Agent Smith: "I'm on that Chinese chick right away boss!"Posted on 04/10/2003 1:59:12 PM PDT by Lo-Pro
Ex-FBI, Chinese lover arrested in spy case
Female double-agent had affairs with 2 FBI men
By Sherrie Gossett
Retired FBI agent James Smith was arrested Wednesday on charges he repeatedly allowed a Chinese double agent, with whom he was having an affair, to gain access to classified information.
Smith’s lover, Katrina Leung, a 49-year-old San Marino resident and Republican party activist, was also arrested.
The arrests were made after a 13-month FBI investigation that included covert surveillance, interviews and consensual and covert searches.
Leung had been an FBI “asset” under Smith’s supervision for almost 20 years. She was purportedly providing information about the People's Republic of China (PRC) to the FBI. During this period Leung was paid approximately $1.7 million for providing the FBI with the information.
Now she is alleged to be a double-agent, who was also working as an ‘asset’ for the Chinese Ministry of State Security (MSS).
The MSS is an intelligence service of the Peoples Republic of China (PRC). .Among other functions, MSS conducts intelligence operations for the PRC focusing upon the United States intelligence community, including the FBI, the Central Intelligence Agency (CIA), the National Security Agency (NSA), the Defense Intelligence Agency, the military, the National Reconnaissance Office, and the National Imaging and Mapping Agency.
According to the FBI, Leung admitted that she had an MSS handler named "Mao." "Luo" was her MSS alias, provided to her by a high ranking PRC official.
Smith routinely debriefed Leung at her residence and allegedly on occasion took classified documents there and left them unattended. Leung surreptitiously photocopied some of them, and documents she obtained in this manner have been recovered from her residence.
Leung admitted that she also made notes regarding documents she surreptitiously obtained from Smith without copying the documents. Leung also made notes regarding information Smith told her.
Over the years, Leung provided intelligence she gained in this manner to the MSS.
Exposed double-agent still had access to classified info
In 1991, Smith learned Leung was providing classified information to PRC intelligence services without authorization by the FBI.
Smith learned this from an FBI Special Supervisory Agent (SSA) who oversaw a Chinese counterintelligence squad in the San Francisco . Ironically, this agent has also now admitted to a long-term sexual relationship with Leung. The unnamed agent recognized Leung’s voice on a recording provided by a source. The recording was between Leung and her MSS handler. He in turn alerted Smith and allegedly relied on him to handle the situation.
Despite the revelation, Smith continued to allow Leung access to classified information.
An FBI search of a bookshelf at Leung’s residence turned up the following:
- a FBI Los Angeles NSD-2 squad telephone directory dated December 20, 1994;
- a secret FBI memorandum regarding Chinese fugitives dated June 12, 1997;
- a FBI Legat Directory dated March 17, 1994;
- a telephone list relating to an FBI investigation codename "Royal Tourist."
"Royal Tourist" was the code name of an espionage investigation of Peter Lee. Lee was employed by TRW in California and admitted passing secret restricted information to the PRC during travel to the PRC in 1985. In 1997, Lee pled guilty to unauthorized transmission of national defense information.
security breaches continued into retirement
After retiring, the unnamed San Francisco-based agent obtained employment with the University of California. The job required a security clearance, and provided the former FBI SSA access to classified information. The FBI states that the former agent had not reported his sexual relationship with Leung to the University of California either.
Former agent Smith also continued to provide information about the FBI and FBI agents to Leung after he retired.
The information sought by PRC intelligence services includes the identities of FBI employees and the nature of FBI investigations.
FBI Director Robert S. Mueller commented, "The allegations against former Agent Smith and his source Katrina Leung are serious. Allegations that he caused the loss of classified information, as well as his personal indiscretions with Ms. Leung, are very serious and warrant a strong response.”
The director called it a “"sad day for the FBI.” adding, “ James Smith was once a Special Agent, sworn to uphold the rule of law and the high ethical standards of the FBI. According to today's charges, former Agent Smith not only betrayed the trust the FBI placed in him, he betrayed the American people he was sworn to protect.”
Smith began his career with the FBI in October 1970 and retired in November 2000. Smith transferred from his first FBI office in Salt Lake City, Utah, to the Los Angeles Office in 1971. In approximately July 1978, Smith was assigned to work on a Foreign Counterintelligence (FCI) squad focusing upon the PRC. From that time until his retirement, Smith worked on FCI PRC matters.
Katrina Leung was active in California Republican politics. At a speech given before the Los Angeles World Affairs Council on October 22, 2002, former gubernatorial candidate and Republican William Simon referred to Leung as a “dear friend.” In addition, Leung supported Richard Riordan’s campaign.
Leung and Smith both made their initial court appearance yesterday.
No wonder he found nothing.
So9
Agent Smith: "I'm on that Chinese chick right away boss!"Its called "cover".
All a mistake. The Chinese never could pronounce the letter "l".....
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