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Tahawul Tech
a day ago
- Business
- Tahawul Tech
The U.S. makes arrests over chip shipment breach
Two Chinese nationals have been arrested by US authorities over claims they illegally shipped millions of dollars-worth of top-end chips to China, a case that could be the latest involving Nvidia products. The US Department of Justice (DoJ) alleges Chuan Geng and Shiwei Yang breached the Export Control Reform act by shipping GPUs and other silicon used to power AI applications to China without proper licences or authorisation from the Department of Commerce. Of particular interest are shipments the pair made from their California-based company ALX Solutions to businesses in Singapore and Malaysia 'which commonly are used as transshipment points to conceal illegal shipments to China', the DoJ stated. The US authority flagged shipments made in December 2024 'and at least 20 previous' consignments involving the freight-forwarding businesses, highlighting ALX Solutions received payment from companies in Hong Kong and China. A federal criminal complaint used as the basis for the duo's arrest and public information indicates the chip involved is the 'most powerful GPU' on the market, with the DoJ stating it is 'made by a manufacturer of high-performance AI chips'. News outlets including Reuters and CNBC report the chip is Nvidia's H100, silicon the company promotes on its AI capabilities. The DoJ emphasised the presumed innocence of all defendants. Hearings and court dates are scheduled for the coming weeks. Last month, Financial Times reported a stash of Nvidia B200 chips were smuggled into China earlier this year. The company is also facing scrutiny over the security of its H20 silicon. Source: Mobile World Live Image Credit: Stock Image
Yahoo
4 days ago
- Business
- Yahoo
Two Chinese nationals in California accused of illegally shipping Nvidia AI chips to China
By Karen Freifeld (Reuters) -Two Chinese nationals in California were arrested and charged with illegally shipping tens of millions of dollars' worth of AI chips to China, including Nvidia H100s, the U.S. Justice Department said on Tuesday. Chuan Geng, 28, of Pasadena, and Shiwei Yang, 28, of El Monte, exported the advanced Nvidia chips and other technology to China from October 2022 through July 2025 without obtaining the required licenses from the U.S. Commerce Department, the Justice Department said, citing an affidavit filed with the complaint. According to the affidavit, Geng and Yang's El Monte-based company, ALX Solutions, was founded in 2022, shortly after the U.S. imposed sweeping export controls on technology to China and began to require licenses for the chips. A spokesperson for Nvidia declined comment. Over 20 shipments from ALX went to shipping and freight forwarding companies in Singapore and Malaysia, which are often used as transshipment points for illegal goods to China, a federal agent, who works for the U.S. Commerce Department, said in the affidavit. ALX received a $1 million payment from a China-based company in January 2024 and other payments from companies in Hong Kong and China, not from the freight forwarding companies, the agent said. Nvidia H100s are advanced chips that can be used to train large language models and for many other applications. Records show that from at least August 2023 to July 2024, ALX Solutions bought over 200 Nvidia H100 chips from San Jose, California-based server maker Super Micro Computer, declaring that the customers were in Singapore and Japan, the agent said. On one 2023 invoice valued at $28,453,855, ALX declared to Super Micro the customer was in Singapore, but a U.S. export control officer in Singapore could not verify the chips arrived in the country and the company named did not exist at the listed location, the document says. Super Micro did not immediately respond to a request for comment. In addition to Nvidia's H100s, the pair is accused of illegally shipping Nvidia video graphics cards known as PNY GE Force RTX 4090, which also require a license for China. Geng and Yang appeared in U.S. District Court in Los Angeles late on Monday, according to the Justice Department. Geng, a permanent resident, was released on $250,000 bond. Yang, who overstayed her visa, has a detention hearing on August 12. Lawyers for the defendants did not immediately respond to requests for comment. Sign in to access your portfolio
Yahoo
4 days ago
- Business
- Yahoo
Two Chinese nationals in California accused of illegally shipping Nvidia AI chips to China
By Karen Freifeld (Reuters) -Two Chinese nationals were arrested in California and charged with illegally shipping tens of millions of dollars' worth of AI chips to China, including Nvidia H100s, the U.S. Justice Department said Tuesday. Chuan Geng, 28, of Pasadena, and Shiwei Yang, 28, of El Monte, exported the advanced Nvidia chips and other technology to China from October 2022 through July 2025 without obtaining the required licenses from the U.S. Commerce Department, a criminal complaint says. According to the complaint, Geng and Yang's El Monte-based company, ALX Solutions Inc, was founded in 2022, shortly after the U.S. imposed sweeping export controls on technology to China and began to require licenses for the chips. A spokesperson for Nvidia declined comment. Over 20 shipments from ALX solutions went to shipping and freight forwarding companies in Singapore and Malaysia, which are often used as transshipment points for illegal goods to China. ALX received a $1 million payment from a China-based company in January 2024 and other payments from companies in Hong Kong and China, not the freight forwarding companies. Nvidia H100s are advanced chips that can be used to train large language models and for other applications, such as developing self-driving cars and medical diagnosis systems. Records show that from at least August 2023 to July 2024, ALX Solutions bought over 200 Nvidia H100 chips from San Jose, Calif-based server maker Super Micro Computer, declaring that the end users were in Singapore and Japan. Super Micro did not immediately respond to a request for comment. In addition to Nvidia's H100s, the pair are accused of illegally shipping Nvidia video graphics cards known as PNY GE Force RTX 4090, which also require a license for export to China. Geng and Yang appeared in U.S. District Court in Los Angeles late Monday, according to the Justice Department. Geng, a permanent resident, was released on $250,000 bond. Yang, who overstayed her visa, has a detention hearing on August 12. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
4 days ago
- Business
- Reuters
Two Chinese nationals in California accused of illegally shipping Nvidia AI chips to China
Aug 5 (Reuters) - Two Chinese nationals were arrested in California and charged with illegally shipping tens of millions of dollars' worth of AI chips to China, including Nvidia H100s, the U.S. Justice Department said Tuesday. Chuan Geng, 28, of Pasadena, and Shiwei Yang, 28, of El Monte, exported the advanced Nvidia chips and other technology to China from October 2022 through July 2025 without obtaining the required licenses from the U.S. Commerce Department, a criminal complaint says. According to the complaint, Geng and Yang's El Monte-based company, ALX Solutions Inc, was founded in 2022, shortly after the U.S. imposed sweeping export controls on technology to China and began to require licenses for the chips. A spokesperson for Nvidia declined comment. Over 20 shipments from ALX solutions went to shipping and freight forwarding companies in Singapore and Malaysia, which are often used as transshipment points for illegal goods to China. ALX received a $1 million payment from a China-based company in January 2024 and other payments from companies in Hong Kong and China, not the freight forwarding companies. Nvidia H100s are advanced chips that can be used to train large language models and for other applications, such as developing self-driving cars and medical diagnosis systems. Records show that from at least August 2023 to July 2024, ALX Solutions bought over 200 Nvidia H100 chips from San Jose, Calif-based server maker Super Micro Computer, declaring that the end users were in Singapore and Japan. Super Micro did not immediately respond to a request for comment. In addition to Nvidia's H100s, the pair are accused of illegally shipping Nvidia video graphics cards known as PNY GE Force RTX 4090, which also require a license for export to China. Geng and Yang appeared in U.S. District Court in Los Angeles late Monday, according to the Justice Department. Geng, a permanent resident, was released on $250,000 bond. Yang, who overstayed her visa, has a detention hearing on August 12.
Yahoo
31-07-2025
- Yahoo
Wisconsin man pleads guilty to illegally smuggling lab equipment to Russia
Wisconsin man pleads guilty to illegally smuggling lab equipment to Russia originally appeared on Bring Me The News. A Wisconsin man has pleaded guilty to using his company to funnel scientific and diagnostic research equipment to Russia, circumventing U.S. sanctions imposed on the country after its invasion of Ukraine in February 2022. Andrew Pogosyan, 68, a U.S. citizen born in Russia, pleaded guilty Tuesday in federal court. He's charged with conspiracy to defraud the U.S. and smuggling goods from the U.S. In 2022, United States commerce officials imposed new export control regulations in response to Russia's invasion of Ukraine. Those rules were later expanded to include licensing requirements for items that could help Russia produce chemical and biological weapons. From September 2022 to October 2023, Pogosyan used his company, Omega Diagnostics LLC, to evade those restrictions and smuggle research equipment to Russia without the required licenses. One of the shipments was reportedly to a Russian company that performed chemical research for the Russian military. He conspired with Russia and used third-party countries, including Turkey, Latvia, and Lithuania, to smuggle the goods without getting a license. Pogosyan faces up to 35 years in prison and is set to be sentenced on October 7. "Mr. Pogosyan threatened the national security of the United States by violating sanctions and illegally exporting scientific laboratory equipment to companies in Russia," said FBI Milwaukee Special Agent in Charge Michael Hensle. 'The FBI continues to tirelessly work with our law enforcement partners to investigate anyone who helps foreign adversaries evade sanctions. Pogosyan's actions undermined the protections put in place to ensure U.S. national security." This story was originally reported by Bring Me The News on Jul 30, 2025, where it first appeared. Solve the daily Crossword
