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Former Aide to New York Governor Arrested for Secretly Working for China

4 September, 2024 - 4:42AM
Former Aide to New York Governor Arrested for Secretly Working for China
Credit: cnn.com

A former deputy chief of staff to New York Governor Kathy Hochul has been charged with acting as an agent of the Chinese government. Linda Sun, 41, "acted at the order, direction, or request" of Beijing in return for millions of dollars in kickbacks, special home deliveries of salted duck and other perks, according to a federal indictment. Prosecutors say she and Christopher Hu, her husband and co-defendant, used their ill-gotten gains to purchase real estate and luxury vehicles.

The couple pleaded not guilty to the charges against them in a Brooklyn federal court on Tuesday. Ms Sun was sacked nearly two years ago after the office of Ms Hochul, who became governor in 2021, discovered "evidence of misconduct" and reported it to the authorities. She and Mr Hu now face charges including violating the Foreign Agents Registration Act, visa fraud, bringing in four illegal immigrants and money laundering conspiracy.

Prosecutors say that Ms Sun acted as "an undisclosed agent of the Chinese government", while her husband "facilitated the transfer of millions of dollars in kickbacks for personal gain". She is alleged to have blocked representatives of Taiwan's government from speaking to New York officials, provided unauthorised invitation letters to the US for Chinese officials, unilaterally changed state officials' messaging about China and even added a Chinese official on to a private state government conference call about the Covid-19 public health response.

Christie Curtis, the acting assistant director of the FBI, said Ms Sun "wielded her position... to covertly promote" the Chinese agenda, "directly threatening our country's national security". In return, prosecutors say Ms Sun was given rewards totalling millions of dollars. They were also given show tickets, travel perks and food including, according to the indictment, at least 16 meals of Nanjing-style salted duck prepared by a Chinese government representative's personal chef and delivered to the home of Ms Sun's parents.

The couple laundered large amounts of money to buy luxuries including a Ferrari and property in Hawaii and New York, the indictment adds. "The illicit scheme enriched the defendant's family to the tune of millions of dollars," said US Attorney Breon Peace.

A Career in Government

According to the indictment, Mr Hu operated several businesses in New York, including a seafood exporter, a wine store and a financial consultancy, and frequently relied on the services of an authorised freight agent of the Chinese government. Ms Sun, a naturalised US citizen born in China, had held multiple high-ranking posts in the state's executive branch and state agencies since 2012, and served as Ms Hochul's deputy chief of staff for almost a year before she was sacked in 2023.

The governor's office said Ms Sun had been originally employed by the previous administration of Andrew Cuomo, who quit in August 2021 amid allegations of sexual misconduct. "This individual was hired by the executive chamber more than a decade ago," a spokesperson told the BBC. "We terminated her employment in March 2023 after discovering evidence of misconduct, immediately reported her actions to law enforcement and have assisted law enforcement throughout this process."

But a spokesperson for Mr Cuomo told WNYC local radio that Ms Sun "had little to no interaction" with the then-governor during his tenure, only to be promoted by the Hochul administration.

Accusations of Misconduct

Sun and her husband were arrested on Tuesday morning at their $3.5m (£2.7m) Long Island gated-community home, roughly six weeks after the residence was raided as part of an FBI investigation. In court on Tuesday afternoon, Ms Sun was ordered to have no contact with the Chinese consulate and mission in New York.

Judge Brian Cogan also ruled that the pair will have their travel limited to New York City, the Long Island borough, and the states of Maine and New Hampshire. He released Ms Sun on a $1.5m bond and Mr Hu on a $500,000 bond. Both will report back to the judge later this month.

Sun's attorneys, Jarrod Schaeffer and Kenneth Abell, called the charges "inflammatory" and "overly aggressive" in a statement after the hearing. They also expressed concerns over the government's investigation. They said Sun is eager to exercise her right to a speedy trial and defend herself against the accusations.

Governor Hochul called the allegations against Sun "brazen" and "a betrayal of trust" during an appearance on WNYC. She said she is furious and shocked by the behavior, and that the scope of what Sun was capable of doing was shocking. She also said that her administration reported the misconduct to the Justice Department.

The Allegations

The indictment alleges that, acting at the request of Chinese government officials and representatives of the Chinese Communist Party, Sun blocked Taiwanese government officials from having access to high-level New York State officers, changed New York State officers' messaging about China and arranged meetings for visiting delegations from the PRC government with New York State government officials.

In return for these and other actions, Sun allegedly received economic and other benefits from China, including the facilitation of millions of dollars in transactions for the China-based business activities of Hu; travel benefits; tickets to events; promotion of a close family friend's business; employment for Sun's cousin in the PRC; and Nanjing-style salted ducks prepared by a PRC government official's personal chef that were delivered to the residence of Sun's parents, according to the indictment.

The Response

Sun and Hu each pleaded not guilty during their arraignment in Brooklyn federal court Tuesday afternoon. While working for the Cuomo and Hochul administrations, Sun allegedly acted as an unregistered agent of China while her husband allegedly laundered the proceeds, enabling them to buy a $3.6 million house in Manhasset and a $1.9 million condo in Hawaii, prosecutors said.

Sun allegedly blocked Taiwan representatives from access to the governor, worked to prevent meetings with Taiwanese officials and sought to "shape the public statements" the governor made on China, prosecutors said. "This is no ordinary financial fraud," Assistant U.S. Attorney Alexander Solomon said during the arraignment.

Prosecutors said Sun and Hu operated more than 80 different accounts and most of the evidence is in Chinese, including a WeChat message in which Sun is quoted telling a Chinese official, "I have done many things to make the relationship ... flourish." Sun was released on a $1.5 million bond, and her husband was released on a $500,000 bond. Under the terms of her release, Sun is not to have any contact with the Chinese consulate. Their next court appearance has been scheduled for Sept. 25.

The Fallout

The arrests come six weeks after FBI agents searched the couple's $3.5 million home in a gated community in Manhasset on Long Island. Sun worked in state government for roughly 15 years, holding positions in the administration of then-Gov. Andrew Cuomo before becoming Hochul’s deputy chief of staff, according to her LinkedIn profile. A spokesperson for Cuomo said that Sun had "little to no interaction" with the governor during his tenure, and that she was one of many community liaisons.

Sun worked in state government for about 15 years before she was fired last year from her job as deputy commissioner for strategic business development at the New York State Department of Labor. She previously served as Hochul's deputy chief of staff and in the administration of former Gov. Andrew Cuomo.

The Future

The case is still in its early stages, and it is unclear what the outcome will be. However, the allegations against Sun are serious, and if convicted, she could face significant prison time. The case is likely to be closely watched, as it raises important questions about foreign influence in American politics.

This is a developing story. We will continue to update this article as more information becomes available.

Tags:
Kathy Hochul China new york government Espionage Hochul
Luca Rossi
Luca Rossi

Environmental Reporter

Reporting on environmental issues and sustainability.