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Ding Xiaoyang, Computer Intrusion, California 2018

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Four Chinese Nationals Charged with Global Computer Intrusion Campaign

A federal grand jury returned an indictment charging four nationals and residents of the People’s Republic of China with a campaign to hack into the computer systems of dozens of victim companies, universities, and government entities in the United States and abroad between 2011 and 2018.

The indictment, which was returned in May and unsealed on Friday, alleges that much of the conspiracy’s theft was focused on information that was of significant economic benefit to China’s companies and commercial sectors, including information that would allow the circumvention of lengthy and resource-intensive research and development processes.

The defendants, including Ding Xiaoyang, Cheng Qingmin, Zhu Yunmin, and Wu Shurong, allegedly sought to obfuscate the Chinese government’s role in such theft by establishing a front company, Hainan Xiandun Technology Development Co., Ltd., to operate out of Haikou City, Hainan Province.

The conspiracy’s hacking campaign targeted victims in the United States, Austria, Cambodia, Canada, Germany, Indonesia, Malaysia, Norway, Saudi Arabia, South Africa, Switzerland, and the United Kingdom. Targeted industries included, among others, aviation, defense, education, government, healthcare, biopharmaceutical, and maritime.

The charged MSS officers, including Ding Xiaoyang and Cheng Qingmin, coordinated with staff and professors at various universities in Hainan and elsewhere in China to further the conspiracy’s goals.

“These criminal charges once again highlight China continues to use cyber-enabled attacks to steal what other countries make, in flagrant disregard of its bilateral and multilateral commitments,” said Deputy Attorney General Lisa O. Monaco.

The indictment alleges that the defendants and conspirators conducted hacking for the benefit of China and its state-owned and sponsored instrumentalities. The conspiracy’s hacking campaign targeted victims in the United States, Austria, Cambodia, Canada, Germany, Indonesia, Malaysia, Norway, Saudi Arabia, South Africa, Switzerland, and the United Kingdom.

Assistant U. S. Attorney Fred Sheppard can be reached at (619) 546-8237.

The case is being prosecuted by the U.S. Attorney’s Office for the Southern District of California. The investigation was conducted by the FBI.

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