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-Caveat Lector-

http://www.politrix.org/modules.php?name=News&file=article&sid=671
Condoleezza's ancient Chinese secret scam
Posted on Saturday, March 27 @ 07:41:52 EST
Topic: Republicans

Condoleezza Rice, national security adviser to President Bush, has recently
granted an interview to virtually every reporter but me. Perhaps it is
because I keep asking her questions about the Chinese spy in her past. Rice
has impeccable credentials. She worked for the elder George Bush in the
White House, handling Russian issues. She is a distinguished fellow at the
Hoover Institution and former provost of Stanford University. Rice is very
close to former Clinton Secretary of Defense William Perry. Rice worked with
Perry and the Clinton administration during her term at Stanford. The
Clinton White House once mentioned her as being on the short list for
secretary of state.

The Chinese Army Spy and Condoleezza Rice
Charles R. Smith
Wednesday, Jan. 24, 2001

Yet it is her years at Stanford working with Perry that have rendered Rice
silent. While working at Stanford, she became involved in the most
successful Chinese army penetration of the Clinton Defense Department. She
will not answer questions about her relationship with Chinese spy Hua Di.

Hua Di was born into a family of prominent Communist officials. He studied
missiles in Russia and worked for the Chinese army missile program for 24
years. In 1984, he went to work for the China International Trust and
Investment Co. (CITIC), a firm then part-owned by the Chinese army.

Hua defected to the United States in 1989 after the Tiananmen Square
crackdown on student democracy demonstrators. He went to work as a
researcher at Stanford's Center for International Security and Arms Control.
There he met Rice and the Stanford Center co-directors, former Secretary of
Defense William Perry and political science professor John Lewis.

In 1994, Hua used his contacts at Stanford, in Beijing and inside the
Clinton Defense Department with then-Secretary Perry to obtain a secure
fiber-optic communication system for the Chinese army. In 1994, Hua
contacted an old friend in the Chinese army then working for Gen. Ding
Henggao, a close friend of Perry.

In fact, Perry and Ding's relationship spans three administrations. Perry
reportedly met Gen. Ding in the late 1970s during the Carter administration.
By 1994, Perry ran the U.S. Defense Department, and Ding had risen to
command the Chinese army military research bureau COSTIND, or the Commission
on Science Technology and Industry for National Defense. COSTIND, according
to the General Accounting Office, "oversees development of China's weapon
systems and is responsible for identifying and acquiring telecommunications
technology applicable for military use."

Hua Di teamed in 1994 with Stanford Dr. John Lewis, Secretary of Defense
Perry, and Gen. Ding of the Chinese Army to buy an advanced AT&T fiber-optic
communications system for "civilian" use inside China. The communications
system slipped past U.S. exports laws as a joint U.S.-Chinese commercial
venture called Hua Mei. The Chinese part of the venture was run by a newly
formed firm named Galaxy New Technology.

Hua Di described himself as the "matchmaker" between the Chinese Army and
Lewis during an interview for the Far Eastern Economic Review. Hua arranged
for Gen. Ding's wife, Madam Nie Li, to head the joint project as the Chinese
co-chairman.

Stanford's Lewis, himself a board member of the project, located Adlai
Stevenson III, the former Democrat senator from Illinois, to lead the
American side. According to the Far Eastern Economic Review, Lewis had
Defense Secretary Perry write a personal letter on his behalf to U.S.
government officials, favoring the export to China.

With Perry's blessing, Hua Di and Lewis contracted AT&T to ship the secure
communication systems directly to a Chinese Army unit using Galaxy New
Technology as a front. AT&T officials who sold most of the equipment and
software were adamant that there was no need to check the Chinese firm since
the "civilian" Madam Nie Lie led it.

Yet, the so-called "civilian" firm was actually packed with Chinese army
officers and experts. Madam Nie Lie was not only the wife of Gen. Ding
Henggao; she was actually Lt. Gen. Nie Lie of the Chinese Army.

Another member of New Galaxy Technology, according to a Defense Department
document, was Director and President "Mr. Deng Changru." Deng is also known
as Lt. Col. Deng Changru of the People's Liberation Army, head of the PLA
communications corps. Still another Chinese army officer on the Galaxy New
Technology staff was Co-General Manager "Mr. Xie Zhichao," better known in
military circles as Lt. Col. Xie Zhichao, director of the Chinese Army
Electronics Design Bureau.

In fact, the evidence shows that Lewis worked not only for Stanford and the
Chinese army during this time period. Documents obtained from the Department
of Defense using the Freedom of Information Act (FOIA) show that he also
worked for the U.S. Defense Department.

In August 1994, Lewis and Secretary of Defense Perry traveled to Beijing to
meet with Gen. Ding Henggao. According to the official list of attendees,
Lewis accompanied Perry as his "personal" consultant. Lewis, then a paid
consultant of the U.S. Defense Department, met in Beijing with Ding, who was
also then Lewis's partner inside a joint U.S. Chinese "commercial venture"
for military communications systems.

In 1997, Stanford professor Lewis was charged with using university funding
and equipment to set up the deal with Galaxy New Technology. Stanford
Provost Condoleeza Rice announced that Lewis faced an investigation because
he had used iniversity stationery and his office to run the joint
U.S-Chinese business. In the 1997 investigation, Rice issued a statement to
the university press.

"We'll follow what is a normal process under these circumstances," said Rice
in the 1997 interview. "Similar issues arise quite frequently. It's not all
that unusual that issues arise concerning conflict of interest."

Yet, no formal charges were filed, and Rice quietly dropped the
investigation against Lewis and Hua Di. To this day, Ms. Rice will not
answer why she stopped the investigation.

The General Accounting Office also documented the New Galaxy Technology
scandal (GAO report GAO/NSIAD-97-5). According to the GAO, the scandal
involved the "transfer of broadband telecommunications equipment to Hua Mei,
a joint venture between SCM Brooks Telecommunications, a U.S. limited
partnership, and Galaxy New Technology, a Chinese company primarily owned by
an agency of the Chinese military."

In 1997, Rep. Henry Hyde pressed Attorney General Janet Reno to investigate
the Galaxy New Technology scandal in a letter outlining his concerns.
According to Hyde, "in 1994, sophisticated telecommunications technology was
transferred to a U.S.-Chinese joint venture called HUA MEI, in which the
Chinese partner is an entity controlled by the Chinese military. This
particular transfer included fiber-optic communications equipment, which is
used for high-speed, secure communications over long distances. Also
included in the package was advanced encryption software."

By the end of 1997 the scandal was drawing too much heat for Hua Di to
remain in the United States. In an article curiously released in October
1998, the New York Times announced that Hua Di had returned to China in
December 1997.

According to the New York Times, Hua met with Chinese security officials in
late 1997 and was assured that he would not be prosecuted. On Dec. 31, 1997,
he returned to China. On Jan. 6, 1998, he was arrested and charged with
passing state secrets to U.S. officials. In 1999, according to the official
Chinese news service, Chinese defector and missile scientist Hua Di was
sentenced in a people's court to 15 years for passing state secrets to the
United States.

The end of this story is not very pretty. Stanford officials, including Rice
and Lewis, have openly appealed to the Chinese government for Hua's release.
Rice also continues to defend Hua.

Rice stated in a New York Times interview that Lewis "provided evidence to
the fact that the source materials for publications written by him and Mr.
Hua were provided by approved Chinese authorities or already were available
through the Stanford University library."

Yet, Rice will not talk about Hua Di and the Galaxy New Technology deal.
There was more than profit for Hua and the Chinese Army company packed with
electronics experts. The secure fiber optic communication system delivered
by Hua to his People's Liberation Army general buddies was modified in 1998
and now serves as a secure air-defense system exported to Iraq.

The current Iraqi air defense network, NATO code-named "Tiger Song," is made
of U.S. and French fiber optic parts modified and re-exported by the
People's Liberation Army. Tiger Song is based on the original secure AT&T
system obtained by Hua Di in 1994. Iraqi missiles guided by Tiger Song have
repeatedly attacked U.S. fighter jets.

According to an August 2000 Washington Times interview, Rice asserted,
"China is not a threat."

Tiger Song is considered a lethal threat to American and allied armed
forces. Such sweet irony that we now face our own weapons and they are not a
threat.

Still, all seems to be well between Beijing and Bush. Condoleeza Rice is
national security adviser to the president, and the Chinese Army again has a
"matchmaker" inside the White House. Just don't ask her about Chinese army
spy Hua Di.







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DECLARATION & DISCLAIMER
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CTRL is a discussion & informational exchange list. Proselytizing propagandic
screeds are unwelcomed. Substanceâ??not soap-boxingâ??please!   These are
sordid matters and 'conspiracy theory'â??with its many half-truths, mis-
directions and outright fraudsâ??is used politically by different groups with
major and minor effects spread throughout the spectrum of time and thought.
That being said, CTRLgives no endorsement to the validity of posts, and
always suggests to readers; be wary of what you read. CTRL gives no
credence to Holocaust denial and nazi's need not apply.

Let us please be civil and as always, Caveat Lector.
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