Three sentenced for providing tech to China

One defendant shipped integrated circuits out of the U.S., the DOJ says

Three men have been sentenced to U.S. prison for attempting to transport sensitive and advanced U.S. technology, including integrated circuits, to China, the U.S. Department of Justice said.

William Chi-Wai Tsu, 61, a Beijing resident, was sentenced Monday to 40 months in prison for his role in exporting high-tech integrated circuits with military applications to China.

In a separate case, Tah Wei Chao, 53, of Beijing, was sentenced Monday to 20 months in prison after pleading guilty to attempting to smuggle 10 highly sensitive and advanced thermal-imaging cameras to China. Chao's codefendant, Zhi Yong Guo, 50, also of Beijing, was sentenced on July 27 to five years in federal prison in connection with smuggling thermal-imaging cameras.

All three defendants were sentenced by Judge John Walter of U.S. District Court for the Central District of California. The three men were charged under the International Emergency Economic Powers Act (IEEPA) and Export Administration Regulations (EAR) for illegally exporting sensitive technology in violation of United States export laws.

Tsu, who was vice president of U.S.-based Cheerway Trading, illegally shipped more than 400 sophisticated integrated circuits to China, the DOJ said. Tsu was arrested on Jan. 10, and he pleaded guilty to two felony counts on March 13. Investigators said the thumbnail-size circuits that were shipped out of the country have a variety of potential applications, including use in sophisticated communications and military radar systems.

Prosecutors argued in a sentencing brief that Cheerway was a front company that Tsu used to ship items to his Beijing-based company, called Dimagit Science & Technology. Dimagit's catalog was imprinted with images of military craft and clearly explained Tsu's business: "to facilitate the building of the national defense of China" and to "revitalize the Chinese military industry," the DOJ said.

Prosecutors also argued that Tsu supplied restricted U.S. technology to several customers in China, including the 704 Research Institute, which is also known as the Aerospace Long March Rocket Technology and is affiliated with the state-owned China Aerospace Science & Technology, the DOJ said.

Under IEEPA and EAR, the U.S. bars the export of sensitive technology and equipment to certain countries. The integrated circuits and the thermal-imaging cameras involved in these two cases are considered "dual-use" items, meaning they have potential military applications as well as nonmilitary uses. Their export to China requires permission from the U.S. Department of Commerce.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags security

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Grant Gross

IDG News Service
Show Comments

Brand Post

Bitdefender 2019

Bitdefender solutions stop attacks before they even begin! Get cybersecurity that 500 MILLION users already have and trust.

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?