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Man admits to holding trade secrets from US firm for Chinese business deal

LEGAL NEWSLINE

Thursday, March 6, 2025

Man admits to holding trade secrets from US firm for Chinese business deal

Attorneys & Judges
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E. Martin Estrada, U.S. Attorney | U.S. Attorney's Office for the Central District of California

A man from San Bernardino County has admitted to possessing trade secrets from his former U.S. employer, which he used to advance a business relationship with a company based in China. Liming Li, 66, of Rancho Cucamonga, pleaded guilty to one count of possession of trade secrets.

Acting United States Attorney Joseph T. McNally emphasized the importance of protecting U.S. companies' intellectual property for economic success and security. "The defendant here stole intellectual property in order to benefit companies in China," McNally stated.

FBI Assistant Director Akil Davis noted that Li's actions were driven by greed and had negative implications for the U.S. economy and national security. "The FBI is well-aware that China is actively seeking and stealing American intellectual property at a rapid pace," Davis said.

Li worked for a Southern California-based company known as "U.S. Company #1" from 1996 to 2013, where he held positions including senior software engineer and program manager. The company specialized in precision measuring instruments and metrological technology.

In July 2013, Li signed an agreement requiring him to return all proprietary information upon termination, but he admitted to downloading such information onto personal devices without permission. After his employment ended in January 2018, he continued possessing this information while working for Suzhou Universal Group Technology Co., Ltd., a Chinese manufacturer.

Li acknowledged using the proprietary information for personal gain, harming U.S. Company #1's interests. He faces up to 10 years in federal prison when sentenced on May 8 by United States District Judge John A. Kronstadt.

The FBI led the investigation with help from the Department of Commerce's Office of Export Enforcement and Bureau of Industry and Security. The case was pursued under the Disruptive Technology Strike Force initiative against unauthorized acquisition of sensitive U.S. technology by hostile states.

Assistant United States Attorneys Aaron B. Frumkin, Solomon D. Kim, and David T. Ryan are handling the prosecution.

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