Two Chinese companies and four individuals have been charged in a federal indictment in Chicago with conspiring to unlawfully possess trade secrets from Philips Medical Systems. The indictment, returned in federal court, alleges that Kunshan GuoLi Electronic Technology Co. Ltd., based in China, and its vice president, Xiaoqin Du, helped establish a rival X-ray tube development company headquartered in Aurora, Illinois.
The indictment claims that the conspiracy involved former employees of Philips' facility in Aurora. This facility was engaged in the research and development of X-ray tubes used in computed tomography (CT) medical imaging machines. The alleged co-conspirators include Chih-Yee Jen of Mequon, Wisconsin; Fince Tendian of Aurora, Illinois; and Vladimir Nevtonenko of Arlington Heights, Illinois.
According to the indictment, Jen allegedly copied Philips' proprietary X-ray technology without authorization before leaving his position at the company. It is claimed that he shared this information with Tendian and Nevtonenko for use at the new rival company associated with Kunshan GuoLi and another related Chinese firm, Kunshan Yiyuan Medical Technology Co. Ltd.
The two companies and four individuals face charges of conspiracy to unlawfully possess trade secrets. Additionally, Jen faces an individual charge for possession or attempted possession of a stolen trade secret. During their arraignments in federal court in Chicago, Jen, Tendian, and Nevtonenko pleaded not guilty. An arrest warrant has been issued for Du.
Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, along with Douglas S. DePodesta from the FBI's Chicago Field Office announced the indictment. Assistant U.S. Attorneys Kavitha Babu, Vikas Didwania, and Ramon Villalpando are representing the government.
It is important to note that an indictment is not evidence of guilt; all defendants are presumed innocent until proven guilty beyond a reasonable doubt.