German spy chief warns against Chinese investment in German hi-tech firms

Hans-Georg MaassenThe head of Germany’s domestic intelligence agency has warned of security risks resulting from Chinese direct investment in high-technology German and other European companies. Since 2012, Hans-Georg Maassen has served as director of the Federal Office for the Protection of the Constitution, Germany’s domestic security and counterintelligence agency. Speaking to reporters on Wednesday, Maassen said his agency had noticed an inverse correlation between cyber-espionage attacks on Germany by Chinese actors and the acquisition of German technology firms by Chinese companies. German counter-intelligence officials were puzzled, he said, about a dramatic reduction in Chinese cyber-espionage activities in 2016. But they eventually realized that cyber-espionage operations had been replaced by “lawful methods”, he said, such as direct takeovers of German hi-tech firms by Chinese companies.

The purpose of these takeovers was “to gain access to German technical know-how”, added Maassen. He went on to say that “industrial cyberespionage is no longer needed if an actor can simply exploit liberal economic regulations to buy companies, and then proceed to disembowel them, essentially cannibalize them, to gain access to their know-how”. The spy chief noted that Germany did not object to foreign investment and the free flow of capital from all countries, including China. However, he added, “certain direct investments in specific technologies can compromise domestic security”. Maassen mentioned several examples in his presentation, including the takeover of Kuka, a German robotics firm, by a Chinese investor in 2016. He said that in the past few months alone, Chinese companies have attempted to purchase stakes in 50Hertz, a German energy grid operator, German car manufacturer Daimler, and Cotesa, a German aerospace contractor.

In response to a question from a journalist about policy coordination between Germany and the European Union, Maassen said that Germany, France and Italy have been pressuring Brussels to update and modernize its screening procedures against foreign takeovers of companies that are involved in manufacturing and selling “sensitive technologies”. He noted that a new EU-wide screening mechanism should be in place by the end of 2018.

Author: Joseph Fitsanakis | Date: 12 April 2018 | Permalink

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North Korea used Berlin embassy to acquire nuclear tech, says German spy chief

North Korean embassy in BerlinNorth Korea used its embassy in Berlin to acquire technologies that were almost certainly used to advance its missile and nuclear weapons programs, according to the head of Germany’s counterintelligence agency. For many decades, Pyongyang has used a sophisticated international system of procurement to acquire technologies and material for its conventional and nuclear weapons programs. These secret methods have enabled the country to evade sanctions placed on it by the international community, which wants to foil North Korea’s nuclear aspirations.

But according to Hans-Georg Maassen, director of Germany’s Federal Office for the Protection of the Constitution (BfV), at least some of the technologies used by North Korea to advance its nuclear program were acquired through its embassy in Berlin. Maassen admitted this during an interview on ARD television, part of Germany’s national broadcasting service. The interview will be aired on Monday evening, but selected excerpts were published on Saturday on the website of NDR, Germany’s national radio broadcaster. Maassen was vague about the nature of the technology that the North Koreans acquired through their embassy in Berlin. But he said that North Korean diplomats and intelligence officers with diplomatic credentials engaged in acquiring so-called “dual use” technologies, which have both civilian and military uses. These, said Maassen, were acquired “with a view to [North Korea’s] missile program and sometimes also for the nuclear program”.

Maassen noted that the BfV had evidence of North Korean diplomats in Berlin attempting to procure dual use technologies as late as 2016 and 2017. “When we notice such actions, we prevent them”, said the BfV director, adding that in 2014 his agency prevented a North Korean diplomat from acquiring equipment that could have been used to develop chemical weapons. However, “we simply cannot guarantee that we are able to detect and block each and every attempt”, said Maassen.

Author: Ian Allen | Date: 05 February 2018 | Permalink

Russian espionage in Germany rising sharply, says Berlin

Embassy of Russia in BerlinBy JOSEPH FITSANAKIS | intelNews.org
Russian espionage activity in Germany has reached levels not seen since the days of the Cold War, according to senior counterintelligence officials in Berlin. An article published in weekly newspaper Die Welt am Sonntag on Sunday said Russian intelligence-gathering activities in the German capital center on infiltrating German political institutions and corporations. The Berlin-based publication said Russian spies typically seek to gain “intimate knowledge” of German energy policy as well as corporate practices. Another area of interest for Russian intelligence concerns Germany’s activities in the European Union and the North Atlantic Treaty Organization. Citing Hans-Georg Maassen, Director of the Office for the Protection of the Constitution (BfV —Germany’s primary counterintelligence agency), Die Welt said that no foreign intelligence service is more active on German soil than Russia’s SVR —one of the KGB’s successor agencies. Most Russian intelligence officers “pose as embassy workers”, said the paper, adding that the BfV believes up to a third of all Russian diplomats stationed at the German capital have a “background in intelligence gathering”. According to Burkhard Even, who directs the BfV’s counterintelligence operations, the primary task of Russian intelligence operatives in Germany is to “closely analyze individuals who could be of interest” to Moscow. Those targeted —usually key staffers at the Bundestag (Germany’s federal parliament) or major German companies— are then systematically accosted by Russian ‘diplomats’. The latter often ask to take them out to lunch or dinner, said Maaßen, and will often pick up the bill. Read more of this post

News you may have missed #764

Baroness FalknerBy IAN ALLEN | intelNews.org |
►►US government agency spied on whistleblower scientists. The US Food and Drug Administration has been found operating a massive surveillance campaign targeting its own scientists for writing letters to journalists, members of Congress and President Barack Obama. The scientists were expressing their concern over the FDA’s approval of medical imaging devices for colonoscopies and mammograms that could endanger patients with high levels of radiation. The covert spying operation, which is most likely illegal, led the agency to monitor the scientists’ computers at work and at home, copying emails and thumb drives and even monitoring individual messages line by line as they were being composed in real time.
►►UK lawmaker tells MI6 chief to ‘stop bragging’. The head of Britain’s Secret Intelligence Service (MI6), Sir John Sawers, has been accused by Liberal Democrat parliamentarian Baroness Falkner of Margravine of demonstrating a “lack of judgment” for “bragging” about MI6’s role in slowing Iran’s nuclear program. Earlier this month, Sir John said in an interview that covert operations by British spies had prevented Iran from developing nuclear weapons as early as 2008. But Lady Falkner said in a speech at the House of Lords that “Sir John’s comments could almost be construed as bragging. In my view”, she continued, “it would be best for the veneer of silence to descend on the Secret Intelligence Service once again. There is such a thing as too much information”.
►►German domestic intel agency gets new director. The German government has appointed terrorism expert Hans-Georg Maassen to head the country’s domestic intelligence body, known as the “Verfassungschutz. Maassen’s appointment comes after several turbulent weeks for the agency that have resulted in three of its top officials stepping down amid a scandal connected to a series of murders by a Neo-Nazi group calling itself the National Socialist Underground.