WASHINGTON — U.S. authorities have charged two Chinese nationals, accusing them of espionage for Beijing. Allegations include photographing a naval base, coordinating cash exchanges, and recruiting military personnel for Chinese intelligence initiatives.
This recent case was unveiled in San Francisco federal court on Monday, marking another chapter in U.S. efforts to counteract what officials describe as ongoing Chinese attempts to clandestinely gather information on American military assets. This follows previous events like China’s surveillance balloon incident two years ago, which ended with the U.S. downing the craft off South Carolina’s coast.
“The allegations against the Chinese government highlight the ongoing threat to our military’s integrity and national security,” stated U.S. Attorney General Pam Bondi. She affirmed the Justice Department’s commitment to identifying and prosecuting foreign spies operating within American borders.
The accused individuals, identified as Yuance Chen, 38, and Liren “Ryan” Lai, 39, face charges of operating on behalf of China’s Ministry of State Security (MSS) without the requisite registration with the Justice Department. Chen relocated to the U.S. on a visa in 2015, becoming a lawful resident thereafter. His co-conspirator, Lai, residing in China, recently visited Texas purportedly to oversee espionage efforts.
Both men were apprehended following suspicions of covertly working for China; they currently have no known legal representation. A Chinese Embassy representative countered the claims, stating that the accusations lack evidence and emphasizing that the U.S. also conducts intelligence operations against China.
According to an FBI affidavit linked to the case, investigations indicate Lai has considered Chen a valuable intelligence prospect since mid-2021. Their alleged activities involved managing a transfer of at least $10,000 to an MSS-directed individual and organizing surveillance of a naval recruitment office in California, along with a Washington state naval base, utilizing photographs allegedly taken by Chen.
Authorities believe Lai and Chen further attempted to enlist Navy personnel as informants for Chinese intelligence. Chen reportedly collected details on recruits, many of whom were initially from China, potentially relaying this information to Chinese operatives.
As detailed in the affidavit, Chen assessed various Navy personnel to identify suitable candidates for recruitment by Chinese intelligence. The FBI recounts one scenario where Chen informed Lai about a Navy employee, noting, “I discovered his background. He was raised by his Chinese mother after his parents separated.”
This case adds to a series of incidents concerning Chinese intelligence efforts, some linked to the U.S. military. For instance, in August 2023, two Navy sailors faced charges for disclosing military secrets to China, including tactics, operations, and technical data.
Assistant Attorney General John Eisenberg emphasized the extensive resources and time adversarial entities, like China’s MSS, invest in turning U.S. individuals into intelligence assets.

