Chinese spies charged in Huawei obstruction case after sending Bitcoin bribes

The years-long saga involving a controversial global mobile telecom giant just got even more contentious.

In a press conference on Monday, the U.S. Department of Justice detailed newly-unsealed charges against two alleged spies from China. According to the DOJ brief, Chinese intelligence officers Guochun He and Zheng Wang had attempted to obstruct an ongoing criminal investigation of a “global telecommunications company” based in China through bribery and espionage. 

While the DOJ said outright that it would not name the company in question, CNN as well as other news outlets have confirmed the entity is the China-based Huawei. The telecommunications company has long been accused of providing backdoors in their mobile devices in order to facilitate China’s ability to spy on governments, business competitors, and other users throughout the world. The U.S. has previously restricted Huawei’s ability to conduct business in the U.S. due to these security concerns.

Starting in 2017, the two alleged spies had begun cultivating a relationship with an employee of a U.S. law enforcement agency in order to extract information from the individual regarding evidence, witnesses, and potential charges in a criminal case against Huawei. In exchange for U.S. prosecutors’ confidential documents about the case, the U.S. government employee was paid tens of thousands of dollars in Bitcoin. In total, $61,000 was paid by the spies, with the most recent transaction occurring just this month.

What the spies did not know, however, was that their contact was actually working as a double agent the whole time under the FBI’s supervision. 

Perhaps in an attempt to show how serious the U.S. is taking this issue, Monday’s press conference included the biggest names within the DOJ, such as U.S. Attorney General Merrick Garland and Deputy Attorney General Lisa Monaco, as well as FBI Director Christopher Wray. The press conference was billed to be about a “significant national security matter” before the details were released.

Monaco actually had a bit of an online moment during the press conference, as some internet users latched onto her use of the phrase “Team America” while discussing the double agent. “Team America” is, of course, the name of the 2004 comedy film by South Park creators Trey Parker and Matt Stone.

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Another separate case involving China was brought up during the press conference as the DOJ has also charged Chinese nationals who attempted to force a dissident back to China.

One interesting note to be made about the press conference was each speakers’ insistence on referring to China as the People’s Republic of China or the PRC. In fact, FBI Director Wray even went on to specifically note that the issue is with the Chinese government and its role here.

“Know that our quarrel is with the Chinese government…not the Chinese people,” he stated.

It’s unclear at this time exactly what Huawei’s connection was with the spies, Guochun He and Zheng Wang. However, during the conference, officials said there is an allegation of involvement from a director at the China-based company.

He and Wang both remain at large.