Chinese Tech Company Allegedly Recruiting Laid-Off U.S. Government Employees to Gather Intelligence

Image of Chinese hackers infiltrating networks. (Generated by Grok AI)

[People News] Reuters published an exclusive report on Tuesday (25th), revealing that a mysterious Chinese tech company has been operating a corporate network that seeks to recruit laid-off U.S. government employees. The report quotes Max Lesser, a senior analyst at the Foundation for Defense of Democracies, who stated that several companies posting job listings are actually part of a larger network of fraudulent consulting and recruitment firms. Their primary targets include former U.S. government employees and AI researchers. Analysts suggest that these companies are using recruitment as a cover for espionage, exploiting the financial struggles of former government employees to obtain classified information. Experts warn that such activities pose a significant threat to U.S. national security.

No Public Records – Shared Websites and Servers Raise Suspicions

According to Reuters, four companies involved in this scheme have virtually no publicly available information. Moreover, these firms share overlapping websites and servers, and even have digital connections that suggest they may be operated by the same hidden entity.

These four companies' websites are hosted on the same IP address as Simiao Intelligence, a firm that provides internet services. Reuters’ investigation found that despite multiple attempts to contact these companies and Simiao Intelligence, they encountered numerous obstacles, including unanswered phone calls, invalid contact details, and fake addresses.

The report states that these companies had also posted job advertisements on the professional networking site LinkedIn, but these ads were later removed. Regarding these now-unreachable companies, analyst Max Lesser pointed out that their actions resemble past Chinese intelligence operations. Moreover, the target group of these activities consists specifically of former U.S. government employees who have been affected by recent large-scale layoffs.

Additionally, three other intelligence analysts told Reuters that this network appears to be a typical example of how foreign-linked entities are attempting to gather intelligence from former U.S. government employees who were laid off or forced into early retirement due to budget cuts and restructuring efforts led by former President Donald Trump and billionaire Elon Musk’s "Department of Government Efficiency" (DOGE).

Analysts warn that once these former federal employees become involved in the network, they may be gradually pressured into sharing increasingly sensitive government operational information or even recommending other potential targets—whether willingly or unknowingly.

Self-Proclaimed 'Geopolitical Risk Consultant' Once Listed a Contact Number for China

One company, RiverMerge Strategies, describes itself as a 'professional geopolitical risk consulting firm' and posted two now-deleted job advertisements on LinkedIn in mid-February. These ads sought to recruit candidates with experience in government agencies, international organizations, or multinational corporations, with LinkedIn indicating that there were over 200 applicants for the position.

However, investigations revealed that the U.S. contact number listed by RiverMerge Strategies is no longer operational, and the China contact number previously listed on its website matches that of Shenzhen Sixin Software Co., Ltd. This company specializes in online retail and business automation, and the connection between the two entities has yet to be established.

Additionally, another company, Wavemax Innovation, posted a job advertisement on Craigslist on February 6 aimed at laid-off U.S. government employees. The ad sought applicants with backgrounds in project management, research, technology, and policy analysis. However, Reuters reported that it could not ascertain how many individuals applied for these positions, and when visiting the address listed on the company's website, no relevant traces of the company could be found.

The FBI has Warned That the Methods Employed are Similar to Those Used in CCP Espionage Activities

An FBI spokesperson has warned that foreign espionage agencies, especially intelligence operatives from the Chinese Communist Party (CCP), frequently disguise themselves as think tanks, academic institutions, or recruitment firms to approach current or former government employees in order to gather confidential information. This form of espionage has become a widespread tactic employed by the CCP in its intelligence operations.

A White House spokesperson remarked that the CCP continues to seek to exploit the United States' 'free and open system' through espionage and coercive tactics: 'Current and former government employees must be aware of the dangers posed by these governments and the critical importance of safeguarding government information.'

The CCP's Intelligence Agencies Have Previously Utilized Fake Consulting Firms to Recruit Informants

Indeed, the CCP's intelligence agencies have also leveraged fraudulent consulting companies and job postings to enlist intelligence informants. For instance, in 2020, a Singaporean national, Huang Jun Wei (Jun Wei Yeo), pleaded guilty in a U.S. federal court, admitting that he had served as an agent for the CCP since 2015, using fake job advertisements to recruit U.S. government employees and compensating them for reports that were essentially aimed at gathering sensitive information for the CCP.

Although the Chinese Communist Party's (CCP) Ministry of Foreign Affairs has denied any awareness of the situation and stressed that Beijing respects data privacy and security, this incident highlights a new trend in CCP espionage activities. As many government employees currently find themselves in financial distress due to layoffs, such espionage actions may become more frequent. Experts warn that these activities pose a serious threat to U.S. national security, and these deceptive job advertisements could merely represent the tip of the iceberg, illustrating how foreign entities are trying to infiltrate government systems and gather confidential information by taking advantage of America's open recruitment platforms.

(Source: Radio Free Asia)