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Wednesday, March 9, 2011

New Jersey man arrested for alleged sale of military technology to China

Sean Gardiner [The Wall Stree Journal]

A New Jersey man who allegedly misappropriated sensitive military technology and exported it to China was arrested by federal agents on Tuesday.

Sixing Liu, a 47-year-old Chinese-born permanent resident of the U.S., was charged with one count of exporting defense-related technical data without a license. 

According to the criminal complaint, Mr. Liu, who was known by the first name of "Steve" and until recently lived in Flanders, N.J., worked for a New Jersey-based technology company from March 2009 to November 2010 as a senior staff engineer. The company, which the indictment didn't identify, had a contract to work on "precision navigational devices" and other components for the U.S. Department of Defense.

This past Nov. 12, Mr. Liu flew to China and upon his return 17 days later U.S. Customs and Border Protection agents allegedly found him in possession of a computer that investigators later discovered contained hundreds of documents relating to his company's Department of Defense projects, the complaint states. The criminal complaint also alleged that Mr. Liu made a presentation at a technology conference in Shanghai. Mr. Liu never told his company about his travel plans, in violation of the company's security rules. The complaint alleged that the information Mr. Liu had on his computer is sensitive military data that is not allowed to be exported without a license. 

Mr. Liu was arrested at his home in Deerfield, Ill., on Tuesday. He was awaiting arraignment in Chicago federal court on Tuesday.

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