CHINA-INTERNAL: SENIOR CADRE SUSPECTED OF INVOLVEMENT IN MILITARY-CIVIL INTEGRATION ESPIONAGE

China Daily reported (June 17) that Peng Yuxing, a former Vice Governor of Sichuan Province and head of the Military Civil Integration Working Group, is under investigation by the CDIC. Hongkong news website HK 01 reported that he is linked to overseas Intelligence organisations. The Chinese-language New Tang Dynast TV speculated he could be linked to a spying case involving General Electric. Peng Yuxing used to make frequent visits to Mianying (Sichuan), which is a centre for military R&D , and particularly to the No 9 Institute, China Aerodynamics Research Institute and Sichuan laboratory of Aero Engine Corporation  of China. All three are engaged in development of aircraft engines. Peng Yuxing is close to Jiang Mengheng, eldest son of Jiang Zemin and former Vice President of CASS as both studied in the same class in the Science Academy.  Deng Quannong, a former Chairman of the Sichuan Forever Holding Group, who received an investment from Institute No 9 for development of nuclear weapons has also been picked up for investigation. Another individual under investigation is She Baoqing (f) who is a former Chairperson of INESA Group. She is also close to Jiang Mengheng. There is speculation that Deng Quannong and She Baoqing are under investigation to prevent Jiang Mengheng from protecting Peng Yuxing. 

(Comment: Since the US-China Trade War began espionage-related investigations have been underway in both countries.) 






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