Our adversary seeks to expand its The operational details revealed in individual cases implies this phenomenon is due to the following factors: no training program for handlers or recruited assets, differences in the various SOEs, and the variables of espionage targets to include military, space, dual use, or industrial technologies. In 2018, CCP leader and Chinese President Xi Jinping directed all SOEs to amend their bylaws to ensure the concepts of service to the CCP as well as national and economic security are placed above profit. Simply put, if a country is continually trying to collect information on specific components of the F-35 aircraft, it is because it lacks the required information for its planned purposes. An adversary is able to anticipate DoD plans and activities. China-Linked Hackers Gather More Info Than Spy Balloons: Cyber Security Our second option allows you to build your bundle and strategically select the content that pertains to your needs. The U.S. also needs to start getting a handle on the vast quantity of Americans personal information that is all too readily available to make sure that it cannot be exploited by spies. Getting The Talent Balance Right: From Layoffs to Laterals to Mergers, How Can Firms Staff for Success? Unauthorized access to information systems. China is stepping up anti-espionage activities amid worsening ties with the United States and a renewed focus on national security ahead of a key Communist Party anniversary later this year. Regardless, it seems likely that China will continue to deploy hacking as a tool of gaining U.S. IP as U.S. policy developments like export control reform and new restrictions on Chinese investment in the U.S. restrict Chinas ability to legally and overtly acquire its desired technologies. Foreign espionage strikes at the heart of U.S. national security, impacting political, military and economic arenas. Copyright 2023 ALM Global, LLC. Task force personnel work closely with other U.S. government agencies and international partners concerned about foreign influence efforts aimed at their countries, using three key pillars. The distribution of Chinese espionage cases worldwide illustrates the magnitude of CCP controlled businesses, research entities, and government organizations involved in espionage activities (see Figure 2). Detecting an anomaly requires a degree of suspicion Email Email. Recognizing innovation in the legal technology sector for working on precedent-setting, game-changing projects and initiatives. This would let China determine exactly where government officials and corporate executives work, where they spend the night, what doctors they visit, and their travels, among other informationall of which would provide valuable information to Chinese spies and companies. Do not leave equipment unattended, in hotel safes or left in vehicles. We will continue working to identify individuals who seek to join the ranks of foreign fighters traveling in support of ISIS, those foreign fighters who may attempt to return to the United States, and HVEs who may aspire to attack the United States from within. The Economic Espionage Act (EEA)1996 Public Law 104-294, 110 Stat. These techniques were used approximately one-third of the time. If Beijing sees no path to a cooperative economic relationship with Washington and instead believes that it will face mounting U.S. pressure regardless of any concessions Beijing may offer, Beijing will have little incentive to curb its efforts to steal U.S. technology. ISIS is not the only terrorist group of concern. for Us, The CCPs Organization Department makes all senior personnel appointments. However, other influence operations may include targeting U.S. officials and other U.S. persons through traditional intelligence tradecraft; criminal efforts to suppress voting and provide illegal campaign financing; concealing efforts to influence U.S. government activities, cyber attacks against voting infrastructure, along with computer intrusions targeting elected officials and others; and a whole slew of other kinds of influence, like both overtly and covertly manipulating news stories, spreading disinformation, leveraging economic resources, and escalating divisive issues. FBI.gov is an official site of the U.S. Department of Justice. Nation States' Espionage and Counterespionage | CSO Online The two use similar language to talk about China, but that doesn't mean their positions are the same. China targets foreign spies and 'hostile forces' with new anti - CNN As the threat to harm the United States and U.S. interests evolves, we must adapt and confront these challenges, relying heavily on the strength of our federal, state, local, and international partnerships. The Espionage Act of 1917 is a United States federal law enacted on June 15, 1917, shortly after the United States entered World War I. Both Barrack and Rafiekian were charged under 951 of the U.S. Criminal Code, which has roots in the Espionage Act of 1917, and broadly prohibits agents of foreign governments from acting in the United States without first notifying the Attorney General. I was glad to see President Trump and Chinese President Xi agree to 90 days of trade talks when they met two weeks ago at the G20 summit. This is due, in part, to their lack of a direct connection with an FTO, an ability to rapidly mobilize, and the use of encrypted communications. I will focus my remarks on two aspects of Chinas unconventional espionage threat. Analysis reveals several other interesting data points on the application of tradecraft. Site Map, Advertise| View All Articles & Multimedia. This represents a new and different threat to Americas long-term leadership and must be addressed forcefully. 18 U.S.C. Section 951 and the Non'Traditional Intelligence Actor The Obama administration issued two Executive Orders, E.O. Any unprotected trade secret can be illegally stolen. Impact on the U.S. Economy. Similarly, much of the responsibility for responding to Chinese efforts to infiltrate U.S. academic institutions will fall on those institutions themselves. Other Chinese government elements that collect intelligence (information) include the PLA Political Department Liaison Office (targeted against Taiwan), United Front Work Department, and the Ministry of Industry and Information Technology. In addition, the same erratic performance by recruited agents illustrates nonstandardized agent training, protocols, and practices. Women, Influence & Power in Law UK Awards honors women lawyers who have made a remarkable difference in the legal profession. espionage is described as: the act of obtaining transmitting, communication or receiving information about the national defense with the intent, or reason to believe, that the information may be used to the injury of the U.S. or to the advantage of any foreign nation We live in a time of acute and persistent terrorist and criminal threats to our national security, our economy, and indeed our communities. Lastly, in 27 cases, roughly 9 percent of the total, case officers and/or agents displayed a more sophisticated level of tradecraft. The third major line of response has been to increase costs to China over its espionage program and to take action against specific Chinese companies that engage in and/or profit from unconventional espionage. Similarly, even as the U.S. increases pressure on Chinas unconventional espionage, we should make sure that we do not inadvertently shut down or prevent valuable academic study, research and development, and other activities that benefit the U.S. For example, the U.S. derives major benefits from the hundreds of thousands of highly-skilled foreigners, including from China, who come to the U.S. to study, to work, and to start businesses. Never answer questions you feel uncomfortable About Us| Based on an actual case, the video illustrates how one company was targeted by foreign actors and what the FBI did to help. Universities must act to prevent espionage and foreign interference Foreign travel of short duration Foreign intelligence services continue to employ more creative and more sophisticated methods to steal innovative technology, critical research and development data, and intellectual property, in an effort to erode Americas economic leading edge. The initiative will prioritize cases of Chinese economic espionage and ensure that they are appropriately resourced. The Trump administration should use CFIUS to block Chinese companies that have stolen U.S. technology from acquiring companies in the United States. Taking classified material home The FBI is the lead agency for exposing, preventing, and investigating intelligence activities in the U.S. Because much of today's spying is accomplished by data theft from computer networks,. Up to life imprisonment For example, if China purchased this information, it could cross-reference location information with data it stole from the Office of Personnel Management about U.S. government employees, or against public record data about corporate executives. II. An adversary conducts activities with precision that indicates prior knowledge. ), LTG Anthony R. "Tony" Ierardi, USA (Ret. The problem is that these recent indictments and arrests are only two of hundreds, if not thousands of cases. The task force now brings together the FBIs expertise across the waterfrontcounterintelligence, cyber, criminal, and even counterterrorismto root out and respond to foreign influence operations. Cyber espionage (cyberespionage) is a form of cyber attack that is carried out against a competitive company or government entity. frequent questionable foreign travel Finally, the investments we make at home to maintain Americas technological edge are ultimately going to be more important than the steps we take to stop Chinas theft of American IP. They seek to hold our critical infrastructure at risk, to harm our economy and to constrain our free speech. traditional espionage activity includes foreign government Similarly, CFIUS should ensure that if the Chinese government has stolen or attempted to steal U.S. technology, no Chinese company should be able to acquire a U.S. company that designs or makes the technology that China attempted to steal. And the U.S. would need to take the Ronald Reagan line towards Soviet military commitments when it comes to Chinese concessions, Trust, but verifywith an emphasis on the verify. But we should not foreclose the possibility of cooperation. I the Handling phase the foreign intelligence officer will instruct the target on specific information needed. Almost 25 percent of cases target commercial interests. I would add that U.S. universities should also increase the scrutiny of their collaborative research projects with Chinese institutions and researchers to make sure that U.S. institutions are not inadvertently facilitating the transfer of proprietary and/or sensitive technology and expertise to China, while continuing to engage in legitimate and positive research collaborations. The FBI is working closely with partners in the Intelligence Community and in the federal government, as well as with state and local partners, to establish a common operating picture. Each attorney is granted unlimited access to high quality, on-demand premium content from well-respected faculty in the legal industry along with administrative access to easily manage CLE for the entire team. Third, the Trump administration should use Committee on Foreign Investment in the United States (CFIUS) authorities to prevent China from acquiring technologies that it is also trying to steal. Law Offices of Gary Martin Hays & Associates Preventing terrorist attacks remains the FBIs top priority. That type of understanding takes evidence based off detailed analysis of a sufficient body of data. PDF Tudent Uide Dod Ci Awareness and Reporting Course for Dod - Usna Thank you for the opportunity to appear before you today to discuss the current threats to the United States homeland. These diverse threats underscore the complexity and breadth of the FBIs mission: to protect the American people and uphold the Constitution of the United States. Cyber criminals often operate through online forums, selling illicit goods and services, including tools that lower the barrier to entry for aspiring criminals and that can be used to facilitate malicious cyber activity. Only a tenth of Russian spy operations in Europe have been uncovered, according to the former MI6 boss Sir John Sawers, after it emerged that the two men accused of carrying out the Salisbury . United States v. Franklin - Wikipedia This is a significant transformation from the terrorist threat our nation faced a decade ago. Prepare in advance Foreign intelligence entity (FIE) is defined in DoD Directives 5240.06 as "any known or suspected foreign organization, person or group (public, private, or government) that conducts intelligence activities to acquire U.S. systems and programs. Outright theft of U.S. and western intellectual property (IP) is a key piece of Chinas strategy, but it is only a piece. This report presents initial findings from analysis of 274 documented cases of Chinese worldwide espionage since the year 2000. The winners will be those who break the old rules of the spy game and work out new ones. When divided into the aforementioned categories (Espionage, Economic Espionage, ITAR, EAR, Covert Action) the 274 espionage cases show the percentages of operations as follows (Figure 1.). Congress has also played an important role. More than 60 percent of Chinas attempts to illegally export U.S. critical technologies are targeted at military technologies or space systems. Second, Congress should study ways to expand prohibitions on the import into the U.S. of items made with stolen U.S. IP, and the Trump Administration should work with allies to keep such products out of foreign markets. The International Trade Commission (ITC) has authority to ban the import of products that are made with stolen U.S. IP, and in recent years U.S. companies have successfully petitioned the ITC to ban such products from entering the U.S. market. Southeast But universities do need to take appropriate precautions to ensure that China is not able to use academic collaboration to steal U.S. intellectual property or engage in other activities that might harm U.S. national security. DHS is also investing in research into technologies and public-private partnerships that may be able to improve cybersecurity practices and in education and outreach programs designed to improve corporate cybersecurity practices. Figure 1: Categories of Chinese Espionage. U.S. policymakers however, have rightly sought to aggressively deter and punish Chinese espionage intended to steal trade secrets and other IP from the U.S. private sector that is then transferred to Chinese companies for commercial advantage, and to crack down on other forms of unconventional espionage that threaten Americas technological, economic, and military edge. In its recent stepped-up enforcement efforts against foreign influence in American politics, the DOJ has faced some high-profile setbacks when it has sought to use the broad reach of 18 U.S.C. When it comes to economic espionage, it is important to keep in mind that espionage is but one element in a broader Chinese strategy to modernize its economy and to promote China as the world leader in a range of technologies that will be critical to both economic and military power in the years ahead. Foreign intelligence Entities seldom use elicitation to extract information from people who have access to classified or sensitive information. This has taken several forms. Dynamically explore and compare data on law firms, companies, individual lawyers, and industry trends. In 54 cases, entities used no tradecraft or substantive attempts to hide the espionage activity. We face threats from state-sponsored hackers, hackers for hire, organized cyber syndicates, and terrorists. With Such Low Win Rates, Should Law Firms Respond to So Many RFPs? Unreported contact with foreign nationals In intelligence terminology, information objectives identify the specific information (or technology) that is tasked for collection. The goal of these foreign influence operations directed against the United States is to spread disinformation, sow discord, push foreign nations policy agendas, and ultimately undermine confidence in our democratic institutions and values. It is seen by many who enter messaging apps and participate in social networks. The recent attacks in Texas and California underscore the continued threat posed by domestic violent extremists and perpetrators of hate crimes. Provide non-descript answers For the United States, the problem is not these recent cases. Spies from 20 foreign intelligence agencies, including Nato allies such as France and Germany, are attempting to steal Britain's most sensitive secrets. Foreign influence operations have taken many forms and used many tactics over the years. Testimony before the Senate Judiciary Committee, By United States v. Franklin, Rosen, and Weissman was an early 21st century court case from the United States District Court for the Eastern District of Virginia.The government prosecuted one Department of Defense employee (Franklin) and two lobbyists (Rosen & Weissman) for the American Israel Public Affairs Committee (AIPAC) for allegedly disclosing national defense information to persons 'not . The first is economic espionage, which is intended to provide China with commercial advantage over U.S. firms. Money, Tokyo If the United States does not continue to make and expand R&D here in the U.S., China will eventually overtake our technological edge, regardless of how effective we are at preventing China from stealing, buying, or otherwise acquiring U.S. IP. An adversary uses technical countermeasures to block a previously undisclosed or classified U.S. intercept technology. emailStay Connected Department of Justice indictments and private sector reports in recent years have accused Chinese hackers of breaking into the corporate networks of U.S. and western companies including defense contractors, non-profits, semiconductor firms, healthcare companies, industrial manufacturers, aerospace companies, media companies, solar companies, and electronics companies, among others. Our adversaries are continuously trying to undermine our country, whether it is election season or not. Recent ISIS videos and propaganda have specifically advocated for attacks against soldiers, law enforcement, and intelligence community personnel. But universities risk being fertile place for this kind of espionage, given the open, international, and collaborative nature of most university research and universities legitimate interest in encouraging international collaboration. The US government has taken a range of measures to counter Chinese espionage and protect American interests. The threats posed by foreign fighters, including those recruited from the U.S., are very dynamic. The final aspects of Chinese espionage activities are their use of specific clandestine collection techniques commonly known as espionage tradecraft. Chinese government agencies, SOEs, companies and individuals employ varying levels of sophistication of espionage tradecraft. Chinese theft of U.S. intellectual property has been one of the major legal and policy rationales for the Trump administrations Section 301 finding on China and subsequent imposition of tariffs on some $250 billion in Chinese goods imported into the United States. Economic Cyber Espionage and International Law: Controversies - ASIL Espionage operations have expanded dramatically, increasing in the number of operations, personnel, government and SOEs, and foreign targets sets. Taking short trips. China-Based Customers Conducting Espionage Activities. In another 22 cases, MSS operatives employed only simplistic or limited operational tradecraft. Information gathered and activities conducted to identify, deceive, exploit, disrupt, or protect against espionage, other intelligence activities, sabotage, or assassinations conducted for or on behalf of foreign powers, organizations or persons or their agents or international terrorist organizations. The activity highlighted includes a group we track as Threat Activity Group 16 (TAG-16), which has compromised several high-profile military and government organizations across Southeast Asia throughout 2021 using custom malware families such as FunnyDream and Chinoxy. Contact with international terrorist Hacking back proposals would need to be carefully tailored to mitigate potential unintended consequences and to protect innocent parties, and the risks need to be carefully evaluated. The U.S. recently charged Chinese spies and companies with trying to steal trade secrets from the semiconductor industry, and charged a Chinese agent with collecting information on Chinese nationals working in the U.S. for possible recruitment by Chinas spy agencies. Unexplained or undue affluence Beware of being overheard Get FBI email alerts According to the New York Times, Congress received an intelligence report last month that underscored at . Due to online recruitment, indoctrination, and instruction, FTOs are no longer dependent on finding ways to get terrorist operatives into the United States to recruit and carry out acts of terrorism. Fourth, Congress should consider amendments to the Foreign Agents Registration Act (FARA) or other legislation to require better disclosure about Chinese operations in the United States. I will address three issues in my testimony before you this morning. Responding to Chinas unconventional espionage threat will require a whole-of-society approach, not just a whole-of-government approach. Counterintelligence FBI - Federal Bureau of Investigation https://www.law.com/newyorklawjournal/2022/12/07/setbacks-prosecuting-trump-allies-highlight-challenges-in-foreign-influence-cases/. License our industry-leading legal content to extend your thought leadership and build your brand. NPR's Leila Fadel talks to Rachel Ziemba of the Center for a New American Security about sanctions which have failed to dramatically weaken Russia's economy, and its ability t By The wide variance in sophistication of espionage tradecraft implies the idea of Islands of Excellence (see Figure 6) meaning China employs espionage tradecraft with varying degrees of sophistication and effectiveness.