I am shocked, shocked.
Posted on 08/10/2003 4:51:39 PM PDT by ex-Texan
Sidewinder: Chinese Subversion Tracked in Canada
Secret RCMP - Canadian Security Intelligence Service Draft Report
<-- Snip -->
Forward
In May 1996 a joint project was initiated by the RCMP Criminal Analysis Branch and the CSIS Analysis and Production Branch to assess the extent of the threat posed by the acquisition and control of Canadian companies by members or associates of triads and with affiliations to the Chinese Intelligence Services. The research team quickly realized that the initial premise was the tip of the iceberg with only a minute portion of a much more complex situation showing. It should be stressed that this report is a prospective document that makes to claim to provide a full survey of the issue; in fact, quite the opposite.
This document does not present theories but indicators of a multifaceted threat to Canada's national security based on concrete fats drawn from the databanks of the two agencies involved, classified reports from allied agencies and various open sources. This study has departed from the conventional and sometimes confining approaches followed by our respective methodologies. Although both organizations have fairly extensive expertise on Chinese matters, it is nevertheless very different. It is clear at the end of this exercise that both organizations have gained from cooperating on this research. When put together, these two bodies of expertise complement each other, providing a broader and more substantial perspective of the Chinese issues.
The scope of the problem found after a few weeks of research dictated that the initial research results had to be presented in the form of case studies. At the moment, we estimate that over 200 Canadian companies are under the direct or indirect control of China. Although it was impossible to do all the research within the parameters initially given; however, sufficient details have been found to reveal the threat. It should be reiterated that this report presents concrete facts, not just ideas or speculation. We trust that we have demonstrated the need to continue the work within a broader and more elaborate framework.
Chinese Intelligence Services and Triads Financial Links in Canada
Summary
Since the mid-1980s, a substantial immigration flow from Hong Kong has taken place and Canadian authorities were first alerted when a significant presence of Chinese organized crime elements among this group was detected. Many came through the "entrepreneur and "investor" immigration program and some of these criminals even have succeeded to obtain their Canadian citizenship. Although not all immigrants in these categories are suspected, two particular groups of individuals raised attention. Two other groups have also taken advantage of the "entrepreneur" and "investor" categories to immigrate and to invest in Canada. First, a certain number of very rich Hong Kong Chinese business people (tycoons) who are known to have been cooperating with the Chinese Government for years. Then a group composed of associates and relatives that certain individuals of these three groups have been working for over fifteen years in concert with the Chinese government and some of their "financial ventures" in Canada serve to conceal criminal or intelligence activities.
Hand in hand with this situation, the ChIS [Chinese Intelligence Service] make very active use of their access to Canadian industries through exchanges of specialists and students, and also set up shell companies to pursue their acquisition of economic and technological intelligence. Cooperation between the Hong Kong tycoons, the triads and the Beijing leadership adds a new dimension to the well known "mass line collection" strategy followed by the ChIS. This situation substantially raises the level of the potential threat, revealing the effectiveness of Chinese efforts to obtain Canadian technology and their capability to interfere in the management of the country. Central points and essential for the understanding of the problem are the cultural singularities that characterize the Chinese as the concepts of "debt of honour", "duties", "Hou Tai or backers" and "Guanxi or connections."
By using these alliances, the Chinese government is trying to gain influence on Canadian politics by maximizing their presence over some of the country's economic levers. To that end, they proceed initially to buy and/or legally set up a company in Canada that, once under their control, buys other companies and so on. An effective domino effect ensues that acts like a well-spun web or network at strategic points. It is estimated that over 200 Canadian companies have passed into Chinese influence or ownership since the early 1980s through the triads, tycoons or China national companies. These businesses are found in various sectors of the economy, ranging from multinationals to banking, high technology and real estate (CITIC, Norinco, Husky Oil, Grand Adex Properties Inc, Merrill Lynch, Gordon Capital, Inc, Tai Foong International, CIBC, Ramada Hotels, China Vision and Semi-Tech Corporation, etc.). The triads' companies are also used to pursue their criminal activities, such as money-laundering and heroin trafficking, as well as assistance to the ChIs.
Being Canadian these businesses are also eligible to receive government subsidies for research or classified contracts from Federal Departments. The risk is that after the research is done, there [sic] results can be transfered to China. Other form of risk is with the access gain[ed] through classified contract. As an example, a Canadian company under Chinese influence was in contention for a contract to set up and run a classified communications system linking the main agencies of the Canadian intelligence community. A company in Toronto specializing in video surveillance was originally Canadian, but was bought by a Chinese multinational. It is impossible at present to say how many or which Canadian companies are in the same situation. These examples, however, raise questions about the integrity of some companies that have already installed security systems for various Canadian government institutions or Canadian research industries.
Significant portions of some large Canadian urban centres are also owned by Chinese entrepreneurs. For example, it is estimated that Li Ka-shing owns with his son at least one sixth to one third of downtown Vancouver.
These "corporate" figures have become an influential presence on the political and economic landscapes of Toronto and Vancouver and at the provincial and federal levels. The triads, the tycoons and the ChIS have learned the quick way to gain influence is to provide finance to the main political parties. Most of the companies identified in this research have contributed, sometimes several tends of thousands of dollars, to the two traditional political parties, that is, the Liberal and the Progressive-Conservative Parties.
<-- Snip -->
This report and other Editorial and Top News Reports may be found on NewsPundit.net
(Excerpt) Read more at jrnyquist.com ...
Chinese Trojan Horse in Canada
Also discusses some of conduct by Bill Clinton regarding arms smuggling by the Chinese into Mexico and the US.
I am shocked, shocked.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.