{"id":59330,"date":"2025-08-05T13:50:19","date_gmt":"2025-08-05T20:50:19","guid":{"rendered":"https:\/\/cjnotebook.com\/?p=59330"},"modified":"2025-08-05T13:50:19","modified_gmt":"2025-08-05T20:50:19","slug":"two-chinese-nationals-arrested-for-illegally-exporting-ai-microchips-to-china","status":"publish","type":"post","link":"https:\/\/cjnotebook.com\/?p=59330","title":{"rendered":"Two Chinese Nationals Arrested for Illegally Exporting AI Microchips to China"},"content":{"rendered":"<p style=\"text-align: center;\" data-start=\"210\" data-end=\"424\"><span style=\"font-size: 20px;\"><strong data-start=\"210\" data-end=\"225\">LOS ANGELES<\/strong>\u00a0<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"210\" data-end=\"424\"><span style=\"font-size: 20px;\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-14844 alignleft\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo-300x225.jpg\" alt=\"La Cosa Nostra Convicted Felon Admits to Drug, Prostitution and Weapons Charges\" width=\"300\" height=\"225\" srcset=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo-300x225.jpg 300w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo-45x35.jpg 45w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo.jpg 640w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/>Two Chinese nationals, including one in the U.S. illegally, have been arrested on federal charges of illegally exporting sensitive AI-related microchips to China, the Justice Department announced Tuesday.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"426\" data-end=\"884\"><span style=\"font-size: 20px;\"><strong data-start=\"426\" data-end=\"440\">Chuan Geng<\/strong>, 28, of Pasadena, and <strong data-start=\"463\" data-end=\"478\">Shiwei Yang<\/strong>, 28, of El Monte, are charged under the <strong data-start=\"519\" data-end=\"548\">Export Control Reform Act<\/strong>, which carries a maximum sentence of <strong data-start=\"586\" data-end=\"616\">20 years in federal prison<\/strong>. <\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"426\" data-end=\"884\"><span style=\"font-size: 20px;\">Geng, a lawful permanent resident, surrendered Saturday and was released on a <strong data-start=\"696\" data-end=\"713\">$250,000 bond<\/strong>.<\/span><\/p>\n<p data-start=\"210\" data-end=\"424\"><span style=\"font-size: 20px;\">Defendants are presumed innocent unless proven guilty.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"426\" data-end=\"884\"><span style=\"font-size: 20px;\">Yang, who overstayed her visa, was arrested the same day. Her <strong data-start=\"777\" data-end=\"798\">detention hearing<\/strong> is set for <strong data-start=\"810\" data-end=\"823\">August 12<\/strong>, and both are scheduled for <strong data-start=\"852\" data-end=\"883\">arraignment on September 11<\/strong>.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"886\" data-end=\"1233\"><span style=\"font-size: 20px;\">According to the criminal complaint, the pair ran <strong data-start=\"936\" data-end=\"958\">ALX Solutions Inc.<\/strong>, based in El Monte. <\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"886\" data-end=\"1233\"><span style=\"font-size: 20px;\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-56084\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/04\/cybercrime_1714496293.jpg\" alt=\"Laptop with a person in a hoodie in front of it.\" width=\"1\" height=\"1\" \/>From <strong data-start=\"984\" data-end=\"1013\">October 2022 to July 2025<\/strong>, they allegedly <strong data-start=\"1030\" data-end=\"1091\">exported high-performance graphic processing units (GPUs)<\/strong>\u2014used in <strong data-start=\"1100\" data-end=\"1114\">AI systems<\/strong> such as self-driving cars and medical diagnostics\u2014<strong data-start=\"1165\" data-end=\"1195\">without a required license<\/strong> from the U.S. Department of Commerce.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"1235\" data-end=\"1628\"><span style=\"font-size: 20px;\">ALX was founded shortly after new licensing rules took effect for sensitive microchips. <\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"1235\" data-end=\"1628\"><span style=\"font-size: 20px;\">Records show the company shipped to <strong data-start=\"1359\" data-end=\"1385\">Singapore and Malaysia<\/strong>, known transshipment hubs for evading U.S. export controls, according to authorities.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-56280 size-medium\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-239x300.jpg\" alt=\"Anonymous computer hacker in white mask and hoodie. Using laptop computer for cyber attack and calling on cellphone. Special photo processing film grain, noise. Subscribe my channel: https:\/\/www.youtube.com\/@earthzoom | Donation: https:\/\/fantalks.io\/r\/bermixstudio - any amount appreciated \ud83e\udd18\" width=\"239\" height=\"300\" srcset=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-239x300.jpg 239w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-815x1024.jpg 815w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-768x964.jpg 768w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-1223x1536.jpg 1223w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-1631x2048.jpg 1631w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-300x377.jpg 300w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-850x1067.jpg 850w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2024\/05\/anonymous-computer-hacker-in-white-mask-and-hoodie-using-laptop-computer-for-cyber-attack-and-calling-on-cellphone-special-photo-processing-film-grain-noise-subscribe-my-channel-httpswwwyoutubecom-at-stockpack-unsplash-scaled.jpg 2039w\" sizes=\"auto, (max-width: 239px) 100vw, 239px\" \/><\/p>\n<p style=\"text-align: center;\" data-start=\"1235\" data-end=\"1628\"><span style=\"font-size: 20px;\">Despite claiming to export to these countries, ALX received <strong data-start=\"1506\" data-end=\"1555\">payments from entities in China and Hong Kong<\/strong>, including a <strong data-start=\"1569\" data-end=\"1591\">$1 million payment<\/strong> in January 2024 from a Chinese firm.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"1630\" data-end=\"1806\"><span style=\"font-size: 20px;\">One December 2024 shipment falsely claimed to comply with federal export laws, but contained <strong data-start=\"1723\" data-end=\"1766\">chips requiring special export licenses<\/strong>. Neither Geng nor Yang applied for one, officials stated.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"1808\" data-end=\"2054\"><span style=\"font-size: 20px;\">Last week, federal agents seized the defendants\u2019 phones during a search of ALX\u2019s office. Investigators found <strong data-start=\"1917\" data-end=\"1943\">incriminating messages<\/strong> discussing efforts to <strong data-start=\"1966\" data-end=\"2019\">funnel restricted chips through Malaysia to China<\/strong>, skirting U.S. export regulations.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"2056\" data-end=\"2152\"><span style=\"font-size: 20px;\">The <strong data-start=\"2060\" data-end=\"2067\">FBI<\/strong> and the <strong data-start=\"2076\" data-end=\"2133\">Commerce Department\u2019s Bureau of Industry and Security<\/strong> are investigating, officials stated.<\/span><\/p>\n<p style=\"text-align: center;\" data-start=\"2222\" data-end=\"2321\" data-is-last-node=\"\" data-is-only-node=\"\">\n","protected":false},"excerpt":{"rendered":"<p>LOS ANGELES\u00a0 Two Chinese nationals, including one in the U.S. illegally, have been arrested on federal charges of illegally exporting sensitive AI-related microchips to China, the Justice Department announced Tuesday. Chuan Geng,&#8230;<\/p>\n","protected":false},"author":1,"featured_media":59331,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-59330","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Two Chinese Nationals Arrested for Illegally Exporting AI Microchips to China<\/title>\n<meta name=\"description\" content=\"LOS ANGELES\u00a0 Two Chinese nationals, including one in the U.S. illegally, have been arrested on federal charges of illegally exporting sensitive AI-related\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cjnotebook.com\/?p=59330\" \/>\n<meta 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