Sunday, January 21, 2018

Economic Espionage, Theft of Trade Secrets - 5 Year Sentence

A former software engineer for IBM in China has been sentenced to five years in prison for stealing the source code for highly valuable software developed by the tech company, the U.S. Justice Department announced Friday.

Xu Jiaqiang, 31, was sentenced Thursday by a federal judge in White Plains, New York, months after he pleaded guilty to three counts of economic espionage and three counts of theft, possession and distribution of trade secrets. 

Prosecutors said Xu stole the source code for computer performance-enhancing software while working for IBM from 2010 and 2014, with the intent to benefit China's National Health and Family Planning Commission.

Acting Assistant Attorney General Dana J. Boente of the Justice Department's national security division said the agency “will not hesitate to pursue and prosecute those who steal from American businesses.” Xu, a Chinese national, “is being held accountable for engaging in economic espionage against an American company,” Boente said in a statement. more