Six Chinese Nationals Indicted For Conspiring To Steal Trade Secrets From U,S. Seed Companies

The U.S. Justice Department released the below information:

DES MOINES, IA—United States Attorney Nicholas A. Klinefeldt announced the indictment on December 17, 2013, against six Chinese nationals for conspiracy to steal trade secrets from U.S. seed companies. The indictment alleges that from on or about April 2011 to on or about December 2012, Mo Hailong, Li Shaoming, Wang Lei, Wang Hongwei, Ye Jian, and Lin Yong conspired to steal the trade secrets of several U.S.-based seed manufacturing companies and transport those trade secrets to China for the benefit of their China-based seed company. Mo Hailong was previously charged by criminal complaint on Tuesday, December 10, 2013.

Mo Hailong is employed as the director of International Business of the Beijing Dabeinong Technology Group Company, which is part of DBN Group. DBN Group is believed to be a Chinese conglomerate with a corn seed subsidiary company, Kings Nower Seed.

Li Shaoming is chief executive pfficer of Beijing Kings Nower Seed S & T Co., Ltd. Beijing Kings Nower Seed S&T Co. (BKN) is the wholly owned seed subsidiary of DBN. Beijing Kings Nower Seed is headquartered in Beijing, China.

Wang Lei is a citizen and resident of China and the vice chairman of Beijing Kings Nower Seed S&T Co. Ltd.

Wang Hongwei is believed to be a resident of Quebec, Canada. Wang Hongwei is believed to be a citizen of both Canada and China.

Ye Jian is a citizen and resident of China and a research manager for Beijing Kings Nower Seed S&T Co. Ltd.

Lin Yong is a citizen and resident of China and an employee for Beijing Kings Nower Seed S&T Co. Ltd.

The defendants are alleged to have conspired to steal inbred corn seed from Dupont Pioneer, Monsanto, and LG Seeds. This “inbred” or “parent” line of seed constitutes valuable intellectual property of a seed producer. After stealing the inbred corn seed, the conspirators attempted to covertly transfer the inbred corn seed to China. The estimated loss on an inbred line of seed is approximately five to eight years of research and a minimum of 30 to 40 million dollars.