Counterintelligence/Espionage Case

Name	Tai Shen Kuo aka Tai Kuo aka Kuo Tai Shen	Yu Xin Kang aka Kang Yu Xin aka Katie	Gregg William Bergersen
Employer	Businessman, owns a furniture company	Employee of Kuo's furniture company	US Department of Defense / Defense Security Cooperation Agency (DSCA) Agency that implements DOD's Foreign Military Sales program.
Dates of Employment
Employee Type			Civilian
Job Title/Duties	Entrepreneur. Variety of business interests. Owned import-export furniture business. Maintains an office in Beijing, PRC. Taken steps to establish two companies in the US to pursue contracts related to the US sale of defense technology to Taiwan. Focused on the restaurant business in the 1980s and 1990s.		Weapons Systems Policy Analyst Director C4I Program, Navy International Programs Office
Military Rank
Clearance Level	None		Top Secret/SCI

Spying For	People's Republic of China	People's Republic of China	People's Republic of China
Codename			"G"
Spying Dates	January 2006 to February 2008	January 2006 to February 2008	January 2006 to February 2008
Co-conspirators	"PRC Official A", a PRC government official who received the US national defense information provided by Bergersen via Kuo. Based in Guangzhou, PRC and Hong Kong. Kuo stated that the "Central Committee has assigned him ("A") to take care of me." Also gave Chi Mak and family spy ring lists of US national defense information the PRC wanted the Maks to collect.
Methodology	Working under the direction of an individual identified in the complaint affidavit only as “PRC Official A,” Kuo cultivated friendships with Bergersen and others within the U.S. government (govt employees and contractors) and obtained from them -- for ultimate passage to the PRC -- sensitive U.S. government information, including classified national defense information. Meetings between Kuo and Bergersen took place at various locations in Northern Virginia, Charleston, South Carolina, and Las Vegas. Kang periodically served as a conduit of information between "PRC Official A" and Kuo--a "cut out". Kuo recorded conversations with Bergersen with a digital voice recorder. Kuo and PRC Official A communicated via email, at times encrypted, and attached stolen documents.
Possible Motivations, Problems			Money
Finances	Travels reguarly to the PRC Bank account in Hong Kong Gets paid by "PRC Official A" Owned a rotation of nice cars; large homes in Uptown New Orleans and upscale Houma subdivision. In 2007, he put his New Orleans house up for sale for $480,000		Bought townhouse on 31 May 2000 for $265,000
Identified/ Investigation
Arrest Date/Location	Monday, 11 February 2008, New Orleans, LA	Monday, 11 February 2008, New Orleans, LA	Monday, 11 February 2008, Alexandria, VA
Charges	conspiracy to disclose national defense information to a foreign government, in violation of 18 U.S.C., Section 794(a) and (c).	conspiracy to disclose national defense information to a foreign government, in violation of 18 U.S.C., Section 794(a) and (c).	conspiracy to disclose national defense information to persons not entitled to receive it, in violation of 18 U.S.C., Section 793(d) and (g).
Court	Eastern District of Louisiana	Eastern District of Louisiana	Eastern District of Virginia
Lawyers
Status	Pleaded Guilty 13 Apri 2008 to spying for the Chinese government and providing Beijing with secret information on military relations between the U.S. and Taiwan. Awaiting sentencing: scheduled for 8 August 2008		31 March 2008, Pleaded Guilty to a single count of conspiracy to disclose national defense secrets Awaiting sentencing

Date/Place of Birth	1950, Taipei, Taiwan	1975	1957
Citizenship	Naturalized US citizen; holds both US and Taiwanese passports Lived in the US since 1973	PRC citizen, lawful permanent resident alien	US citizen
Residences	1739 Bordeaux Street New Orleans, LA Owns a residence in Houma, LA	Primarily lived in the PRC Rented apartment at 835 Sixth Street, New Orleans, LA since September 2007. Lived with roommates	6226 Littlethorpe Lane Alexandria, VA
Education	Accounting degree from Nicholls State University in Thibodaux, 1979
Family	Wife Jane Kuo; daughter Jenny who graduated from Tulane University in 2004 and moved to Chicago for medical school		Wife Ofelia Perotti works for the Naval Criminal Investigative Service, originally from Caracas; son Alex
Other Employment	Owner of Tee Thais restaurant at Southland Mall. Former owner of the KST restaurant, which used to service the patrons of Ellendale Country Club off La. 311
Additional Bio	1992: Louisiana Gov. Edwin Edwards appointed Kuo to a commission with bond-writing powers, the Louisiana Imports and Exports Trust Authority--Kuo often lobbied state legislators for more money to promote trade overseas

Documents	AFFIDAVIT: US v Tai Shen Kuo, Gregg William Bergersen and Yu Xin Kang......(6 February 2008) Prepared Remarks of Kenneth L. Wainstein, Assistant Attorney General for National Security, at a Press Conference Announcing Espionage Charges.....(DOJ, 11 February 08) Defense Department Official and Two Others Arrested on Espionage Charges Involving China.....(DOJ Press Release, 11 February 08) Defense Department Official Pleads Guilty to Espionage Charge Involving China .....(DOJ Press Release, 31 March 08) New Orleans Businessman Pleads Guilty to Espionage Charge Involving China.....(DOJ Press Release, 13 May 2008
Quotes	"Today’s prosecution demonstrates that foreign spying remains a serious threat in the post-Cold War world. The conspiracy charged in this case has all the elements of a classic espionage operation: a foreign government focused on accessing our military secrets; foreign operatives who effectively use stealth and guile to gain that access; and an American government official who is willing to betray both his oath of public office and the duty of loyalty we rightly demand from every American citizen. Such espionage networks pose a grave danger to our national security, and we should all thank the investigators and prosecutors on this case for effectively penetrating and dismantling this network before more sensitive information was compromised." --Kenneth L. Wainstein, assistant U.S. attorney general for national security “Those who compromise classified national security information betray the enormous responsibility and trust placed in them by our government and the American people.”--U.S. Attorney Chuck Rosenberg "While the collapse of the Soviet Union ended the Cold War, it did not end the threat from the foreign intelligence services."--Kenneth L. Wainstein, assistant U.S. attorney general for national security "Espionage is a real and serious threat to our national security."--U.S. Attorney Chuck Rosenberg
Case Links	18 May 2004 briefing on C4ISR: Navy International Programs Office Role, Mr. Gregg Bergersen (PowerPoint), Director C4I Program, Navy International Programs Office NAVY IPO ROLE IN C4ISR INTERNATIONAL INCENTIVE (PowerPoint by Bergersen) Bergersen spoke on a panel about "International Cooperation Initiatives" at ComDef West 2004 Conference

News:

(latest news at the top)

Spy for Chinese pleads guilty

…Tai Shen Kuo, 58, a businessman who made a name and wealth for himself in more than three decades in Houma and New Orleans, is being held up by the U.S. Justice Department as representative of a new spying threat from China…Kuo signed the plea deal Tuesday in Virginia, agreeing to one count of conspiracy to deliver national defense information to a foreign government. The crime carries a possible life sentence, although Kuo's attorney said prosecutors agreed to recommend a lighter sentence. Kuo signed a statement saying he cultivated a friendship with a Pentagon weapons analyst, gathered secrets about U.S. weapons sales to Taiwan and other American military interests, and passed them along to an unnamed Chinese government official. The damage caused by Kuo's spying is unclear….(Times Picayune, 14 May 08)

Man Gave Military Secrets To China

…Tai Shen Kuo, 58, said in court papers that he plied the official with gifts, cash and dinners to secure classified projections of U.S. military sales to Taiwan. He was paid $50,000 to pass the materials to his Chinese contact through e-mails and telephone calls to Beijing, the documents said. Kuo pleaded guilty in U.S. District Court in Alexandria to conspiracy to deliver national defense information to a foreign government. He faces up to life in prison when he is sentenced Aug. 8. The former official, Gregg W. Bergersen, pleaded guilty last month and could receive up to 10 years in prison. He was a weapons systems policy analyst at the Arlington-based Defense Security Cooperation Agency before resigning a week before his plea……(Washington Post, 14 May 08)

Former Houma businessman pleads guilty to espionage charges

The former Houma restaurateur and tennis pro arrested three months ago by the FBI on international espionage charges pleaded guilty in federal court today to passing national defense information to China. Tai Shen Kuo, 58, a graduate of Nicholls State University in Thibodaux, and a longtime Houma homeowner, could face life in prison at his sentencing, set for Aug. 8. “By providing classified information to a foreign government, Tai Shen Kuo compromised our national security for his own profit,” said FBI Executive Assistant Director Arthur M. Cummings in a news release. “The FBI is committed to working with our partners in the law enforcement and intelligence communities to safeguard America's sensitive secrets from those who would do us harm.” Kuo’s arrest was part of a federal investigation that also resulted in charges against an Arlington, Va.-based defense analyst (Bergersen) and a 33-year-old Chinese national (Kang) who allegedly acted as an intermediary between Kuo and an unnamed government official of the People’s Republic of China….(Houma Today, 13 May 08)

La. furniture salesman guilty of spying for China

A New Orleans furniture salesman pleaded guilty Tuesday to spying for the Chinese government and providing Beijing with secret information on military relations between the U.S. and Taiwan. Tai Shen Kuo, a naturalized U.S. citizen with prominent family connections in Taiwan, provided gambling money and promises of a job to a Defense Department analyst who gave him classified information in 2007. Taiwanese military officials have said the disclosures caused some damage but did not compromise key technology… Kuo pleaded guilty to a single count of espionage in U.S. District Court in Alexandria. In court papers, Kuo admitted that he received $50,000 from the Chinese government for his efforts. Kuo provided the defense analyst, Gregg W. Bergersen, several thousand dollars in gambling money on trips the pair took to Las Vegas, as well as promises of employment at a company Kuo hoped to establish. Bergersen, of Alexandria, Va., pleaded guilty to his role in March and faces up to 10 years in prison… A third person charged in the case, Chinese national Yu Xin Kang, who allegedly acted as a go-between for Kuo and Chinese agents, is in jail awaiting trial.…..(AP, 13 May 08)

U.S. citizen born in Taiwan admits spying for China

A U.S. citizen born in Taiwan pleaded guilty on Tuesday to passing national defense secrets to China for about $50,000, the Justice Department said. It said Tai Shen Kuo, 58, a New Orleans businessman arrested in February, admitted his guilt in federal district court in Alexandria, Virginia. He faces up to life in prison at his sentencing scheduled for August 8. According to court documents, the conspiracy took place from March 2007 until this February. Kuo obtained the secret information, mainly involving U.S. military sales to Taiwan and U.S. military communications security, from Gregg Bergersen, who was a U.S. Defense Department analyst…..(Reuters, 13 May 08)

New Orleans Businessman Pleads Guilty to Espionage Charge Involving China

Tai Shen Kuo, age 58, of New Orleans, La., pleaded guilty today in the Eastern District of Virginia to a one-count criminal information charging him with conspiracy to deliver national defense information to a foreign government, namely, the People's Republic of China (PRC), in violation of 18 U.S.C., Section 794(a), (c). Kuo was arrested on Feb. 11, 2008 on a criminal complaint charging this same offense…According to a Statement of Facts filed in Court with Kuo's Plea Agreement, the criminal conduct spanned the time period of March 2007 to February 2008. During this time, Kuo, a naturalized U.S. citizen, obtained national defense information from Gregg W. Bergersen -- a Weapons Systems Policy Analyst at the Arlington, Va.-based Defense Security Cooperation Agency, an agency within the Department of Defense -- on several occasions. The information pertained primarily to U.S. military sales to Taiwan and U.S. military communications security and was classified at the Secret level….(Sun Herald, 13 May 08)

Defense Department Bigwig Pleads Guilty to Espionage on Behalf of China

Gregg William Bergersen, residing in Alexandria, Virginia, pled guilty on Monday to a one-count of conspiracy to disclose national defense information to persons not entitled to receive it. Bergersen was arrested on February 11, 2008 on a criminal complaint charging this same offense. Justice Department and Federal Bureau of Investigation officials made the announcement after the plea was accepted by US District Judge Leonie M. Brinkema. Bergersen faces up to ten years in prison and he's scheduled for sentencing on June 20, 2008…..(National Ledger, 2 Apr 08)

Recent Espionage Cases Involving China

…..(Washington Post, 3 Apr 08)

Former Defense Dept. Employee Pleads Guilty To Espionage Charges

...Gregg W. Bergersen, 51, entered his guilty plea in a District Court in Alexandria, admitting he provided unauthorized information on U.S. weapons sales to Taiwan between March 2007 and February 2008. Bergerson said that although he leaked classified defense information to Tai Shen Kuo, a New Orleans-based businessman and was aware the material would reach Taiwan, Bergerson attorney claims his client "was unaware that Kuo was a security official of the People's Republic of China, that he was involved in the PRC." Bergerson, who received cash and gifts in exchange for information, was a weapons systems analyst for the Defense Security Cooperation Agency in Arlington, Virginia before resigning last week. He will be sentenced next week and could face up to 10 years in prison for his role in the espionage case…..(All Headline News, 1 Apr 08)

US Charges 2 in China Spy Case

A Defense Department analyst and a former engineer for Boeing Co. were accused Monday in separate spy cases with helping deliver military secrets to the Chinese government…In the first case, prosecutors said weapons systems policy analyst Gregg W. Bergersen, 51, of Alexandria, Va., sold classified defense information to a New Orleans furniture salesman. In return, the salesman, a Taiwan native identified as Tai Kuo, a 58-year-old naturalized U.S. citizen, forwarded the information to the Chinese government…In the second, unrelated case, former Boeing engineer Dongfan "Greg" Chung, 72, was charged with working as an unregistered agent for the Chinese government who stole trade secrets from the defense contractor. The stolen data largely focused on aerospace programs, prosecutors said. Chung, a naturalized U.S. citizen, was indicted last week on espionage, conspiracy and obstructing justices charges that were unsealed Monday…..(Time Magazine, 1 Apr 08)

Former Pentagon official pleads guilty in China spy case

A former Pentagon official pleaded guilty in court Monday to an espionage charge over the disclosure of secret data to an alleged Chinese agent in the US. Gregg Bergersen said he was unaware that the Taiwan-born businessman was passing the information to China. Mr. Bergersen, a weapons systems policy analyst who resigned his job last week, could face up to 10 years in prison…The leaked data concerned US weapons programs for Taiwan, which China has threatened to regain by force, if necessary. Taiwan is a potential flash point for US-China rivalry in East Asia, and US military support for Taiwan is an irritant to Beijing. In turn, Taiwan has flagged China's steady buildup of missiles capable of hitting Taiwan.. Last week, US officials anxiously contacted China after the Pentagon revealed that it had sent nuclear fuses to Taiwan by mistake in 2006, an embarrassing admission that raised eyebrows over US safeguards on nuclear-related technology, reports the Los Angeles Times. The admission sent mixed signals about US-Taiwan relations… In two separate developments this week, a judge in California agreed to postpone until next May the trial of a Chinese-American engineer charged with stealing military and aerospace trade secrets on behalf of China, the Associated Press reports, and a federal court sentenced a Chinese-born engineer working on a Navy warship to 24 years in jail for trying to pass "sensitive data" to China, Bloomberg reports. In Monday's trial, the Washington Post reports that Tai Shen Kuo, the alleged Chinese agent, plied Bergersen with money and gifts, including money for gambling, though a judge said that money might not have been the prime motivation. A prosecutor told the district court in Alexandria, Va. that Mr. Kuo had cultivated Bergersen as a source of information, without explicitly agreeing to buy data from him.……(Christian Science Monitor, 1 Apr 08)

Arms analyst admits role in spy ring

...Gregg William Bergersen pleaded guilty to a single count of conspiracy to disclose national defense secrets and faces up to 10 years in prison and a $250,000 fine. He has already handed over $7,000 in cash -- presumably paid to him in exchange for details of U.S. weapons sales to Taiwan -- along with a black pearl necklace, according to documents filed in U.S. District Court in Alexandria, Va. "This case serves as a reminder that espionage networks are relentless in their efforts to steal our secrets and continue to pose a serious threat to our national security," said Patrick Rowan, acting assistant attorney general for national security. The guilty plea ramps up the pressure on Tai Shen Kuo, a naturalized U.S. citizen and furniture store owner in New Orleans, who was arrested Feb. 11 and accused of spying for China. Kuo and Yu Xin Kang, a Chinese citizen investigators say was a conduit between Kuo and an unnamed Chinese government official, have been in custody since their arrest. They face life in prison if convicted. An account of the government's case, signed by Bergersen and filed in court Monday, said the defense analyst believed that Kuo was a Taiwanese businessman seeking contracts to develop the Po Sheng communications system designed to help protect Taiwan from a military incursion from mainland China. "Bergersen was unaware that Kuo also maintained secret contact with a foreign official of the Peoples' Republic of China to whom Kuo would provide sensitive U.S. government information," the documents said, suggesting why Bergersen was not charged with espionage…..(Times-Picayune, 1 Apr 08)

Former Pentagon Official Pleads Guilty to Espionage

Gregg W. Bergersen entered his plea in U.S. District Court in Alexandria to one count of conspiracy to communicate national defense information to people not entitled to receive it, which falls under federal espionage statutes. Bergersen admitted in court documents that he provided information on projected U.S. military sales to Taiwan to Tai Shen Kuo, a New Orleans businessman of Taiwanese descent. Kuo, who also was charged, then passed the material to the Chinese government through e-mails to his handlers in Beijing, court documents said. Although Bergersen, 51, said he expected that the sensitive material would reach Taiwanese officials, Mark D. Cummings, his attorney, told the court that his client "was unaware that Kuo was a security official of the People's Republic of China, that he was involved in the PRC."… But U.S. District Judge Leonie M. Brinkema said at yesterday's hearing that money was apparently not Bergersen's primary motivation and that she wanted to learn more about his motives before sentencing him on June 20. Bergersen faces up to 10 years in prison……(Washington Post, 1 Apr 08)

US weapons analyst Gregg Bergersen admits leak to China

…Gregg Bergersen, 51, a weapons analyst at the Defense Security Cooperation Agency who held top secret security clearances, was arrested last month. Prosecutors alleged he divulged military secrets to New Orleans businessman Kuo Tai, who turned over the information to a Chinese foreign agent. Bergersen pleaded guilty to a single count of conspiring to communicate national defense information to a person not entitled to receive it and faces up to 10 years in prison when sentenced on June 20. Among the information Bergersen passed to Mr Kuo were details of Taiwan's new Po Sheng air defence system. He also admitted giving Mr Kuo projections of US weapons sales to Taiwan over the next five years. Taiwanese military officials have said the disclosures caused some damage but did not compromise key technology… Mr Kuo and a third defendant, Yu Xin Kang, a 33-year-old Chinese national, face more serious charges which can carry a life sentence. Bergensen has agreed to testify against Mr Kuo and Mr Yu. Mr Kuo, 58, is a naturalised US citizen and the son-in-law of Xue Yue, a Chinese nationalist general who was a close associate of Chiang Kai-shek, the former Chinese military leader……(Telegraph, 1 Apr 08)

Pentagon analyst admits selling secrets to Chinese agent

…Last week a California engineer (Chi Mak) was convicted of conspiring to pass sensitive data on Navy ships to Beijing.

Today, in a separate case, Gregg Bergersen of the Defense Security Cooperation Agency similarly admitted conspiring to communicate national defense information to a person not entitled to receive it, as the Associated Press writes. Bergersen, 51, of Alexandria, Va., pleaded guilty in federal court to giving the data to New Orleans furniture salesman Kuo Tai-sheng, whom the Justice Department accuses of working for the Chinese government. The Justice Department said Kuo had given Bergersen thousands of dollars in "gifts, cash payments, dinners, and money for gambling during trips to Las Vegas" between March 2007 and February, when he was arrested. Bergersen told investigators he thought Kuo worked for Taiwan's defense ministry and did not know he was in contact with a Chinese official. He is to be sentenced June 20 and faces a possible prison term of up to 10 years……(USA Today Blog, 1 App 08)

US defence analyst admits spying

…Gregg Bergersen, 51, a weapons analyst who held top secret security clearances, was arrested last month. Prosecutors alleged he divulged secrets to Louisiana businessman Tai Kuo, who turned them over to a Chinese agent. Bergersen pleaded guilty to a single count of conspiring to communicate national defense information to a person not entitled to receive it… The plea bargain requires Bergersen to testify against the other defendants. Mr Kuo, 58, is a naturalized US citizen and a native of Taiwan. He is the son-in-law of Xue Yue, a Chinese nationalist general who was a close associate of Chiang Kai-shek. Prosecutors allege that Kang, 33, served as the go-between for Kuo and the People's Republic of China……(Independent, 1 Apr 08)

Defense analyst Gregg William Bergersen worked in the Pentagon's foreign military sales program

The US Justice Department says a defense analyst arrested earlier this year has pleaded guilty to passing classified information to an agent for the Chinese government. Gregg William Bergersen worked in the Pentagon's foreign military sales program. He started handing secret information since March last year to Tai Shen Kuo, a Taiwan-born US citizen, who then passed on the information to an unnamed Chinese government official……(ABC, 1 Apr 08)

Defense Department Official Pleads Guilty to Espionage Charge Involving China

Gregg William Bergersen, age 51, of Alexandria, Virginia, pled guilty today to a one-count criminal information charging him with conspiracy to disclose national defense information to persons not entitled to receive it, in violation of 18 U.S.C., Sections 793(d) and (g). Bergersen was arrested on February 11, 2008 on a criminal complaint charging this same offense…..(DOJ, 31 Mar 08)

Pentagon analyst admits espionage

A US defense department analyst has admitted giving classified information about military communication systems to a businessman working for China. Gregg Bergersen, 51, pleaded guilty to a charge of conspiracy to disclose national defense information "to persons not entitled to receive it"…Mr Bergesen's lawyer, Mark Cummings, said that there had been no explicit exchange of money for information. For instance, Mr Bergesen had won $3,000 from Mr Kuo in cash in a poker game in Las Vegas in April 2007, he said. "In hindsight, he understands that the money was given to him in anticipation that he would provide documents," Mr Cummings added. Ms Kang ferried the information between Mr Kuo and Chinese officials, the FBI alleged. Mr Kuo, 58, and Mr Kang, 33, face a more serious charge of "conspiracy to disclose national defense information to a foreign government". They face up to life in prison if convicted…..(BBC, 31 Mar 08)

Military official says damage to Taiwan air defense system limited after leak

…The Po Sheng system — a sophisticated command, control and communications network that Taiwan is purchasing from U.S. defense contractor Lockheed Martin — was one of the targets highlighted in an espionage affidavit filed earlier this month against a Pentagon analyst in a U.S. court. The analyst, Gregg W. Bergersen, was accused of providing classified information to Kuo Tai-sheng, a dual U.S.-Taiwanese national, identified in the affidavit as a Chinese agent. Speaking to reporters Tuesday, Taiwanese Defense Ministry spokesman Yu Sy-tue said the Po Sheng system was still intact because the system's key communications technology remained in Taiwanese hands….(AP, 19 Feb 08)

China Denies Justice Department’s Accusations of Espionage

China denied Thursday that it was conducting espionage operations in the United States, rebutting accusations by the Justice Department this week that four people had passed military secrets to the Chinese government…Prosecutors said the two cases were part of Beijing’s determined efforts to acquire American technology through espionage……(New York Times, 15 Feb 08)

Defense Official in Chinese Spy Case Freed on Bond

A Defense Department official charged in a Chinese espionage scheme was ordered released yesterday on $100,000 bond, but the brief detention hearing shed no light on the case against the weapons policy analyst. Prosecutors agreed that Gregg W. Bergersen could return to his home in the Alexandria section of Fairfax County to await trial on espionage charges. He will be monitored electronically and forced to surrender his passport……(Washington Post, 15 Feb 08)

Even Spies Embrace China's Free Market

Engineers Lan Lee and Yuefei Ge had drafted a business plan that they promised would roil the U.S. microchip industry. Using blueprints they allegedly stole from their Silicon Valley employer, the men proposed to reproduce a super-fast chip in China at a much lower cost. The documents, recovered by FBI agents, included a contract with a venture-capital firm in Beijing that would bankroll part of the estimated $3.6 million the would-be entrepreneurs needed and seek additional funding from the Chinese government. The case of Lee and Ge, who pleaded not guilty in October to charges of theft of trade secrets and the more serious charge of economic espionage to benefit a foreign government, is one of more than a dozen involving the alleged sale or attempted sale of purloined technology to China that are making their way through U.S. courts this year...China's efforts to become a technology power began with a government initiative known as the 863 program. Launched under Deng Xiaoping in 1986, the program paid for $1.3 billion worth of research and development throughout the country. Its goal was to narrow the gap between China and the West in a dozen sectors, including space tracking, nuclear energy and information technology….(Washington Post, 15 Feb 08)

Alleged Chinese spy case moved to Virginia

A 33 year old Chinese woman arrested by the FBI Monday at her Uptown apartment on charges of helping a well-known Taiwanese-American businessman here pass U.S. military secrets to China will soon be moved to Alexandria, Va., where the case against her is pending...Yu Xin " Katie" Kang, a green card permanent resident who has lived in New Orleans since last fall, told Magistrate Louis Moore she wanted to be moved as soon as possible to Alexandria, Va., where a federal court will hear the government's case against her and two co-defendants. Kang faces trial with Tai Shen Kuo, a well liked New Orleans and Houma restaurateur for whom she allegedly acted as an intermediary with an unnamed Chinese official, and Defense Department weapons expert Gregg William Bergersen, whom Kuo allegedly paid for information about U.S. military sales to Taiwan......(Times Picayune, 14 Feb 07)

US official charged in espionage case to be released on bond

A judge is allowing a Defense Department analyst accused of helping deliver military secrets to China to be released on bond pending trial. Gregg Bergersen is accused in federal court of passing information about U.S.-Taiwan military relations to a New Orleans furniture salesman (Tai Kuo) who allegedly forwarded the information to the Chinese government……(AP, 14 Feb 08)

Alleged Chinese spy case moved to Virginia

Yu Xin " Katie" Kang, a green card permanent resident who has lived in New Orleans since last fall, told Magistrate Louis Moore she wanted to be moved as soon as possible to Alexandria, Va., where a federal court will hear the government's case against her and two co-defendants. Kang faces trial with Tai Shen Kuo, a well liked New Orleans and Houma restaurateur for whom she allegedly acted as an intermediary with an unnamed Chinese official, and Defense Department weapons expert Gregg William Bergersen, whom Kuo allegedly paid for information about U.S. military sales to Taiwan…..(Times Picayune, 14 Feb 07)

Businessman's spy-case arrest stuns associates

The Taiwanese-American businessman arrested Monday for allegedly passing military secrets to China planted roots in southeast Louisiana three decades ago, where he has lived a relatively high-profile life, maintaining wide-ranging political and business connections. In addition to being a well-liked, neighborly restaurateur in Metairie and Houma, Tai Shen Kuo, 58, specialized in connecting companies in Louisiana and Mississippi with emerging opportunities in China. In 1992, then-Gov. Edwin Edwards appointed Kuo to a commission with bond-writing powers, the Louisiana Imports and Exports Trust Authority, said David Crais, the former chairman of the board. As an active member of the now-defunct commission, Kuo often lobbied state legislators for more money to promote trade overseas, Crais said......(New Orleans Times-Picayune, 13 Feb 08)

Man accused of spying for China just a normal dad, says best friends' son

Gregg Bergersen is accused of spying for China, but he's a regular "American Dad" to his best friends' son..."They're wealthy, they're comfortable, they have nice cars, they take vacations," he said. "That's the craziest thing about it; he didn't need money. He used to travel a lot.".....(New York Daily News, 13 Feb 08)

Experts see spying case at NASA as wake-up call

..."The sky is not falling, but don't be naive and deny there are lots of groups out there who want to find out about our space program," said Jim Oberg, an engineer and consultant and an expert on the Chinese and Russian space programs. he worry is that China can convert stolen information into military technologies. "Any improvement made to a Chinese space rocket is folded into a military missile," Oberg said......(Orlando Sentinel, 13 Feb 08)

The New Space Race: China vs. US

...The scale of Chung's alleged espionage is startling. According to the Justice Department, Chung may have been providing trade secrets to Chinese aerospace companies and government agents since 1979, when he was an engineer at Rockwell International, a company acquired by Boeing in 1996. He worked for Boeing until his retirement in March 2003, and continued to work as a contractor for the company until September 2006. The indictment alleges that Chung gave China documents relating to the B-1 bomber and the Delta IV rocket, which is used to lift heavy payloads into space, as well as information on an advanced antenna array intended for the Space Shuttle......(Time Magazine, 13 Feb 08)

Four arrested on charges of spying for China

…Beijing's spying style is difficult to counteract, some experts say. China does not utilize a few, highly placed, and deeply embedded agents as the Soviet Union did. Instead, it employs a vast, decentralized network of Chinese and China-born students, business people, and scientists, and acquires information one small bit at a time…In 1999, Los Alamos National Lab scientist Wen Ho Lee was charged with stealing nuclear secrets for China. In 2000, all but one charge was dropped. Many Chinese-Americans felt he was being singled out because of his ethnic heritage……(Christian Science Monitor, 13 Feb 08)

Defense Official Is Charged in Chinese Espionage Case

They would meet every few months at restaurants in Northern Virginia, or sometimes take in a show in Las Vegas. Once, the Defense Department official emerged with a half-inch stack of hundred-dollar bills stuffed in his shirt pocket, federal officials said yesterday. His Chinese contact reported back to a handler in Beijing. But FgreggBI agents were tracking the pair, and they moved in yesterday and arrested both men in a case that federal officials said highlights China's increasingly aggressive efforts to obtain U.S. military and trade secrets. The FBI raids came hours before the Defense official, Gregg W. Bergersen, and the Chinese businessman, Tai Shen Kuo, had reservations to meet again at an Alexandria restaurant......(Washington Post, 12 Feb 08) video

Alexandria Defense Analyst Charged In Spy Case

...Prosecutors said defense analyst Gregg W. Bergersen, 51, of Alexandria, Va., sold a top secret list of all military technology scheduled for sale to Taiwan for the next five years to a Chinese-born New Orleans-based furniture trader. In return, the businessman, identified as Tai Kuo, 58, a naturalized U.S. citizen, forwarded the information to the Chinese government........(WUSA-TV, 11 Feb 08) video

4 arrests in China spy cases

…Gregg William Bergersen, 51, of Alexandria, worked for the Defense Security Cooperation Agency (DSCA) in Arlington and was arrested at his home on charges of selling secrets to foreign agents…One Pentagon official said the case is potentially very damaging because Mr. Bergersen was director of the Navy's command, control, communications and intelligence office in the early 2000s. The office has access to the most sensitive information on U.S. warfighting capabilities, a key target of China's military spies. Mr. Bergersen was employed as a weapons system policy analyst for the DSCA, which is in charge of U.S. arms sales to foreign nations. He held a top-secret clearance...The spy operation appeared to have been a "false flag" operation that fooled Mr. Bergersen into supplying secrets to Taiwan, a U.S. ally, when the ultimate recipient was communist China......(Washington Times, 12 Feb 08)

Arrests Made in Chinese Spying Cases

A Defense Department analyst and a former engineer for Boeing Co. were accused Monday in separate spy cases with helping deliver military secrets to the Chinese government, the Justice Department said. Additionally, two immigrants from China and Taiwan accused of working with the defense analyst were arrested after an FBI raid Monday morning on a New Orleans home where one of them lived. The two cases _ based in Alexandria, Va., and Los Angeles _ have no connection, and investigators said it was merely a coincidence that charges would be brought against both on the same day. The arrests mark China's latest attempts to gain top secret information about U.S. military systems and sales, said Assistant Attorney General Kenneth Wainstein. He described China as "particularly adept, and particularly determined and methodical in their espionage efforts."........(AP, 12 Feb 08)

Pentagon analyst, Chinese immigrant busted for Chinese espionage plots

FBI agents raided the suburban home of a Pentagon military sales analyst Monday and busted him on charges of spying for China in return for poker chips, plane tickets and a wad of hundreds. In a separate case of Chinese espionage, a 72-year-old former engineer and contractor for Boeing was charged with giving military and commercial secrets over decades to Beijing on systems ranging from the space program to Air Force cargo planes.....(NY Daily News, 12 Feb 08)

Quiet home protected his secret

If Gregg Bergersen was spying for China, he had the perfect cover. A Defense Department analyst who lives in the quiet Virginia suburbs outside Washington, he barbecued in the summer, hung Christmas lights for the holidays and cheered his wife on as she competed in marathons. His townhouse in Alexandria, Va., is relatively new, well-tended - and just like the others in the development. His friends said he was easygoing and friendly and a good dad to his son Alex. He steered clear of politics and vacationed in the mountains of West Virginia or on the Maryland shore......(NY Daily News, 12 Feb 08)

Excerpts from FBI tapes in espionage case

Here are excerpts from the FBI tapes in the espionage case against Pentagon analyst Gregg Bergersen. He is speaking to Tai Shen Kuo, a Chinese businessman……(New York Daily, 12 Feb 08)

Restaurateur arrested on espionage charges

In a story seemingly plucked from the pages of spy fiction, a Taiwanese immigrant widely known in Houma as a local tennis pro and restaurateur stands charged with giving an agent of the People’s Republic of China classified national defense information on the sales of U.S. military technology....(Houma Courier, 12 Feb 08)

Alleged spy’s arrest shocks friends, neighbors
They knew him as a likeable tennis standout, a friendly neighbor and an easy-going boss. None of the locals who were familiar with 58-year-old Tai Shen Kuo pegged him as the spy federal agents say they have caught. "It’s shocking -- surprising," said Tom Becnel, a retired Nicholls State University history professor who has lived for 22-and-a-half years across the street from the house where Kuo lived with his wife and his daughter. "I’m just assuming Tai’s innocent … We’ll wait and see what happens."......(Houma Courier, 12 Feb 08)

Former Boeing engineer accused of stealing trade secrets from NASA

…The case highlights what government officials say are ongoing efforts by Beijing to steal U.S. space technology -- especially if it has possible military applications. The shuttle once was considered a military project and the Delta IV is used to launch reconnaissance and other top-secret satellites into orbit…"Space is part of China's military modernization plans, so we have had collection efforts targeted at space, aerospace and military technology." As of October, the Department of Homeland Security's U.S. Immigration and Customs Enforcement agency reported that it had launched more than 540 investigations into illegal exports of controlled U.S. technology to China since 2000……(Orlando Sentinel, 12 Feb 08)

New Spy Arrests Focus on Chinese Espionage

…Gregg Bergersen, a weapons systems policy analyst at the Defense Security Cooperation Agency, which manages military sales to foreign governments, is alleged to have received money in return for documents, including classified data on planned weapons sales to Taiwan, over a two-year period… In the second case, a former Boeing engineer is accused of stealing proprietary data on several aerospace programs, including the space shuttle. An indictment alleges that Chinese officials began asking Dongfan "Greg" Chung of Orange, Calif., for specific data as far back as 1979…..(US News, 12 Feb 08)

Justice Dept. Announces Arrests in 2 Chinese Espionage Cases

Federal officials arrested a Defense Department official in Virginia on Monday and charged him with passing to agents of China classified defense documents about Taiwan’s arms purchases. About the same time, officials arrested a former Boeing engineer in California on charges of economic espionage, specifically stealing trade secrets from Boeing about the space shuttle and other projects on behalf of the Chinese government. There was no direct connection between the arrests…..(New York Times, 12 Feb 08)

THREE ARRESTED IN CHINESE SPY PLOT

The U.S. Justice Department on Monday declared it has blown the lid off what it described as a "classic espionage operation" involving two New Orleans residents and engineered by the Chinese government to obtain details of U.S. weapons sales to Taiwan. A two-year investigation was capped Monday morning with the arrests of the duo, who stand accused of turning over to China classified information bought from a Defense Department employee, a resident of Alexandria, Va., who also was taken into custody......(New Orleans Times-Picayune, 12 Feb 08)

4 arrests in China spy cases

Federal agents arrested a Pentagon official and three other persons yesterday in a nationwide sweep of Chinese espionage agents. Senior U.S. officials said the two separate spy cases highlight the national security threat posed by Beijing's aggressive intelligence gathering of secrets and technology....(Washington Times, 12 Feb 08)

Taiwan investigating air defense system's vulnerability in spy case

Taiwan said Tuesday it was trying to ascertain whether an alleged Chinese spy arrested in the United States provided Beijing with information on the island's new air defense system.....(AP, 12 Feb 08)

Three arrested in Chinese spy plot

Nearly every day neighbors saw an older man stop by the Irish Channel home of the young woman who recently arrived in New Orleans from China.The neighbors assumed he was a romantic interest. Her roommates thought he was a family friend enlisted to help her overcome culture shock. The Justice Department and FBI investigators say the pair are partners in an espionage network, accused of transferring classified military information from a U.S. Defense Department weapons expert to a Chinese government official........(New Orleans Times-Picayune, 11 Feb 08)

New Orleanians Charged With Spying

A Defense Department analyst and several Chinese nationals were arrested Monday on charges of selling military secrets to the Chinese government......(WDSU-TV, 11 Feb 08) Click Here: Watch The Story

Former Houma restaurateur accused of spying for China

The former owner of a restaurant at the Ellendale Country Club is accused of passing sensitive information on U.S. military sales to the People’s Republic of China......(Houma Courier, 11 Feb 08) video of DOJ briefing

Va. Man, Three Others Arrested, Charged With Espionage

Federal agents today arrested four people on espionage charges, including a Defense Department employee from Alexandria, and accused them of passing classified information to China that included details about the Space Shuttle and U.S. military sales to Taiwan. The DOD employee, Gregg William Bergersen, 51, was charged in U.S. District Court in Alexandria with conspiracy to disclose national defense information. He is a weapons policy analyst at the Arlington-based Defense Security Cooperation Agency. Also charged in federal court in Alexandria were Tai Shen Kuo, 58, and Yu Xin Kang, 33, both of New Orleans.......(Washington Post, 11 Feb 08)

Several arrested in Chinese spy sweep

The FBI today arrested a Pentagon official and two Chinese-born residents on espionage charges for passing defense secrets to China, the Justice Department announced.....(Washington Times, 11 Feb 08)

Pentagon official, others charged with spying

Defense Department analyst and a former engineer for Boeing Co. were charged Monday in separate cases with selling military secrets to the Chinese government, the Justice Department said.....(NBC News, 11 Feb 08)

New Spy Arrests Focus on Chinese Espionage

Two new spy cases are the latest evidence of what U.S. officials say is an intense effort by the Chinese government to steal U.S. government and industrial secrets......(US News & World Report, 11 Feb 08)

Feds: U.S. defense analyst leaked secrets to China

A U.S. Defense Department analyst has been arrested and charged with espionage, accused of passing American military secrets to the Chinese government. Court documents unsealed Monday following arrests in two states identify the defense worker as Gregg William Bergersen, 51, of Alexandria, Virginia....(CNN, 11 Feb 08)

FBI Raids House in Chinese Spy Case

A Defense Department analyst and a former engineer for Boeing Co. were charged Monday in separate spy cases for allegedly selling military secrets to the Chinese government, the Justice Department said. Additionally, two Chinese immigrants accused of working with the defense analyst were arrested after an FBI raid Monday morning on a New Orleans home where one of them lived.......(AP 11 Feb 08)