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DOJ Exposes Smuggling of AI Tech to China

Liberty Check

Federal authorities have prosecuted a major scheme violating U.S. export laws, highlighting ongoing threats to American security and intellectual property.

Two Chinese nationals and collaborators used falsified documents and dummy corporations to illegally ship restricted Nvidia AI chips to China, undermining U.S. export controls intended to safeguard American technological leadership.

  • Haochun Hsu and his company, Hao Global LLC, pled guilty to smuggling $160 million in export-controlled Nvidia GPUs to China between October 2024 and May 2025, concealing recipients and origins through falsified paperwork.
  • Fanyue Gong and Benlin Yuan, with connections to technology and logistics firms, used intermediaries and misclassified shipments to ship high-value GPUs to China, Hong Kong, and other restricted destinations, evading federal regulations.
  • Law enforcement arrested Gong in New York City and Yuan in Virginia on conspiracy charges; both face significant prison time, while Hsu awaits sentencing and his company faces heavy fines.

“Operation Gatekeeper has exposed a sophisticated smuggling network that threatens our Nation’s security by funneling cutting-edge AI technology to those who would use it against American interests,” U.S. Attorney Nicholas J. Ganjei stated.

Both U.S. authorities and private sector partners warn that such export violations directly endanger America’s technological edge and national defense.

Stay aware and demand accountability—protecting American innovation is a matter of national sovereignty. Our freedoms depend on staying vigilant.

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