Two Chinese Nationals arrested for spying on United States Navy bases

Two nationals from the People’s Republic of China have been arrested, accused of acting as spies for the country.

It is believed that the pair, Yuance Chen and Liren Lai, were gathering counterintelligence on United States Navy bases as well as servicemembers. They were arrested on Friday and “face charges of overseeing and carrying out various clandestine intelligence tasks in the U.S. on behalf of the Ministry of State Security,” according to a report by Fox News.

“Along with assisting with the recruitment of potential MSS assets and gathering intel about service members and bases, the two men are accused of facilitating a ‘dead drop’ payment of cash on behalf of the MSS,” the article notes. “The FBI arrested both men on Friday – Chen was arrested in Happy Valley [Oregon] while Lai was arrested in Houston – with help from the Naval Criminal Investigative Service (NCIS).”

“Today’s arrests reflect the FBI’s unwavering commitment to protecting our national security and safeguarding the integrity of our military,” said FBI Director Kash Patel in a statement to Fox News Digital. “The individuals charged were acting on behalf of a hostile foreign intelligence service — part of the Chinese Communist Party’s broader effort to infiltrate and undermine our institutions. Thanks to outstanding coordination with our partners, including NCIS, we disrupted those efforts and sent a clear message: the United States will not tolerate espionage on American soil. Our counterintelligence operations remain focused, vigilant, and relentless.”

It is believed that Lai recruited Chen in 2021, and the pair organized the “dead drop” while in Guangzhou in 2022. They reportedly facilitated a “payment of at least $10,000 on behalf of the MSS.”

“The operation involved working with others in the U.S. to leave a backpack with the cash at a day-use locker in Livermore, California,” Fox reported.

The pair is believed to have continued their work on behalf of the MSS following the payment, assisting in identifying servicemembers in the Navy who may be willing to work alongside them for the MSS.

“The DOJ said in 2022 and 2023, the two visited a U.S. Naval installation in Washington State as well as a Navy recruitment center in San Gabriel, California,” the outlet reported. “While at the recruitment center, Chen allegedly took photos of a bulletin board that contained the names, programs and hometowns of Navy recruits. The majority of those listed on the board noted that their hometown was ‘China,’ and the photos appeared to be transmitted to an MSS intelligence officer in China, the DOJ claimed.”

The MSS allegedly fed Chen lines to use on potential new recruits to their espionage operation, and eventually, he established communication with a Navy member on social media. The two discussed “a tour of the USS Abraham Lincoln in San Diego with the employee,” according to Fox, who reported that Chen forwarded information on the member to the MSS.

“Hostile foreign intelligence services like the PRC’s Ministry of State Security dedicate years to recruiting individuals and cultivating them as intelligence assets to do their bidding within the United States,” DOJ National Security Division’s Assistant Attorney General John Eisenberg. “Under my leadership, the National Security Division will continue to defend our nation and way of life by rooting out and exposing our adversaries’ clandestine spy networks.”

Both Chen and Lai have officially been charged with “operating in the U.S. as an agent of a foreign government without notifying the U.S. attorney general,” reports Fox. Should they be convicted, they are facing possible penalties of 10 years imprisonment and up to $250,000 in fines.