Ex-CIA case officer was arrested after being lured back to US at least once

FBIA former case officer in the Central Intelligence Agency, who was arrested this week for violating the United States Espionage Act, was lured back to America from Hong Kong at least once by counterintelligence investigators, according to reports. Jerry Chun Shing Lee, 53, served in the CIA from 1994 to 2007. He was arrested by Federal Bureau of Investigation officers on Monday, as soon as he arrived in the US from Hong Kong. He is accused of carrying with him top-secret information about CIA agents and operations, which he was not authorized to possess. It now appears that the FBI had been investigating Lee since 2010, and that he was lured to the US in 2012 so that he could be investigated. It is also possible that he was lured back to the US from his home in Hong Kong on Monday, so that he could be arrested by the FBI.

The New York Times said on Wednesday that a consortium of FBI agents and CIA officers identified Lee as a suspect in a counterintelligence case involving the loss of over a dozen CIA assets in China between 2010 and 2012. By that time, Lee had left his job as a case officer —essentially a spy handler— in the CIA and was living in Hong Kong. According to NBC, the FBI decided to lure Lee back to American soil by creating a job for him in the nation’s capital. That was the reason why Lee traveled with his family back to the US in August of 2012. The family stopped in Hawaii, where, according to court documents, the FBI surreptitiously searched Lee’s possessions in a Honolulu hotel. FBI officers also searched Lee’s belongings in a hotel in Virginia a few days later. Lee was found to have with him two notebooks containing “operational notes from asset meetings”, “operational phone numbers” and even “the addresses of CIA covert facilities” —safe houses where CIA case officers meet their assets in privacy.

According to The Times, the FBI confronted Lee five times in subsequent months, but did not inform him that his belongings had been surreptitiously searched or that he had been found to possess classified information without authorization. But the FBI did not press charges against Lee, nor did it prevent him from returning to Hong Kong with his family in the summer of 2013. Instead, it focused on establishing a connection between Lee and the catastrophic loss of CIA assets in China. It was only this week, when Lee returned to the US, that authorities decided to arrest him. The reason why Lee decided to return to the US remains unknown. The possibility that he may have been lured back to the US by the FBI, just as he was in 2012, should not be excluded.

It appears that investigators have not at this point connected Lee with the more serious charge of conveying the classified information to foreign agents. Instead, the former CIA officer is charged simply with possessing top-secret information, but not with communicating it. The charge is believed to be “the same single charge that could have been brought years ago”, namely when Lee was found to be carrying classified information with him in Hawaii.

Author: Joseph Fitsanakis | Date: 18 January 2018 | Permalink

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Ex-CIA case officer arrested in New York for violating Espionage Act

CIAA former operations officer in the United States Central Intelligence Agency has been arrested on charges of illegally possessing top secret information, including lists of real names of foreign assets and addresses of CIA safe houses. The news emerged on Tuesday, as the US Department of Justice announced that the Federal Bureau of Investigation had filed a criminal complaint over the weekend. The complaint identifies the former case officer as Jerry Chun Shing Lee, also known as Zhen Cheng Li. Lee, a 53-year-old naturalized American, served in the CIA from 1994 to 2007 “in various overseas positions and locations”, according to court documents. Lee has reportedly been living in Hong Kong since his retirement from the CIA. He was arrested by FBI officers on Monday, as he arrived on a flight that landed at the John F. Kennedy International Airport in New York.

The FBI criminal complaint alleges that Lee kept on his person a number of notebooks that contained classified details of his CIA work. These included the real names of covert CIA personnel and the real names of foreign assets —providers of intelligence information that are recruited by CIA case officers. The notebooks also contained “operational notes from asset meetings” (presumably meetings between Lee and the assets he handled during his CIA career), “operational phone numbers” and even “the addresses of CIA covert facilities” —safe houses where CIA case officers meet their assets in privacy. From the court documents it appears that the FBI has been investigating Lee since at least 2012. In August of that year, the FBI surreptitiously searched Lee’s possessions in a hotel in Hawaii, where he was staying while on holiday with his family. A few days later, FBI officers also searched Lee’s possessions in a hotel in Fairfax, Virginia, and photographed them.

According to The New York Times, Lee’s arrest is connected with reports last May that the Chinese intelligence services had arrested or killed over a dozen CIA assets in China between 2010 and 2012. There is intense speculation that the Chinese acted on information they received from a mole inside a US intelligence agency, possibly the CIA. But the court documents in Lee’s case do not mention any connection to foreign intelligence and do not accuse Lee of sharing classified information with unauthorized users. As of yesterday evening, the CIA was referring all media inquiries to the Department of Justice.

Author: Joseph Fitsanakis | Date: 17 January 2018 | Research Credit: C.B. | Permalink

Nuclear scientist expelled from China kills himself in North Korean prison

Sinuiju North KoreaA North Korean nuclear scientist who defected to China but was involuntarily sent back to North Korea in November reportedly killed himself in his North Korean cell hours before he was due to be interrogated. Information about the scientist’s alleged suicide was issued on Thursday by Radio Free Asia (RFA), a multilingual news service based in Washington, DC, which is funded by the United States government. The service said its reporters spoke to an anonymous source in North Hamgyong province, North Korea’s northernmost region that borders China. The source identified the late scientist as Hyun Cheol Huh, but cautioned that this may not be his real name, because the North Korean security services are known to “use […] fake names when referring to important persons” in their custody.

Hyun was reportedly a senior nuclear researcher at North Korea’s Academy of Sciences in Pyongyang, an institution that plays a crucial role in North Korea’s biological and nuclear weapons programs. According to RFA, Hyun defected while on vacation from his work. He traveled to the Chinese border to visit relatives, but did not file an application for travel documents. These are required for travel within North Korea. He then disappeared. On November 4, China Immigration Inspection officers arrested a large group of undocumented North Korean nationals in the city of Dandong, reportedly after receiving a tip by North Korean intelligence. Among them was Hyun, who was involuntarily sent back to North Korea on November 17 by the Chinese authorities.

As is common practice with captured North Korean defectors, the scientist was placed in solitary confinement in Sinŭiju, a city on the Yalu River right across the Chinese border. But when guards entered Hyun’s cell to take him to his first interrogation, they found him dead. The source told RFA that Hyun “killed himself only a few hours after he was placed in solitary confinement at the State Security Department in Sinuiju city”. Hyun’s death was reportedly caused by poison, which he is believed to have taken with the intent of taking his own life. There was no explanation of where and how Hyun was able to secure the poison. “He must have been searched many times while being taken from China to Sinuiju, so it’s a mystery how he was able to conceal the poison he took”, the source told RFA. The source added that upon his arrest Hyun did not tell Chinese Immigration Inspection officers that he was a nuclear scientist. Doing so would probably have averted his expulsion back to North Korea.

Author: Ian Allen | Date: 29 December 2017 | Permalink

German intelligence warns European officials of fake Chinese LinkedIn profiles

BfV GermanyIn an unusual step, German intelligence officials have issued a public warning about what they said are thousands of fake LinkedIn profiles created by Chinese spies to gather information about Western targets. On Sunday, Germany’s Federal Office for the Protection of the Constitution (BfV) held a press conference in which it said that it had discovered a wide-ranging effort by spy agencies in China to establish links with Westerners. The agency said that it undertook a 9-month investigation, during which it identified 10,000 German citizens who were contacted by Chinese spy-run fake profiles on LinkedIn. Across Europe, the number of targets could be in the hundreds of thousands, according to the BfV.

The main targets of the operation appear to be members of the German and European Union parliaments. Also targeted are members of the armed forces, lobbyists and researchers in private think tanks and foundations in Germany and across Europe. These individuals were all targeted as part of “a broad attempt to infiltrate Parliaments, ministries and administrations”, said BfV Director Hans-Georg Maassen. He added that the fake LinkedIn profiles are of people who claim to be scholars, consultants, recruiters for non-existent firms, or members of think tanks. Their profile photographs are usually visually appealing and are often taken from fashion catalogs or modeling websites. During the press conference BfV officials showed examples of what they said were fake LinkedIn accounts under the names “Rachel Li” and “Alex Li”. The two identified themselves as a headhunter for a company called RiseHR and a project manager at the Center for Sino-Europe Development Studies, respectively. The information on these accounts was purely fictitious, said the BfV officials.

Individuals who have been targeted by the Chinese include European politicians and senior diplomats, according to the Germans. Many were invited to all-expenses-paid conferences or fact-finding trips to China by their LinkedIn contacts, presumably in attempts to recruit them for Chinese intelligence. At the closing of the press conference, the BfV urged European officials to refrain from posting private information on social media, including LinkedIn, because foreign intelligence operatives are actively collecting data on users’ online and offline habits, political affiliations, personal hobbies and other interests. In a statement issued on Monday, the Chinese government dismissed the German allegations, saying that the BfV’s investigation was based on “complete hearsay” and was thus “groundless”. Beijing also urged German intelligence officials to “speak and act more responsibly”.

Author: Joseph Fitsanakis | Date: 11 December 2017 | Permalink

Senior Chinese Army general accused of corruption found dead

Zhang YangA senior Chinese People’s Liberation Army (PLA) military official, who was seen as a close ally of President Xi Jinping, has allegedly committed suicide, according to Chinese state media. Zhang Yang was one of the most high-profile generals in the Chinese PLA. His rise to power after Xi became president of China was meteoric. He was appointed member of the Central Military Commission (CMC) of the Communist Party of China, which exercises political supervision of the Chinese armed forces. In addition to his role in the CMC, Zhang directed the General Political Department of the PLA’s Ground Force, which made him the top political commissar in the army.

However, in August of this year Zhang suddenly stopped making public appearances. An article soon appeared in Sing Tao, a pro-Beijing newspaper in Hong Kong, alleging that the general had been questioned by anti-corruption investigators as part of President Xi’s nationwide campaign against sleaze. At around the same time, Hong Kong media said that President Xi would soon announce sweeping changes in the makeup of the CMC. It was also announced that General Zhang would step down from his director’s role in the army’s General Political Department. But media in Beijing reported nothing about Zhang, and there was speculation that he may have been imprisoned or even executed. The rumors intensified after September 1, when a front-page article in Sing Tao claimed that he had been dishonorably discharged from the PLA and imprisoned on charges of “serious violations of [Chinese Communist] Party discipline”.

Media in Beijing remained silent until Tuesday of this week, when a report issued by Xinhua News Agency, China’s government-run news agency, said that the former general had been found dead in his home in Beijing. According to the report, Zhang was found dead by a relative on Thursday, November 23. The brief report also mentioned that Zhang had been questioned by authorities in recent months in connection with “bribery and large-scale property crimes”. The Chinese Communist Party has not commented on Zhang’s death.

Author: Ian Allen | Date: 29 November 2017 | Permalink

Revealed: China arrested US diplomat believing him to be CIA officer

US Consulate ChengduAn American diplomat stationed in China was abducted and interrogated for several hours by Chinese authorities, who believed him to be an officer of the Central Intelligence Agency working under official cover. The alleged abduction took place in early 2016 but was revealed this week by the online news outlet Politico. The website said that the diplomat, who has not been named, was stationed at the United States consulate general in Chengdu, a city of 14 million that is the administrative capital of western China’s Sichuan province. Founded in 1985, the US consulate in Chengdu is one of Washington’s seven diplomatic and consular posts in China. It is staffed by 130 people, approximately 30 of whom are Americans and 100 are locally hired Chinese citizens. The facility’s consular district includes several Chinese provinces, including the politically sensitive Tibet Autonomous Region.

On Wednesday, Politico said it spoke with “more than half a dozen current and former national security officials” in the US, who confirmed that an American diplomat stationed at the Chengdu consulate was abducted and detained for several hours. The website said that the abduction took place in January 2016. The diplomat was reportedly “grabbed off the street” in the middle of the day by plainclothes Chinese officers and driven to a detention facility in an unmarked van. He was allegedly kept there for several hours despite his diplomatic status with full immunity, which protects diplomats from being subjected to arrest and detention in the host country. American officials claim that the Chinese authorities did not notify the US consulate of the diplomat’s whereabouts until several hours later. By that time, the diplomat had been aggressively interrogated and his responses had been filmed by his captors, who claimed that he was an officer of the CIA. He was later released but left the country soon afterwards, according to Politico.

American officials told the website that the diplomat’s abduction was “an unusually bold act” that illustrates an ongoing and increasingly tense confrontation between Chinese and American intelligence services. Several American diplomats told Politico that Chinese authorities followed them around and in some cases broke into their apartments and “searched their rooms and belongings”. According to the news website, Washington responded to the American diplomat’s abduction by issuing a formal protest and threatening to expel Chinese intelligence officers operating in the US with diplomatic cover. However, it is not believed that the threat materialized.

Author: Joseph Fitsanakis | Date: 13 October 2017 | Permalink

Australian parliament reviews use of Chinese-made cell phones

ZTE CorporationThe Parliament of Australia is reportedly reviewing the use of cell phones built by a Chinese manufacturer, after an Australian news agency expressed concerns about the manufacturer’s links with the Chinese military. The cell phone in question is the popular Telstra Tough T55 handset. It is made available to Australian parliamentarians though the Information, Communications and Technology (ICT) unit of the Department of Parliamentary Services (DST). Any parliamentarian or worker in Australia’s Parliament House can order the device through the Parliament’s ICT website. According to data provided by the DST, 90 Telstra Tough T55 cell phones have been ordered through the ICT in the current financial year.

The handset is manufactured by ZTE Corporation, a leading Chinese telecommunications equipment and systems company that is headquartered in the city of Shenzhen in China’s Guangdong province. On Monday, the News Corp Australia Network, a major Australian news agency, said it had contacted the parliament with information that ZTE Corporation’s links to the Chinese military may be of concern. News Corp said it informed the DST that members of the United States Congress and the House of Representatives’ intelligence committee, have expressed serious concerns about the Chinese telecommunications manufacturer in recent years.

As intelNews reported in 2010, three American senators told the US Federal Communications Commission that the ZTE was “effectively controlled by China’s civilian and military intelligence establishment”. The senators were trying to prevent a proposed collaboration between American wireless telecommunications manufacturers and two Chinese companies, including ZTE Corporation. In 2012, the intelligence committee of the US House of Representatives investigated similar concerns. It concluded that telephone handsets manufactured by ZTE should not be used by US government employees due to the company’s strong links with the Chinese state. And in 2016, US-based security firm Kryptowire warned that some ZTE cell phone handsets contained a suspicious backdoor feature that could potentially allow their users’ private data to be shared with remote servers at regular intervals.

A DST spokesman told the News Corp Australia Network that the ZTE-manufactured cell phones had been selected for use by Australian parliamentarians based on “technical and support requirements, [DST] customers’ feedback and cost”. The spokesman added that the DST “is currently reviewing the ongoing suitability” of the T55 handsets, following reports about ZTE’s links with China’s security establishment.

Author: Ian Allen | Date: 05 September 2017 | Permalink