{"id":1571194,"date":"2022-07-26T08:50:44","date_gmt":"2022-07-26T12:50:44","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1571194"},"modified":"2022-07-26T08:52:35","modified_gmt":"2022-07-26T12:52:35","slug":"investigation-reveals-china-targeted-federal-reserve-as-economic-espionage","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/investigation-reveals-china-targeted-federal-reserve-as-economic-espionage\/","title":{"rendered":"Investigation Reveals China Targeted Federal Reserve as Economic Espionage"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Finvestigation-reveals-china-targeted-federal-reserve-as-economic-espionage%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1571194&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><\/div>\n<div class=\"RichTextArticleBody\">\n<div class=\"RichTextArticleBody-body\">\n<div class=\"Enhancement\">\n<div class=\"Enhancement-item\"><\/div>\n<\/p><\/div>\n<p><span class=\"ArticlePage-articleBody-firstLetter\">T<\/span>he <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/federal-reserve\" target=\"_blank\" rel=\"noopener\">Federal Reserve<\/a> has been repeatedly targeted by the <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/china\" target=\"_blank\" rel=\"noopener\">Chinese government<\/a> as part of a large-scale economic espionage effort, according to a <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/republican\" target=\"_blank\" rel=\"noopener\">Republican<\/a> investigator. <\/p>\n<p><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/rob-portman\" target=\"_blank\" rel=\"noopener\">Sen. Rob Portman<\/a> (R-OH) released a minority staff report for the <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/homeland-security\" target=\"_blank\" rel=\"noopener\">Homeland Security<\/a> and Governmental Affairs Committee that details how the Federal Reserve System has been targeted by <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/beijing\" target=\"_blank\" rel=\"noopener\">Beijing<\/a>. The FBI has <a class=\"Link\" href=\"https:\/\/www.fbi.gov\/file-repository\/china-risk-to-academia-2019.pdf\/view\">repeatedly<\/a> <a class=\"Link\" href=\"https:\/\/www.fbi.gov\/news\/speeches\/the-threat-posed-by-the-chinese-government-and-the-chinese-communist-party-to-the-economic-and-national-security-of-the-united-states\">warned<\/a> about China\u2019s Thousand Talents economic espionage program. <\/p>\n<p>\u201cA Federal Reserve counterintelligence analysis identified 13 persons of interest as having connections with known Chinese talent recruitment plan members or \u2018having similar patterns of activity the [Federal Reserve] analysts deemed\u2019 of potential concern,\u201d the new report says. \u201cFederal Reserve investigators dubbed these individuals, representing no fewer than 8 of the 12 Federal Reserve Banks, as the P-Network.\u201d <\/p>\n<p>The <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/senate\" target=\"_blank\" rel=\"noopener\">Senate<\/a> report said the actions of those individuals and their connections to Chinese talent programs are \u201calarming\u201d and provide \u201cstark examples of the ways in which the Chinese Government has attempted to gain access to sensitive internal information and influence\u201d the Fed. <\/p>\n<p><b><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/restoring-america\/courage-strength-optimism\/security-concerns-china-land-minutes-military-drone-base\" target=\"_blank\" rel=\"noopener\">CHINA MADE HUGE LAND PURCHASE JUST MINUTES FROM TOP SECRET US MILITARY DRONE BASE<\/a><\/b> <\/p>\n<p>\u201cI am concerned by the threat to the Fed and hope our investigation, which is based on the Fed\u2019s own documents and corresponds with assessments and recommendations made by the FBI, wakes the Fed up to the broad threat from China to our monetary policy,\u201d Portman told the <i>Washington Examiner<\/i>. \u201cThe risk is clear. I urge the FBI and the Fed to do more to counter this threat from one of our foremost foreign adversaries.\u201d <\/p>\n<p>Jerome Powell, chairman of the Federal Reserve, sent a letter obtained by the <i>Washington Examiner<\/i> back to Portman to express &#8220;strong concerns about assertions&#8221; in his report. <\/p>\n<p>&#8220;We would be concerned about any supportable allegation of wrongdoing, whatever the source,&#8221; Powell wrote. &#8220;In contrast, we are troubled by what we believe to be the report&#8217;s unfair, unsubstantiated, and unverified insinuations about particular individual staff members.&#8221; <\/p>\n<p>The Senate report provided five \u201ccase studies\u201d on Fed employees targeted by or involved with China, and a committee aide noted that \u201cfour of the five are still at banks.\u201d <\/p>\n<p>The new investigation \u201creveals that China has also targeted the Federal Reserve to undermine American economic and monetary policy since at least 2013\u201d and \u201cshows how China has used a variety of tactics to recruit U.S.-based economists to provide China with knowledge and intellectual capital in exchange for monetary gain and other benefits.\u201d <\/p>\n<p><b><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/foreign\/chinese-drone-maker-ramped-up-lobbying-ban-drones\" target=\"_blank\" rel=\"noopener\">CHINESE DRONE MAKER SPENT $380,000 THIS YEAR TO STOP HOUSE FROM IMPLEMENTING BAN<\/a><\/b> <\/p>\n<p>Chinese officials \u201cforcibly detained one Federal Reserve Bank employee on four separate occasions during a 2019 trip to Shanghai\u201d and \u201cthreatened the individual\u2019s family unless the individual provided them with economic information and assistance, allegedly tapped the employee\u2019s phones and computers, and copied the contact information of other Federal Reserve officials from the individual\u2019s WeChat account,\u201d according to the report. <\/p>\n<p>The investigation also \u201cfound multiple U.S. Federal Reserve employees with close ties to the People\u2019s Bank of China,\u201d while one Federal Reserve bank employee held a position in 2017 with the Chinese central bank, which was meant for \u201coverseas, top performing talent with directly applicable, advanced modeling experience, and insight with China and U.S. economic monetary policy.\u201d <\/p>\n<p>\u201cOne Federal Reserve Bank employee with sensitive access to Federal Reserve Board data provided modeling code to a Chinese university with ties to PBOC,\u201d the report says. \u201cAnother Federal Reserve Bank employee attempted to transfer large volumes of data from the Federal Reserve to an external site in at least two separate instances. The individual had continuous contacts with Chinese nationals and universities associated with talent recruitment programs as well as access to sensitive datasets \u2018considered of high value to an adversary\u2019 and had previously received a request from an individual with ties to the Chinese Government for non-public information.\u201d <\/p>\n<p>Portman concluded in his report that there has been a lack of competency at the Fed, which China has sought to take advantage of. <\/p>\n<p>\u201cDespite these long-running and brazen actions by Chinese officials and certain Federal Reserve employees, the investigation found the Federal Reverse unable to counter this threat effectively,&#8221; Portman said. &#8220;Compounding this was a lack of internal counterintelligence competency at the Federal Reserve or sufficient ongoing cooperation with Federal law enforcement and intelligence agencies.\u201d <\/p>\n<p><b><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/\">CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER<\/a><\/b> <\/p>\n<p>Director of National Intelligence Avril Haines <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/defense-national-security\/us-intelligence-views-china-as-unparalleled-long-term-priority\">said<\/a> in March that the Chinese government remains the \u201cabsolutely unparalleled\u201d long-term priority for the U.S. intelligence community. <\/p>\n<p>\u201cWe consistently see that it\u2019s the Chinese government that poses the biggest long-term threat to our economic and national security, and by \u2018our,\u2019 I mean both of our nations,\u201d FBI Director Christopher Wray <a class=\"Link\" href=\"https:\/\/www.fbi.gov\/news\/speeches\/directors-remarks-to-business-leaders-in-london-070622\">said<\/a> during a July speech in London alongside the United Kingdom\u2019s MI5 director general, Ken McCallum. <\/p>\n<\/p><\/div>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Federal Reserve has been repeatedly targeted by the Chinese government as part of a large-scale economic espionage effort, according to a Republican investigator.<\/p>\n","protected":false},"author":1,"featured_media":1571197,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1571194","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1571194","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1571194"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1571194\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1571197"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1571194"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1571194"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1571194"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}