled that of an intermediary
with his father, General Shen, and other PRC space authorities, in order to
cultivate their support in various matters of interest to Hughes, including the
handling of the APSTAR II launch failure investigation and the APMT contract,"
noted the State Department 2002 charge letter.
According to the State Department, Hughes contends that it followed the law with
regard to hiring Gen. Shen's son.
"Respondents have maintained as of December 3, 2002, that this information was
not material and that its omission was proper because there is no place in the
munitions license application for them to disclose father-son relationships
between General officers at the People's Liberation Army who are overseeing a
project they are working on and their foreign national employees working in U.S.
facilities on the same project."
Clinton Overrules Secretary of State
The alleged improper export by Hughes of satellite technology was cited as a key
reason when Clinton's secretary of state, Warren Christopher, rejected a plan to
give the Commerce Department full authority to control satellite exports.
According to a Sept. 22, 1995, memorandum, Christopher rejected plans to give
Commerce the authority to approve satellite exports after an interagency study
noted that "significant" military and intelligence capabilities could be lost.
The memorandum stated the Pentagon and U.S. intelligence agencies strongly
opposed the policy change because Hughes exported two satellites with sensitive
cryptographic technology without first getting a State Department munitions
license. Cryptographic technology is used to scramble communications sent to
satellites to prevent unauthorized access.
President Clinton, who transferred the power to regulate sensitive satellites to
Commerce, under Commerce Secretary Ron Brown, ultimately overruled Christopher.
Clinton's transfer allowed the Chinese army to acquire advanced U.S. technology
for military purposes. Hughes satellites currently provide the Chinese army with
secure communications that are invulnerable to earth combat and highly accurate
all-weather navigation for strike bombers and missiles.
Hughes satellites purchased by Shen also provide direct TV and cable TV
broadcasts to most of Asia. Thus, cable and pay-per-view services help pay for
the Chinese army satellite communications. The brilliant planning and logistics
mean that Chinese military communications pay for themselves.
Clinton Legacy - A New Arms Race
The satellite and missile technology obtained from Hughes by the Chinese army is
critical for the design and manufacture of missile nose cones and electronic
missile control systems. The technology clearly helped the Chinese army field a
new generation of ICBMS, including the Dong Feng 31 missile, which can drop
three nuclear warheads on any city in the U.S.
The success of Shen is a story of missiles, politics and greed. Gen. Shen
succeeded in using Hughes and President Clinton as valuable tools to obtain
weapons that are now pointed at the United States.
China won and the U.S. lost what may very well be the first round of World War
III. Gen. Shen led that victory and he did it with a checkbook. The Clinton
legacy for the 21st century is a new arms race.
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posted on 01/14/2003 5:42:09 PM PST
Clinton's Legacy II
posted on 01/14/2003 5:44:56 PM PST
(Semper Fi ... Donate or Become a Monthly Member Now .. It's for the children.)
posted on 01/14/2003 5:51:45 PM PST
As Clinton would say: "got to sell someth'n to somebody to fool the investors and keep them inflated stock prices high."
posted on 01/14/2003 6:56:47 PM PST
Thank You , Cindy. The list just keeps on growing..
posted on 01/14/2003 7:05:07 PM PST
(Semper Fi ... Donate or Become a Monthly Member Now .. Lurk as ye may .. Post as ye might)
The lettering in the image in 2 is Korean, of course. Not hard to guess what it says, though.
posted on 01/14/2003 7:34:36 PM PST
posted on 01/15/2003 1:44:56 AM PST
(Has that Clinton "legacy" made you feel safer yet?)
Thank you Backhoe.
posted on 01/15/2003 4:25:08 AM PST
To: NormsRevenge; ninenot; flamefront; Sawdring; Enemy Of The State; Jeff Head; brat; dalereed; ...
posted on 01/15/2003 2:38:15 PM PST
by Tailgunner Joe
(God Armeth The Patriot)
To: Tailgunner Joe
The Loral/Hughes 200-page fax to China in 1995 was deemed by the May 1997 DOD report to have "damaged national security".
It gave China 100% missile reliability.
That's why we call him traitor-rapist42.
b u m p
Thanks for the bump... been absent most of the day troubleshooting "new" PC, and by odd coincidence, the 66mhtz 486 I use as a contingency browser croaked today, too...
posted on 01/16/2003 4:18:27 PM PST
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