FBI: U.S. awash in spies Foreign interests target sensitive technology

the cape cod times ^ | august 4,2003 | CURT ANDERSON

[AmericanMade1776]

By CURT ANDERSON THE Associated Press WASHINGTON - The world wants what America has, from cutting-edge computer software to scientific research and sensitive defense technology, and nations and overseas companies are increasingly using espionage to get it.

In fact, the FBI believes more foreign spies than ever are operating in the United States.

Even as it concentrates on preventing terrorism, the FBI is overhauling its counterintelligence efforts to blunt the threat. Agents are less focused on finding spies among diplomats and embassies - hallmarks of the long Cold War with the Soviet Union - and more interested in espionage directed at corporations, research centers and universities.

"Left unchecked, such a situation could greatly undermine U.S. national security and U.S. military and economic advantage," FBI director Robert Mueller told Congress recently.

For instance, the FBI believes China has more than 3,000 "front" companies in the United States whose real purpose is to direct espionage efforts. Many of the thousands of Chinese visitors, students and business people who come to this country each year also have a government intelligence task to perform, authorities say.

The FBI ranks China as the greatest espionage threat to the United States in the next 10 years to 15 years.

"They figured out that what they want is throughout the United States, not just embassies, not just consulates," David Szady, FBI assistant director for counterintelligence, said in an interview with The Associated Press. "It's a major effort."

China is not alone. Russia remains an espionage power, and the United States also must be vigilant against adversaries such as Iran and North Korea. Friendly countries such as Taiwan and India also pose a threat.

There are 40,000 foreign diplomatic officials in the United States, some of whom are intelligence officers. Saudi Arabia alone has 900 officials in this country.

Modern espionage can range from finding out where an aerospace company produces gyroscopes for satellites to socializing with a U.S. nuclear research scientist in hopes of gaining scraps of knowledge. In one recent case, adhesive maker Avery Denison estimated a $50 million loss after a spy sold company secrets to a Taiwanese conglomerate.

New anti-espionage units To meet this challenge, the FBI has transferred 167 agents into counterintelligence and set up an anti-espionage operation for the first time in all 56 field offices. Each is putting together a comprehensive survey of the potential espionage targets in their domain to give the FBI its first broad national picture. At the same time, the bureau must learn from mistakes like the case of Wen Ho Lee, a former Los Alamos National Laboratory scientist initially charged in 1999 with 59 counts of mishandling nuclear weapons information. Lee eventually pleaded guilty to a single charge and, in an extraordinary move, President Clinton issued an apology and said Lee's long captivity "can't be justified" based on the outcome.

"The FBI did a poor job" in that case, Szady said.

The FBI in early 2001 caught one of its own, Robert Hanssen, but he had been spying for the Soviet Union and Russia for years, resulting in at least three deaths of U.S. informants and an immense intelligence loss.

Partly to blame, FBI officials say, was the drift away from counterintelligence after the Soviet Union collapsed in 1991. The number of agents doing the work was cut by 30 percent - exact numbers are classified - and there was a perception that catching spies was a dead-end for FBI careers.

After the Sept. 11 attacks, it became clear to Mueller that the FBI would have to revamp its counterterrorism and counterintelligence operations to meet threats coming from all corners of the globe.

Preventing damage Mueller made fighting espionage the No. 2 priority behind stopping terrorism, with the same philosophy of tracking and stopping spies rather than waiting to prosecute them. Training was strengthened, the career track resurrected and a cadre of intelligence analysts is being built. Preventive efforts include FBI meetings with corporate executives, university officials and others to gauge vulnerabilities. It also means undercover work at conferences that draw foreign scientists and development of intelligence "assets" who describe for an FBI agent what the foreign government wants.

The FBI still is examining what went wrong in the case of Katrina Leung, a Chinese-born woman recruited in Los Angeles by FBI agent James J. Smith to provide information about the Beijing government. Prosecutors say Leung actually was a Chinese spy who used her long-term affair with Smith to get access to sensitive government documents. She has pleaded innocent. Smith also faces charges.

Szady said FBI headquarters will exercise greater oversight of intelligence assets, with far greater attention paid to red flags that might indicate a source has been compromised. In the Leung case, little was done after top FBI officials learned that she had passed classified information to China's intelligence service.

(Published: August 4, 2003)

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[AmericanMade1776]

JUST A REMINDER.. in this article about Clinton and spies... excerpt from the article "At the same time, the bureau must learn from mistakes like the case of Wen Ho Lee, a former Los Alamos National Laboratory scientist initially charged in 1999 with 59 counts of mishandling nuclear weapons information. Lee eventually pleaded guilty to a single charge and, in an extraordinary move, President Clinton issued an apology and said Lee's long captivity "can't be justified" based on the outcome. "

[John Beresford Tipton]

"Agents are less focused on finding spies"

and more focused on bongs, draining ponds, blowing up personal computers,and busting medical marijuana growers?

[joesnuffy]

In fact, the FBI believes more foreign spies than ever are operating in the United States.

Aka give us more power ...give us mo money... I have to laugh at our local DA n LEOs....come election time... They talk about how the crime rate is down...since "they" took over Then about budget time...the crime rate is really "up" and they need more money a bigger jail...more motorcycles snowmobiles jetskis ATVs 4 wheel drive trucks bicycles radios computers machine guns SWAT toys..etc etc etc...

[11B3]

It's time for America to learn about one word: OPSEC (Operational Security)

[samuel_adams_us]

"For instance, the FBI believes China has more than 3,000 "front" companies in the United States whose real purpose is to direct espionage efforts. Many of the thousands of Chinese visitors, students and business people who come to this country each year also have a government intelligence task to perform, authorities say.

The FBI ranks China as the greatest espionage threat to the United States in the next 10 years to 15 years.

"They figured out that what they want is throughout the United States, not just embassies, not just consulates," David Szady, FBI assistant director for counterintelligence, said in an interview with The Associated Press. "It's a major effort."

China is not alone. Russia remains an espionage power, and the United States also must be vigilant against adversaries such as Iran and North Korea. Friendly countries such as Taiwan and India also pose a threat."

Why are they a threat when we our companies are openly sending all of our technology to them for free, even paid for by our tax dollars!

[Evil Inc]

I have a plan, Make local officers run with a budget they will be provided upon election. NO more after that. That would be a sort of restraint on lies if they have to live with their preapproved budget or face reelection.

[FreedomCalls]

"Agents are less focused on finding spies"

and more focused on bongs, draining ponds, blowing up personal computers,and busting medical marijuana growers?

And investigating prostitution in New Orleans.

[Mulder]

Well, they've done a pretty good job infiltrating both political parties.

It's really no surprise to me that they have an extensive a network here.

[tiki]

LOL I just started reading Ann Coulter's book "Treason" this afternoon. She writes about Whitaker Chambers being persecuted while the Soviet spy Hiss was coddled and protected and actively defended by the left. History repeats itself.

[TexasCajun]

Thanks to 8 years of a Liberal Democratic Administration we now have:

Gobal Technology Diversivication!!

[demlosers]

The number of agents doing the work was cut by 30 percent - exact numbers are classified - and there was a perception that catching spies was a dead-end for FBI careers.

More stupid Clintoniod policy and culture that just keeps on giving and giving.

[Mulder]

More stupid Clintoniod policy and culture that just keeps on giving and giving.

No doubt about it.

Couple that with the fact that you have his uncle, Prescott Clinton, supporting the facsists in China, and we're in big trouble.

[ladyinred]

President Clinton issued an apology and said Lee's long captivity "can't be justified" based on the outcome. "

Yet more treason from the most corrupt administration in our history. The Clinton's/Gore regime did more more to undermine our national security than any spy ring could, yet they run free badmouthing the country all over the place.

[SauronOfMordor]

Many of the thousands of Chinese visitors, students and business people who come to this country each year also have a government intelligence task to perform, authorities say.

Wonder what percentage of the H1B's have official intelligence assignments from their home country, as the price tag for being allowed to leave

[ladyinred]

a former Los Alamos National Laboratory scientist initially charged in 1999 with 59 counts of mishandling nuclear weapons information.

I have a close friend who was working in a highly classified area at that time, and she told me stories that would curl your hair. Clinton gave away the farm, on purpose.

[GOP_1900AD]

I am aware of a white paper which has been passed to "the authorities" which calls upon them to investigate what is going on with US companies both here and abroad. In addition to hiring H1Bs and Greencard holders from nations who either are sworn enemies of the USA, or, who have pretended to be friends and yet continue to cheat on arms reduction treaties, many Fortune 500 firms have operations in said hostile countries. For example, even BEFORE the break up of the USSR, Sun Microsystems and Cisco were approached by "scientists" from Russia in order to "form partnerships." In the case of the PRC, we did not even wait for a fall of Communism (be it real or feigned) and simply went in, apparently having learned nothing from the Leninist NEP of the 1920s, lock stock and barrel. There can be no doubt that critical enabling technologies have spread to our enemies by various channels beyond simple espionage by those who do not work at our high tech companies. It is also due to some within the companies themselves who are not above board, and whose allegience is to hostile foreign intelligence services and militaries.

Just as a starting exercise, it would be very interesting to see one or more of these companies audited to see just how thoroughly they have investigated their own employees both here and in Trans-Eurasian Axis countries. How many, for example, were previously in the PLA? How many still are? How many are still in the Spetsnaz? These are legitimate avenues of inquiry and fall well short of overregulation or liberal style government interference in business. These are profound matters of national and Civilizational security.

[Paul Ross]

Just as a starting exercise, it would be very interesting to see one or more of these companies audited to see just how thoroughly they have investigated their own employees both here and in Trans-Eurasian Axis countries. How many, for example, were previously in the PLA? How many still are? How many are still in the Spetsnaz?

Bump. Fantastic point!

[swarthyguy]

I asked a Chinese programmer I was dealing with about how many of the people coming over from China are PLA assets/spies.....

An inscrutable look, no comment, a quizzical smile. Ah, you Americans are so silly. ( to even ask that question, was the unspoken statement.....

[GOP_1900AD]

Bump.