Ex-FBI Agent Faces Charges in China Spy Case

Yahoo/AP ^ | April 9, 2003 | Curt Anderson

[pttttt]

Yahoo! News   Wed, Apr 09, 2003

Ex-FBI Agent Faces Charges in Spy Case

49 minutes ago

By CURT ANDERSON, Associated Press Writer

WASHINGTON - A former FBI (news - web sites) agent assigned to hunt Chinese spies carried on a lengthy affair with an alleged Chinese double agent and allowed her access to classified documents, federal prosecutors charged Wednesday.

According to an FBI affidavit, the former agent, James J. Smith, 59, recruited Katrina Leung, a Republican political activist in California, in the early 1980s to become an FBI "asset" and became her "handler" seeking information about the People's Republic of China.

The married FBI man and Leung had a sexual relationship from that time until Smith's retirement from the FBI in 2000. The FBI paid her more than $1.7 million for services and expenses.

In documents unsealed in U.S. District Court in Los Angeles, Smith was charged with "gross negligence in handling documents related to the national defense." Smith appeared in handcuffs before a federal magistrate in Los Angeles, who set bail at $250,000 and scheduled an initial hearing for April 29.

Leung, who worked covertly for the Chinese government, is charged with unauthorized copying of U.S. secrets with intent of providing them to Chinese intelligence services.

Leung, 49, was arrested Wednesday and was ordered held without bond in Los Angeles until a Friday hearing out of concern she might flee the country. The charges against Smith and Leung carry maximum sentences of 10 years in prison.

Code-named "Parlor Maid" by the FBI, Leung used her relationship with Smith to gain access to classified documents, frequently copying them and providing details to Chinese officials, according to the affidavit. Examples include files regarding Chinese fugitives, a telephone list from an espionage probe, lists of FBI agents and names of agents serving at overseas posts.

She had a contact code-named "Mao" at China's Ministry of State Security intelligence service, the affidavit said. Leung, in turn, was known to the Chinese by her alias, "Luo."

A statement issued by Leung's two attorneys said that she is "a loyal American citizen" who repeatedly put herself in danger to help the FBI and who would be vindicated. Smith's attorney, Brian Sun, said after the hearing that the affidavit "states that she basically stole stuff from him."

However, the affidavit contends Smith learned that Leung was providing information to the Chinese government in 1991 but "continued to allow Leung access to classified information" for about nine more years. When another FBI agent approached Smith about Leung's alleged duplicity, the affidavit said Smith claimed the problem was under control.

In a statement, FBI Director Robert Mueller called the arrest "a sad day for the FBI." He has requested internal and Justice Department (news - web sites) inspector general reviews "to determine what went wrong, why our safeguards failed to detect this misconduct sooner and where accountability lies."

Officials said Mueller was not initially told about the case when he became FBI director in September 2001. He learned about it later that year and created a task force that investigated for 13 months.

Smith, who worked for the FBI for 30 years, was involved in the investigation into whether China tried to funnel money into the 1996 U.S. elections in a bid to gain influence. Smith worked with Democratic fund-raiser Johnny Chung, who cooperated with the FBI and pleaded guilty to charges stemming from his admission that he received $300,000 from Chinese intelligence officials to influence congressional campaigns.

The campaign finance connection was not mentioned in the FBI affidavit unsealed Wednesday.

House Intelligence Committee Chairman Porter Goss, R-Fla., and the panel's senior Democrat, Rep. Jane Harman (news, bio, voting record) of California, issued a joint statement calling the case "a matter of serious concern" and commending Mueller for the steps taken so far.

The case is similar to that of former FBI agent Richard Miller, who served 13 years in prison for passing information to two pro-Soviet Russian immigrants. One of them, Svetlana Ogorodnikov, was described as Miller's lover.

Leung is president of a business consulting firm in California and a director of the Los Angeles World Affairs Council. It promotes greater understanding of global issues and includes a number of prominent people as directors.

Leung helped raise money for former Los Angeles Mayor Richard Riordan in his unsuccessful bid for California governor last year and contributed to several other GOP campaigns, according to Republican officials and campaign records.

___

Associated Press writer Erica Werner in Los Angeles contributed to this story.

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[pttttt]

With all this, doesn't seem like letting the PRC into ownership of US telecommunications is real smart.

But that's what we're about to do: FCC Global Crossing/Hutchison Whampoa Merger Page

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[Fred Mertz]

However, the affidavit contends Smith learned that Leung was providing information to the Chinese government in 1991 but "continued to allow Leung access to classified information" for about nine more years.

There is more meat to this article than the earlier one today. It's funny how the article insinuates at the end that Jeung was partial to Pubbies.

[Fred Mertz]

Jeung = Leung........D'oh!

[RightOnGOP]

Not only was she partial, article got it apparently right. Earlier reports listed her specifically as a "Republican activist."

Truth hurts.

[concerned about politics]

Wait a minute. Katrina Leung, the one who won all those martial arts awards? Born in Canada?
If it's the same one, how can she be a Republican activist in California when she was mostly raised in Canada? Hmmmm. An activist during a Republican presidency? How China-convienient.
Sounds like a cover lie for China to me.
Either this is a different person, or something is wrong. She played in Hollywood films, too.

[Reactionary]

Smith, who worked for the FBI for 30 years, was involved in the investigation into whether China tried to funnel money into the 1996 U.S. elections in a bid to gain influence. Smith worked with Democratic fund-raiser Johnny Chung, who cooperated with the FBI and pleaded guilty to charges stemming from his admission that he received $300,000 from Chinese intelligence officials to influence congressional campaigns.

[free from tyranny]

Ethel was always the bright one Fred! Sorry! The sneeky Chi-coms always hedge. They are loyal to no one, except themselves. And even then, the muderous bastards kill their own children if they are the wrong sex.

China blinds even the most omniscient visionary.The prospect of the Chinese market fuels the "hearths of greed" of even the most pious.

Present day China is evil.....it is ruled by the heartless and driven by the mindless. They are a toxic amalgam of socialism and capitalism that must be destroyed.

NOW!!

[concerned about politics]

Another side of the story

WASHINGTON (AP) - A former FBI agent who helped investigate Clinton-era campaign finance allegations is being charged with passing classified information to a Republican activist in California.

James Smith was to appear Wednesday afternoon in U.S. District Court in Los Angeles to face a charge of gross negligence, federal law enforcement officials said.

The officials, who spoke on condition of anonymity, said Smith is accused of giving the information to Katrina Leung, a political activist with connections to the Chinese government.

The type of information was not immediately disclosed and it was not clear whether investigators believe any of the material reached the Beijing government.

Leung also could be charged, the sources said, declining to be more specific. A man who answered Leung's office phone Wednesday afternoon said she was declining to comment.

Katrina Leung --

member of the Hong Kong Association of Southern California, as listed in the Federation of Hong Kong Business Associations Worldwide.

Secretary of the National Association of Chinese Americans and Richard Riordan for Governor Supporter

Contributor to the National Committee on US-China Relations

Member of the Southern California Center Advisory Committee to the Asia Society

[hoot2]

"It's funny how the article insinuates at the end that Jeung was partial to Pubbies. "

my thought too....she went to "fund raisers" with "mayor tom bradley..." typical pubbie...

[AnimalLover]

Don't forget that in addition to Hutchison-Whampoa we
have the case of COSCO (China Ocean Shipping Co) going
in at the Port of Long Beach. Back in early March (7th?)
Aloha Ronnie told how he tried to stop this but,
seeing that Hillary's hand was behind it, you know what
happened.
Perfect setup for espianoge(?) by the PLA and whoever
else wants what we have!

[Reb Raider]

I seem to remember that Johnny Chung went into hiding with his family because an attempt was made on his life or a threat had been made on it. I wonder if these two had anything to do with his location being exposed. I always wonder in these kind of cases how many people who were helping us died because of our agent's carelessness and then trechery. I could be mistaken on him going into a safe house, but I think the story was on world net daily back then. Maybe one of you has a better memory of this.

[kenzie]

This dog is what James J. Smith sold-out his country and discraced his family over?

Not quite Gong Li, is she? JERK!

[putupon]

According to an FBI affidavit, the former agent, James J. Smith, 59, recruited Katrina Leung, a Republican political activist in California,

GOP, eh? Too bad for Bubba and the Chicoms. A little something something of that would been good enough for a missile or two from him.

[csvset]

In the event he is convicted and sent to prison, being an ex-FIBber, he'll be kept out of the general populace. It's too bad, the SOB needs to catch a shank in the back.

[honway]

Richard Perle is a "Republican activist" and is working for the Communist Chinese in the Hutchison Whampoa buyout
of Global Crossing, even though the FBI an the Pentagon
has said such a merger is a threat to national security.
I guess there are traitors in both parties, I still maintain you can find more in the Democrat party.

[honway]

http://www.iht.com/articles/90839.html


Global Crossing, the telecommunications giant, is now in bankruptcy. It has retained Perle to help persuade the Defense Department to drop its objections to a proposed sale to foreign buyers in Hong Kong and Singapore. The deal has been opposed by the Defense Department and the FBI as a threat to national security because it would put Global Crossing's fiber optics network, which is used by the U.S. government, under foreign control. Perle stands to make up to $725,000 from his work for Global Crossing.

[honway]

under foreign control=Communist Chinese control(Hutchison Whampoa)

[honway]

Was there an update to this information?


http://www.house.gov/hunter/may27.htm

FOR IMMEDIATE RELEASE: 27 May 1998


COSCO BAN STILL IN EFFECT
CURRENT LAW PREVENTS LONG BEACH NAVAL STATION FROM GOING TO CHINESE SHIPPING COMPANY

[AmericanVictory]

And when are we going to see an actual investigation of the communist Chinese use of Bill Clinton. If this dupe is convicted, will it be permissible to ask about investigating the bigger fish?