{"id":8655,"date":"2022-07-27T19:25:44","date_gmt":"2022-07-27T19:25:44","guid":{"rendered":"https:\/\/peymantaeidi.net\/stem-cell\/?p=8655"},"modified":"2022-10-18T17:00:09","modified_gmt":"2022-10-18T17:00:09","slug":"unfair-unsubstantiated-and-unverified-federal-reserve-dismisses-bombshell-claims-of-chinese-breaches","status":"publish","type":"post","link":"https:\/\/peymantaeidi.net\/stem-cell\/2022\/07\/27\/unfair-unsubstantiated-and-unverified-federal-reserve-dismisses-bombshell-claims-of-chinese-breaches\/","title":{"rendered":"\u2018Unfair, Unsubstantiated, And Unverified\u2019: Federal Reserve Dismisses Bombshell Claims Of Chinese Breaches"},"content":{"rendered":"
\"image\"<\/div>\n

Federal Reserve<\/a> Chair Jerome Powell responded to a report from Senate Republicans claiming that the central bank failed to combat a Chinese<\/a> government information theft campaign by calling it \u201cunfair, unsubstantiated, and unverified.\u201d<\/p>\n

The Federal Reserve, charged with executing a dual mandate<\/a> of maximum employment and stable prices, is presently determining policy to navigate the United States economy through the highest inflation rates<\/a> in four decades. Yet the report found that China, which holds<\/a> nearly $1 trillion in Treasury securities, has used talent recruitment plans and promises of academic positions in an effort to glean classified information from central bank employees.<\/p>\n

Powell disputed the findings in a Monday letter to Sen. Rob Portman (R-OH), the lawmaker who spearheaded the report. \u201cWe are deeply troubled by what we believe to be the report\u2019s unfair, unsubstantiated, and unverified insinuations about particular individual staff members,\u201d Powell wrote, per CNN<\/a>.<\/p>\n

The report detailed that various Federal Reserve officials \u2014 some of whom still have their jobs at the central bank \u2014 maintained close ties with Chinese officials and known links to the Thousand Talents Program, through which Western academics are drawn to China such that nationals can access their innovations for economic and military advancements. Powell, however, expressed confidence in the central bank\u2019s officials and their ability to safeguard their work.<\/p>\n

\u201cWe are confident that Federal Reserve staff understand their obligations and are committed to maintaining both the confidentiality of sensitive information and the integrity of our workforce,\u201d Powell continued. \u201cBecause we understand that some actors aim to exploit any vulnerabilities, our processes, controls and technology are robust and updated regularly. We respectfully reject any suggestions to the contrary.\u201d<\/p>\n

The report also revealed that Chinese officials forcibly detained a Federal Reserve employee on four separate occasions during a trip to Shanghai in 2019. In addition to threatening the individual\u2019s family, the Chinese officials claimed that the person had committed crimes against China and needed to \u201cshare sensitive, non-public economic data\u201d with the nation\u2019s government or else face imprisonment.<\/p>\n

The report argued that the Federal Reserve \u201chas been unable to counter China\u2019s malign influence and collection campaign effectively,\u201d revealing that employees with known ties to talent recruitment programs \u201cretain access to confidential information.\u201d<\/p>\n

Powell nevertheless encouraged Federal Reserve officials to continue dealing with foreign counterparts. \u201cWe encourage and support staff participation in multilateral organizations, and sponsor conferences together with other central banks,\u201d he wrote, adding that \u201cinformation security considerations also shape this engagement.\u201d<\/p>\n

Recruitment plans like the Thousand Talents Program have created various high-level security breaches at American universities and corporations conducting classified, government-funded research.<\/p>\n

Earlier this year, the Department of Justice announced that Xiaoqing Zheng \u2014 who worked at GE Power from 2008 to 2018 \u2014 was convicted of conspiring<\/a> to \u201csteal GE\u2019s trade secrets surrounding GE\u2019s steam and gas turbine technologies, knowing or intending to benefit the People\u2019s Republic of China and one or more foreign instrumentalities, including China-based companies that research, develop, and manufacture parts for turbines.\u201d<\/p>\n

Last year, Harvard University chemistry and engineering professor Charles Lieber was indicted and convicted of making false statements<\/a> to federal authorities about his participation in the Thousand Talents Program. Lieber had overseen nanotechnology research with more than $15 million in grants from the National Institutes of Health and the Department of Defense, yet earned $50,000 per month as a \u201cStrategic Scientist\u201d at the Wuhan Institute of Technology.<\/p>\n

RELATED:<\/strong> Top Federal Reserve Officials With Known Links To China Still Have Their Jobs, Senat Republican Report Says<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Federal Reserve Chair Jerome Powell responded to a report from Senate Republicans claiming that the<\/p>\n","protected":false},"author":1,"featured_media":8657,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/posts\/8655"}],"collection":[{"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/comments?post=8655"}],"version-history":[{"count":2,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/posts\/8655\/revisions"}],"predecessor-version":[{"id":8658,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/posts\/8655\/revisions\/8658"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/media\/8657"}],"wp:attachment":[{"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/media?parent=8655"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/categories?post=8655"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/peymantaeidi.net\/stem-cell\/wp-json\/wp\/v2\/tags?post=8655"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}