Hey China, the U.S. Should Include the Cost of Espionage in Trade Deficit

Let’s begin here: FOR IMMEDIATE RELEASE

Thursday, June 21, 2018

Chinese National Arrested for Conspiring to Illegally Export U.S. Origin Goods Used in Anti-Submarine Warfare to China

Defendant allegedly illegally exported devices used to detect and monitor sound underwater

BOSTON – A Chinese national was arrested today and charged in connection with violating export laws by conspiring with employees of an entity affiliated with the People’s Liberation Army (PLA) to illegally export U.S. origin goods to China, as well as making false statements to obtain a visa to enter the United States and to become a lawful permanent resident under the EB-5 Immigrant Investor Visa Program.

Shuren Qin, 41, a Chinese national residing in Wellesley, Mass., was charged in a criminal complaint with one count of visa fraud and one count of conspiring to commit violations of U.S. export regulations. Qin was arrested today and will appear in federal court in Boston on June 22, 2018.

According to charging documents, Qin was born in the People’s Republic of China and became a lawful permanent resident of the United States in 2014. Qin operates several companies in China, which purport to import U.S. and European goods with applications in underwater or marine technologies into China.  It is alleged that Qin was in communication with and/or receiving taskings from entities affiliated with the PLA, including the Northwestern Polytechnical University (NWPU), a Chinese military research institute, to obtain items used for anti-submarine warfare. (..)

LCS Mission Packages: The Basics - USNI News photo

Okay, how about this one?

The submarine contractor breach, recently reported by the Washington Post, reflects this intense focus on bridging any technological advantage the US may have. It involved attacks in January and February that nabbed important data, albeit from an unclassified network. When taken together, though, the information would have amounted to a valuable snapshot of US cutting edge underwater weapons development, plus details on a number of related digital and mechanical systems.

The attack fits into a known pattern of Chinese hacking initiatives. “China will continue to use cyberespionage and bolster cyberattack capabilities to support [its] national security priorities,” US director of national intelligence Daniel Coats wrote in a February threat report. “The [Intelligence Community] and private-sector security experts continue to identify ongoing cyberactivity from China…Most detected Chinese cyberoperations against US private industry are focused on cleared defense contractors or IT and communications firms.”

This week, analysts from Symantec also published research on a series of attacks in the same category from November 2017 to April from a hacking group dubbed Thrip. Though Symantec does not go so far as to identify Thrip as Chinese state-sponsored hackers, it reports “with high confidence” that Thrip attacks trace back to computers inside the country. The group, which Symantec has tracked since 2013, has evolved to hide in plain site by mostly using prefab malware to infiltrate networks and then manipulating administrative controls and other legitimate system tools to bore deeper without setting off alarms. All of these off-the-shelf hacking tools and techniques have made Thrip harder to identify and track—which is likely the idea—but Symantec started to notice patterns in their anomaly detection scanners that ultimately gave these attacks away, and led the researchers to a unique backdoor that implicated Thrip.

The researchers found evidence of intrusions at some southeast Asian telecom firms, a US geospatial imagery company, a couple of private satellite companies including one from the US, and a US defense contractor. The breaches were all deliberate and targeted, and in the case of the satellite firms the hackers moved all the way through to reach the control systems of actual orbiting satellites, where they could have impacted a satellite’s trajectory or disrupted data flow. More here from Wired.

As if that is not enough to begin charging China, how about this?

U.S. military pilots flying aircraft over the East China Sea have been targeted by blinding laser attacks more than 20 times over the last 10 months, U.S. officials told The Japan Times, after a number of similar attacks in East Africa that the Pentagon has said Chinese military personnel were behind.

The U.S. Indo-Pacific Command said the attacks in the waterway, where the Chinese military has bolstered its operations, were first reported last September. The incidents were believed to have come from a range of sources, “both ashore and from fishing vessels,” spokeswoman Maj. Cassandra Gesecki said.

Indo-Pacific Command said it would not go into specifics about the incidents, but media reports quoting unidentified U.S. officials said some of the fishing boats were Chinese-flagged vessels. Officials wouldn’t definitively confirm that Chinese personnel were behind all of the incidents.

Beijing operates a “maritime militia” of Chinese fishing boats, which it trains and subsidizes with sophisticated gear such as GPS equipment. Such vessels have played an important role in China asserting its various territorial claims in the East and South China Seas.

Chinese personnel at the country’s first overseas military base in Djibouti had been using lasers to interfere with U.S. military aircraft at a nearby American base, activity that has resulted in injuries to U.S. pilots and prompted the U.S. to launch a formal diplomatic protest with Beijing.

However, unlike the Djibouti incidents, where military-grade lasers had been employed in some cases, the East China Sea incidents involved smaller, commercial-grade laser pointers popularly known as “cat grade” lasers because pet owners have known to use to play with their animals. Even so, these types of lasers have been known to temporarily blind pilots and, in some cases, cause eye damage.

“In light of these recent incidents, units operating in the area are conducting an assessment of their laser eye protection equipment,” Gesecki said.

While Chinese fishing vessels have long operated in the East China Sea, the country’s military has embarked on a military modernization program heavily promoted by President Xi Jinping, who has overseen a shift in focus toward creating a more potent fighting force. This has included projects such as building a second aircraft carrier, integrating stealth fighters into the air force and fielding an array of advanced missiles that can strike air and sea targets from long distances.

In a demonstration of its continued push to refine its power-projection capabilities and push further into the Western Pacific Ocean, the Chinese military in April conducted drills in the Pacific with its sole operating aircraft carrier.

The East China Sea is home to a long-running dispute between China and Japan over the Senkaku Islands, which are controlled by Japan but also claimed by China, which calls them the Diaoyu. Japanese defense chief Itsunori Onodera said in April that Chinese activity — including naval and coast guard patrols in the waters — “has expanded and accelerated” in recent years as it seeks to assert its territorial claims.

But the activity goes beyond military.

Beijing has also used its maritime militia to hassle Japanese fishermen and the Japan Coast Guard in a bid to better enforce its claims in the East China Sea, experts say.

If the Chinese military is not directly involved in the laser incidents, it could be directing — at some level — the maritime militia to target U.S. pilots.

Although the U.S. has not taking a position on the sovereignty of the Senkakus, it has repeatedly said that they fall under its treaty obligations to defend Japan’s territory if it is attacked.

In closing, remember:

On May 23, the US State Department announced that one embassy worker in Guangzhou experienced “subtle and vague, but abnormal, sensations of sound and pressure” before being diagnosed with symptoms similar to those found in the diplomatic personnel that were in Cuba, including mild traumatic brain injury.

The New York Times reported Wednesday that at least two more Americans in Guangzhou have experienced similar phenomena and also fallen ill. One of those embassy workers told the Times that he and his wife had heard mysterious sounds and experienced strange headaches and sleeplessness while in their apartment.

After the evacuation of the first diplomatic employee from Guangzhou was announced, the State Department issued a health alert via the US Consulate in Guangzhou telling people that “if you experience any unusual acute auditory or sensory phenomena accompanied by unusual sounds or piercing noises, do not attempt to locate their source. Instead, move to a location where the sounds are not present.”

On June 5, the office of US Secretary of State Mike Pompeo announced the establishment of a task force meant to respond to these mysterious incidents, which some have called “sonic attacks.” More here.

Former CIA Engineer Charged with Giving Hacking Tools to WikiLeaks

Ex-CIA engineer charged with massive leak to WikiLeaks

A former CIA computer engineer has been indicted on charges he masterminded what appears to be the largest leak of classified information in the spy agency’s history.

Joshua Schulte, 29, was charged in a new grand jury indictment with providing WikiLeaks with a massive trove of U.S. government hacking tools that the online publisher posted in March 2017, the Justice Department announced on Monday.

Schulte was previously facing child pornography charges in federal court in New York, but the indictment broadens the case to accuse him of illegally gathering classified information, damaging CIA computers, lying to investigators and numerous other offenses.

In January, attorneys involved in the child porn case revealed in court that Schulte was the target of a major investigation into WikiLeaks’ release of a CIA collection known as “Vault 7.”

The Justice Department’snews release announcing Schulte’s indictment does not mention WikiLeaks by name, signaling that it has not been charged in the case. There was no mention of any other individuals being charged.

Attorneys for Schulte did not immediately respond to requests for comment.

The new charges make Schulte the fourth individual to face charges related to classified leaks since President Donald Trump took office and vowed a crackdown on leaks.

Last June, a National Security Agency contractor, Reality Winner, was arrested on charges of leaking to the online publication The Intercept a top secret report on the techniques that Russian government agents allegedly used to target computers of state election officials. She has pleaded not guilty and has been held without bail. Her trial is set for October.

In March, an FBI agent based in Minneapolis, Terry Albury, was charged with a leak to The Intercept of the FBI’s procedures for handling informants. He was also accused of retaining classified information at his home. He pleaded guilty to both charges and is free awaiting sentencing.

Earlier this month, the longtime head of security for the Senate Intelligence Committee, James Wolfe, was indicted on three felony counts of lying during the course of an FBI investigation into unauthorized disclosures of classified information. He was not charged with any leaks, but the indictment contends that he provided confidential committee information to at least one reporter. Wolfe pleaded not guilty to the charges last week. No trial date has been set.

Joshua Schulte named as suspect in 'Vault 7' leak of CIA ... photo

Criminal complaint found here.

*** More background detail:

Joshua Adam Schulte, the former CIA worker suspected of passing the agency’s hacking secrets to WikiLeaks, previously posted the source code for an internal CIA tool to his account on the public code-sharing site GitHub, The Daily Beast has learned.

That potential red flag was apparently missed by the spy agency just months after Edward Snowden walked out of the National Security Agency with a thumb drive of secrets in 2013. A spokesman for the CIA declined to comment.

Schulte, 29, worked at the CIA from 2010 to 2016. He was raided by the FBI on March 23, 2017, roughly two weeks after Julian Assange began releasing 8,000 CIA files under the rubric “Vault 7.” The files had been copied from an internal agency wiki sometime in 2016, and contained documentation and some source code for the hacking tools used by the CIA’s intrusion teams when conducting foreign surveillance.

When FBI agents examined Schulte’s hard drive, they found only a single classified document, but allegedly turned up 10,000 images of child pornography. Today Schulte is being held in a federal holding facility in Manhattan on one count each of possessing, receiving, and transporting child porn. He has not been charged with the Vault 7 leak, but, in January the FBI was still investigating him as the suspect.

Until now it’s been unclear how the FBI became suspicious of Schulte in the first place. In a statement to The Washington Post, which broke the story of the arrest, Schulte said the bureau went after him because he’d reported managerial incompetence to the CIA’s inspector general and then left the agency in 2016. “Due to these unfortunate coincidences, the FBI ultimately made the snap judgment that I was guilty of the leaks and targeted me.”

Prosecutor Matthew Larouch said at a January court appearance that “the government immediately had enough evidence to establish that [Schulte] was a target of that investigation,” but didn’t elaborate on the evidence.

Schulte has hosted 11 of his own coding projects on GitHub over the years. In the fall of 2013, he uploaded a robust software development tool he’d developed called OSB Project Wizard, described this way: “Create all types of projects following OSB build guidelines.” The OSB abbreviation went unexplained.

Here Comes a 6th Branch of the Military, Space Force

It has been a concept that has been floated for several months. The Pentagon and the Air Force are actually asking for this. The United States is vulnerable in this frontier which is but one reason for Space X. Consider what is in space: navigation, guided missiles, warning systems and satellites for drones, naval ships, communications and more.

Key Speakers At The 32nd Space Symposium | Getty Images

Russia and China are increasing their space operations and General John Hyten of U.S. Strategic Command has warned of the vulnerabilities for quite some time. China and Russia both have laser weapons designed to damage our systems. Boeing, Northrop Grumman and Lockheed Martin as well as Raytheon on poised to be recipients of Pentagon dollars and the future programs.

Steve Isakowitz, CEO of The Aerospace Corporation says ‘we are approaching a point where Star Wars is not just a movie.’

Seems, Ronald Reagan had great vision. And in 2001, former Defense Secretary Donald Rumsfeld also expressed significant concerns on space systems being attacked by an adversarial country. Read more here.

U.S. Army Research, Development and Engineering Command

As part of the National Defense Strategy, the Air Force asked for an 8% increase in space funding. Watch out too, as Boeing and Apple are examining the option of building a parallel internet in space.

President Donald Trump announced Monday that he is directing the Department of Defense to create a new “space force” to become the sixth branch of the U.S. military.

“My administration is reclaiming America’s heritage as the world’s greatest spacefaring nation,” Trump said at a meeting of the National Space Council, with Vice President Mike Pence standing by him. “The essence of the American character is to explore new horizons and to tame new frontiers, but our destiny beyond the Earth is not only a matter of national identity but a matter of national security, so important for our military.”

“When it comes to defending America, it is not enough to merely have an American presence in space; we must have American dominance in space, so important,” Trump said. “Very importantly, I am hereby directing the Department of Defense and Pentagon to immediately begin the process necessary to establish a space force as the sixth branch of the Armed Forces.”

Trump said the Air Force and future Space Force would be “separate, but equal.”

Trump ordered Gen. Joseph Dunford, chairman of the Joint Chiefs of Staff, to begin implementing the directive.

Trump has previously spoken about creating a space force, but this is the first concrete move, at least publicly, in that direction. The Air Force is currently responsible for space warfare, with the Air Force Space Command in charge of operating and protecting military satellites.

The National Aeronautics and Space Administration is responsible for the country’s civilian space program. Budget cuts in recent have resulted in fewer Americans going into space, leading some observers to call for the U.S. to explore space in a way not done since before the space shuttle came into existence.

How About the Chinese Interfering with Voting in America?

The super PAC Women Vote got a $5.4 million contribution in the form of stock in Chinese tech company Baidu. (notice the date too, seems like foreign interference to me)

In 2016, Women Vote raised almost $38 million and spent just over that. In 2018, they are in the $5 million range, so they need some help right? The political action committee, Women Vote was launched by Emily’s List. Ellen Malcolm is the Founder and Chairman of the Board of Emily’s List and her operation(s) are comprised of top leaders, entrepreneurs and activists committed to pro-choice democratic women according to the website. Another Board member is Lisa Jackson. You remember her right? She was head of the EPA during the Obama administration that too used an alias and non-government emails to conduct official government business. Another Board member is Laura Ricketts. She is the owner of the Chicago Cubs and is a member of the Democratic National Committee’s Executive Committee and was the co-chair of the DNC Finance Committee’s LGBT Leadership Council. Add in Maria Teresa Kumar. She is the founding President and CEO of VOTO Latino. She also serves on the Board of Planned Parenthood, the Latino Leaders Network.

Heck there are many progressive liberals on the Board of Emily’s List. Travel over to the site and check it out.

If you have had some weird messages as a Skype user from Baidu…here is the deal. It is a Chinese multinational technology company. Baidu is a top developer of Artificial Intelligence and highly aligned with China president Xi Jinping. What is interesting is Baidu is under a holding company based in the Cayman Islands. The company is also traded on NASDAQ.

According to Wikipedia, there is some shady history with Baidu.

Domain name redirection attack

On January 12, 2010, Baidu.com’s DNS records in the United States were altered such that browsers to baidu.com were redirected to a website purporting to be the Iranian Cyber Army, thought to be behind the attack on Twitter during the 2009 Iranian election protests, making the proper site unusable for four hours.[23] Internet users were met with a page saying “This site has been attacked by Iranian Cyber Army“.[24] Chinese hackers later responded by attacking Iranian websites and leaving messages.[25] Baidu later launched legal action against Register.com for gross negligence after it was revealed that Register.com’s technical support staff changed the email address for Baidu.com on the request of an unnamed individual, despite failing security verification procedures. Once the address had been changed, the individual was able to use the forgotten password feature to have Baidu’s domain passwords sent directly to them, allowing them to accomplish the domain hijacking.[26][27]

Baidu workers arrested

On August 6, 2012, the BBC reported that three employees of Baidu were arrested on suspicion that they accepted bribes. The bribes were allegedly paid for deleting posts from the forum service. Four people were fired in connection with these arrests.[28]

91 Wireless acquisition

On July 16, 2013, Baidu announced its intention to purchase 91 Wireless from NetDragon. 91 Wireless is best known for its app store, but it has been reported that the app store faces piracy and other legal issues.[29] On August 14, 2013, Baidu announced that its wholly owned subsidiary Baidu (Hong Kong) Limited has signed a definitive merger agreement to acquire 91 Wireless Web-soft Limited from NetDragon Web-soft Inc.[30] for 1.85 billion dollars in what was reported to be the biggest deal ever in China’s IT sector.[31]

There is more like the death of a student from cancer while working at headquarters.

Pretty weird that a Chinese tech company is getting involved with women voting and a political action committee right?

 

Chinese Front Company Used to Recruit Double Agents

THE TRUMP ADMINISTRATION JUST CAUGHT A NEW LEAKER! - US ... photo

Mallory, who had top secret security clearance, worked as a CIA officer, and was stationed in Iraq, China and Taiwan.

Mallory is a self-employed consultant with GlobalEx, LLC. and resides in Leesburg, Virginia. According to the criminal complaint, he graduated from Brigham Young University in 1981 with a bachelor’s degree in political science.

Shortly thereafter, Mallory worked full-time in a military position for five years. Once he left that job, he continued his military service as an Army reservist and worked as a special agent for the State Department Diplomatic Security Service for three years (1987-1990).

 

Kevin Mallory Criminal Complaint by Chris on Scribd

Revealed: Chinese Front Company Used to Recruit U.S. Double Agents

A single reference buried deep within hundreds of pages of court filings in the case of convicted CIA turncoat Kevin Mallory reveals the name of a Shanghai-based “executive search firm” that bears the hallmarks of a classic espionage front, former intelligence operatives from the U.S. and Russia tell The Daily Beast.

The U.S. government’s evidence against Mallory, who was found guilty Friday of espionage-related charges, included a photograph of a business card belonging to alleged Chinese Ministry of State Security (MSS) agent Richard Yang, who presented himself as a corporate headhunter. Prosecutors said he was one of Mallory’s handlers. According to court documents, the picture was taken at Darren & Associates, a supposed corporate recruiter with no listed phone number or executives and an address that traces back to a rent-by-the-hour space on Shanghai’s Hubin Road.

Darren & Associates’ connection to the Mallory case has not been previously reported. The firm has been in business for either “around 40 years,” as its website claims, or since 2014, as stated on its LinkedIn page. The job networking site lists no actual former or current employees, and the company has a near-zero web presence, which is highly unusual for an organization that describes itself as a successful global enterprise.

“Clearly this is phony,” said former KGB sleeper agent Jack Barsky. “The first thing you do to figure out how real [a company is] is look at their website, and this is just not the footprint of a solid company.”

“Clearly this is phony… The first thing you do to figure out how real [a company is] by looking at their website, and this is just not the footprint of a solid company.”
— former KGB sleeper agent Jack Barsky

It’s a “flimsy mechanism for them to use,” agreed former CIA officer Christopher Burgess. “To me, this is what someone would put up so that their business contact isn’t naked. But what it doesn’t do is talk about who they are, where they are, doesn’t give you names, and their mission is so general that it can cover anything.”

Richard Yang subsequently introduced Mallory to an associate, Michael Yang, who claimed to be affiliated with the Shanghai Academy of Social Sciences (SASS). It has a close relationship with the Shanghai State Security Bureau (SSSB), a sub-component of the Ministry of State Security, according to the FBI. The Shanghai security bureau “uses SASS employees as spotters and assessors,” says one court filing, and “FBI has further assessed that SSSB intelligence officers have also used SASS affiliation as cover identities.”

Chinese think tanks like the Shanghai academy “can be used to invite someone over who is either a person of interest or a source,” Peter Mattis of the Jamestown Foundation’s China Program told Bethany Allen-Ebrahimian and Elias Groll of Foreign Policy last year. “That person comes over and gives a talk, and they’ll be met and have meetings with the local state security element or the People’s Liberation Army.”

via Facebook

Others are based in the U.S., they pointed out. The China Institute of Contemporary International Relations describes itself as a “comprehensive research institution” but is also “an official numbered bureau of the Ministry of State Security, functioning rather like the CIA’s Open Source Center.”

Darren & Associates, the erstwhile headhunting firm, seems rather less sophisticated. Either the MSS was “too lazy” to create a more realistic front company, or they thought “no one would give a shit about this Mallory guy and no one would be checking it,” said a former Russian FSB officer now living in the U.S. under the pseudonym “Jan Neumann.”

But U.S. authorities did care, and Mallory’s scheme unraveled in 2017 when he was selected for secondary screening at Chicago’s O’Hare Airport after a trip to China. Although he said he had nothing to declare, customs officers found $16,500 in cash on him.

““An individual like Mallory, with 20-plus years of high-end intelligence community engagement should have known better than [to use] this weak cover story that the Chinese gave him.”
— former CIA officer Christopher Burgess

“An individual like Mallory, with 20-plus years of high-end intelligence community engagement should have known better than [to use] this weak cover story that the MSS gave him,” said Burgess. “He should have picked up the phone and called the FBI and said, ‘Hey, these people say they’re legitimate businesspeople, and I don’t think they are.’ And he should have done that years ago.”

The details of exactly what Mallory gave up have yet to be publicly revealed, and probably won’t ever be, said Burgess. But according to prosecutors, Mallory gave away the most precious secrets of all—the names of U.S. agents in China.

A CIA information review officer said in court last year that the documents Mallory gave to the Chinese contained sensitive intelligence, analysis, and the names of assets that “could reasonably be expected to cause the loss of critical intelligence and possibly result in the lengthy incarceration or death of clandestine human sources.”

”It’s a betrayal in the truest sense of the term,” former CIA Inspector General Frederick Hitz told The Daily Beast.

FBI analysts further determined that Mallory “had completed all of the steps necessary to securely transmit at least four documents…one of which contained unique identifiers for human sources who had helped the U.S. government.”

Some of these files were stored on a Toshiba SD card, which Mallory concealed in aluminum foil and hid in his bedroom closet.

“We overlooked it twice,” FBI Special Agent Melinda Capitano testified Thursday.

“What made you think to open it?” the prosecutor asked.

“Usually in my training, small bits of foil like this contain drugs,” Capitano replied.

via PACER

The foil-wrapped SD card found in Mallory’s home.

Mallory’s defense team claims that the documents were worthless and that he was actually operating as an independent, self-directed counterintelligence officer of sorts to reel in the Chinese agents so he could eventually turn them into U.S. authorities. Burgess calls that “hogwash.” Mallory wasn’t freelancing in counterintelligence, he “was all-in” as an asset, in Burgess’ opinion.

“He was responsive to tasking, he used covert communications to reduce face-to-face interactions with his PRC contact,” said Burgess. “If I was validating a source, those are all indications that I have a good one.”

“He’s throwing something at the wall to see if it sticks,” laughed former Defense Intelligence Agency officer Ray Semko. “Just as long as they get one fool [on the jury] to believe it.”

Mallory’s attorney, Geremy Kamens, declined a request for comment.

Mallory, his wife, and one of his three kids lived in a four-bedroom, four-bathroom, 7,100-square foot house in Leesburg, Virginia, complete with a home theater and two fireplaces. He paid $1.15 million in 2005, a lot of money for a guy prosecutors said earned only $25,000 in the three years—all of it from his Chinese handlers.

He also has three adult children from a previous marriage. A court filing said Mallory had $50,000 in credit card debt, and about $2,500 in cash and investments. His wife, Mariah Nan-Hua Mallory, drives a school bus and earns roughly $9,000 a year.

In a motion previously filed with the court arguing against Mallory’s release pending trial, prosecutors said he had “demonstrated a pattern of dishonesty.”

“The defendant says and does anything he wishes to suit his particular needs, which seem largely to be finding an easy path out of his financial hardship, by betraying his government,” the motion stated.

A disguise kit found by FBI agents during a search of Mallory’s home.

However, Patsy Harrington, a real estate broker and close friend of Mallory’s who sold him his home, insists that Mallory is being totally mischaracterized.

“He is a loyal serviceman that was hurt in the line of duty in the Middle East, he’s a wonderful family man and a devoted Mormon with a wonderful wife and three highly accomplished grown children,” Harrington told The Daily Beast. “He’s a good man. I was a single mom and he was wonderful to me. He’s much better than 97 percent of the human beings I know.”

A LinkedIn recommendation from Min Xu, an associate professor at Central China Normal University describes Mallory as “a very faithful, honest, loyal, serious but kind, helpful, contagious person, very nice to everyone around, I will always remember his timely help and the warmth he gave to us when we were in trouble. He is really an amazing man.”

In fact, the Chinese agents who targeted Mallory initially reached out to him on LinkedIn. It’s a virtual goldmine for those looking to identify members of the “cleared community,” said Christopher Burgess, who has been contacted by people he assumed were foreign intelligence operatives more times than he can count.

via PACER

Yet Chinese intelligence isn’t only interested in people with active security clearances. Anyone with access or influence can potentially be of value, and everyone from professors to scientists to journalists have received overtures from foreign spy services.

National security reporter Garrett Graff was targeted on LinkedIn by Evgeny Buryakov, a Russian SVR operative posing as a New York City investment banker. And a Chinese agent used LinkedIn to reach out to journalist Nate Thayer last year.

“On the day I received my first message from Chinese intelligence agents from the Ministry of State Security, they, of course, didn’t say they were Chinese spies,” Thayer wrote on his blog. “The note was from ‘Frank Hu,’ a ‘project assistant’ from Shanghai Pacific & International Strategy Consulting Co, saying he had found me on the Internet and was writing to ‘seek potential cooperation opportunities.’”

Predictably, there is no “Shanghai Pacific & International Strategy Consulting Co,” which doesn’t even maintain a rudimentary Darren & Associates-style website. “Hu” told Thayer the company was “a consulting firm, specializing in independent policy analysis and advisory services. We strive to help our clients properly assess political dynamics, risks and opportunities in countries and regions they operate in.”

“In terms of human source operations, the PRC ‘services’ are not all that sophisticated,” an intelligence community source told Thayer, “until they get you on their turf. So don’t go there–to Shanghai, that is–for any reason.”

Of course, there is no such thing as a foolproof system in espionage, and breaches like Mallory’s will surely happen again.

As Joseph Wippl, a 30-year veteran of the CIA’s National Clandestine Service, told The Daily Beast, “It’s part of the business.”