Ismail J. Ramsey, U.S. Attorney | U.S. Attorney for the Northern District of California
Two individuals from the People's Republic of China appeared in federal court to face charges related to acting as agents for the PRC Government without notifying the Attorney General. Yuance Chen, a legal permanent resident residing in Happy Valley, Oregon, and Liren "Ryan" Lai, who traveled from China on a tourist visa, were arrested in connection with overseeing clandestine intelligence activities for China's Ministry of State Security (MSS).
According to allegations, these activities involved facilitating cash payments for sensitive information concerning U.S. national security and recruiting U.S. military personnel as potential MSS assets.
Attorney General Pamela Bondi stated, "This case underscores the Chinese government’s sustained and aggressive effort to infiltrate our military and undermine our national security from within."
U.S. Attorney Craig H. Missakian highlighted the breadth of foreign adversaries' efforts targeting U.S. national security information.
FBI Director Kash Patel remarked on the complexity of this counterintelligence operation that led to the arrests.
The complaint alleges that Chen was recruited by Lai around 2021 to work for the MSS and participated in various operations aimed at gathering intelligence on U.S. Navy personnel and bases.
Assistant Attorney General John A. Eisenberg emphasized continued efforts under his leadership to neutralize spy networks threatening national security.
If convicted under Title 18, United States Code, Section 951, Chen and Lai could face up to $250,000 in fines and ten years imprisonment.
The FBI San Francisco Field Office is leading this investigation with support from other field offices and agencies like NCIS.
A criminal complaint is an allegation; all defendants are presumed innocent until proven guilty beyond a reasonable doubt.