N1508-67B
Radiation-Hardened Defense and Aerospace Technology to China
On October 27, 2011, Lian Yang, a resident of Woodinville, Washington, was sentenced in the Western District of Washington to 18 months in prison and a $10,000 fine. On March 24, 2011, Yang pleaded guilty to conspiring to violate the Arms Export Control Act by trying to sell radiation hardened military and aerospace technology to China. Yang was arrested on December 3, 2010, pursuant to a criminal complaint filed charging him with conspiracy to violate the Arms Export Control Act. According to the complaint, Yang attempted to purchase and export from the United States to China 300 radiation-hardened, programmable semiconductor devices that are used in satellites and are also classified as defense articles under the U.S. Munitions List. The complaint alleges that Yang contemplated creating a shell company in the United States that would appear to be purchasing the parts, concealing the fact that the parts were to be shipped to China. Yang allegedly planned that false purchasing orders would be created indicating that parts that could be legally exported were being purchased, not restricted parts. Yang and his co-conspirators allegedly wire-transferred $60,000 to undercover agents as partial payment for a sample of five devices. As part of the conspiracy, Yang allegedly negotiated a payment schedule with the undercover agents for the purchase and delivery of the remaining 300 devices in exchange for a total of $620,000. This investigation was conducted by the FBI, ICE and CBP.