Detained Chinese Missile Expert A PRC Double Agent

In December 1997, I tried to contact Chinese missile expert Hua Di at Stanford University in California. In 1996, Hua had given Aviation Week and Space Technology some interesting details on the Chinese Dong Feng - 15 missile (DF-15), the weapon China used during the 1996 Taiwan crisis. Hua had published nothing really new about the DF-15 but I wanted his personal comments as the journalistic "official source".

In the process of looking for Mr. Hua, I also discovered John W. Lewis, a Stanford professor, who collaborated with Hua in writing books on Chinese missiles. Lewis had provided Congressional testimony on missile systems.

Curiously, neither Hua Di nor John Lewis would grant an interview.

Hua comes from a family of prominent Communist officials. He studied missiles in Russia and worked in China's missile program for 24 years. In 1984, Hua went to work for the China International Trust and Investment Co. (CITIC) a firm part owned by the Chinese Army. Hua joined the Stanford University study center after the Tiananmen Square crackdown on student democracy demonstrators in June 1989.

In late October 1998, it was announced that Hua Di had returned to China. He met with Chinese security officials in late 1997 and was assured that he would not be prosecuted. On December 31, 1997 Hua returned to China. On Jan. 6, 1998 Hua was arrested and charged with passing state secrets to U.S. officials. Stanford officials and John Lewis have written to the Chinese government appealing for Hua's release.

Stanford Provost Condoleezza Rice said Professor John Lewis "had 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."

Aviation Week, Janes and several other publications confirm the Stanford position that what Hua Di passed to the west was already obvious.

Yet, what appears to be a foolish dissident scientist, arrested by a two-faced, red Chinese government is really a completely different story. The real story behind Hua Di remains unpublished by the mass media. Hua Di also participated in the successful penetration of the Clinton administration at its highest level.

Documents obtained from the Defense Department, using the Freedom of Information act, shows that DoD joined the White House in a coordinated defense of the exports to China. The document, a 1996 response letter from the Deputy Secretary of Defense to National Security Committee Chairman Floyd Spence (R-SC), also provides a detailed view of the Chinese military C4 (Command, Communications, Computers and Control) system.

In 1994 SCM/Brooks Communications purchased large quantities of secure communications gear for sale to a so called "civilian" Chinese firm, New Galaxy Technology, including real time, encrypted, fiber-optic video systems. Then Secretary of Defense William Perry was also a close friend with the mastermind of the New Galaxy deal, Professor John Lewis from Stanford.

The 1994 purchase involved two American companies, Brooks Telecommunications International Inc. and SCM, which was at the time run by Stanford Political Science Professor (and close associate of William Perry) John Lewis. The newly released document from DoD shows Mr. Lewis was on the Chinese Army payroll while also serving on the U.S. Defense Policy Board, and while drawing a paycheck as a contractor to the Perry led Defense Department.

Mr. Lewis and Hua Di worked together in 1994 on the Hua Mei project using an American company called SCM/Brooks. Di located Ms. Nie Li in China to run the project in the east and Lewis located Aldai Stevenson, the former Democratic Senator from Ohio, to lead the American side.

Nie Lie was also the wife of Chinese Army General Ding Henggao. In 1994, General Ding Henggao was director of the Chinese Commission of Science, Technology, and Industry for National Defense or COSTIND. COSTIND, according to the GAO "oversees development of China's weapon systems and is responsible for identifying and acquiring telecommunications technology applicable for military use."

COSTIND Lt. General Huai Guomo contacted Hua Di to start the New Galaxy deal in 1992. Hua was then a researcher at Stanford's Center for International Security and Arms Control, whose co-directors are Perry and Lewis.

"Lewis and I were matchmakers," recalled Hua in 1996. "Huai is my good friend."

Lewis was charged with using Stanford University funding to set up the profitable Hua Mei deal. In 1997 Lewis faced an investigation from the Stanford University administration because he has used University stationery for his Hua Mei business. Lewis was charged but there were never any actions taken against him despite the Stanford Policy on Conflict of Commitment and Interest.

In the 1997 investigation, Provost Condoleezza Rice said, "we'll follow what is a normal process under these circumstances,"

Vice Provost and Dean of Research Charles Kruger stated the University will "explore the situation" with Lewis.

"Similar issues arise quite frequently," Rice added. "It's not all that unusual that issues arise concerning conflict of interest," she said.

Lewis and Di were paid through SCM/Brooks. SCM/Brooks contracted AT&T to ship advanced, secure, communication systems directly to the Chinese Army. AT&T officials who sold most of the equipment to SCM/Brooks were adamant that there was no need to check the Chinese firm, New Galaxy, since it was obviously led by a civilian, Ms. Nie Lie.

Another member of New Galaxy management, according to the Defense document, was Director and President "Mr. Deng Changru". Yet, Mr. Deng Changru was also Lt. Colonel Deng Changru of the People's Liberation Army, head of the PLA communications corps. Another Chinese Army officer in the New Galaxy staff is co-General Manager "Mr. Xie Zhichao" who is really Lt. Colonel Xie Zhichao, Director of the COSTIND Electronics Design Bureau.

The Chinese Generals can thank Hua Di and John Lewis. Today, the New Galaxy project, called Hua Mei, is providing the General Logistics Division of the People's Liberation Army with secure communications. The People's Army C4 system will not be monitored nor disrupted even in the event of nuclear war.

Hua Di was no fool - nor was he a dissident. Hua Di was a double agent. The New Galaxy deal went public in 1996, drawing a GAO report and the DoD document cited here. It also drew far too much attention to Hua Di. The heat was on, so Hua skipped town under the pretense of being a dissident.

Chinese Generals are now quietly toasting Hua Di. China is feeding the world the world a misinformation campaign because they do not want to embarrass their closest friend in Washington, President Clinton, with yet one more scandal.

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