MANPADS—Guilty Plea

In November of last year, Chao Tung Wu and Yi Qing Chen were indicted for conspiring to smuggle Man Portable Air Defense Systems [hereinafter MANPADS] into the United States. The MANPADS in question were Chinese-made QW-2s, which are shoulder-mounted heat-seeking surface-to-air missiles similar to the US-made Stinger missile, and the indictments were just one part of the massive drug and counterfeit cigarette smuggling crackdown, Operation “Smoking Dragon.”

Chao Tung Wu has pleaded guilty to “conspiring to import the missiles for a buyer who turned out to be an undercover FBI agent.”^[1] It was the first conviction in the nation under the Commercial Aviation MANPADS Defense Act of 2004,^[2] which harshly penalizes individuals who are found guilty of importing MANPADS into the United States. His co-defendant, Yi Qing Chen, is scheduled to go on trial in June.^[3] In addition to pleading guilty to the MANPADS conspiracy, Chao Tung Wu also pleaded guilty to conspiring to smuggle “Supernotes,” conspiring to distribute methamphetamine and Ecstasy, as well as importing millions of counterfeit cigarettes.^[4] As we noted in November, the charges facing Chao Tung Wu could mean that he could be imprisoned for life with no possibility for parole. However, because of his substantial assistance, prosecutors have apparently agreed to recommend a lighter sentence than the mandatory 25-year minimum for the MANPADS offense alone.^[5]

According to the US Attorney’s Office in Los Angeles, Chao Tung Wu admitted in his plea that he and Yi Qing Chen “met with an undercover FBI agent and agreed to arrange the importation of hundreds of QW-2 shoulder-fired missiles, as well as launch and operation hardware for the missiles, from the People's Republic of China.”^[6] A third country, Cambodia,^[7] would “pretend to order and receive shipment of the missiles from the manufacturer, but the missiles would, instead, ultimately be shipped to the United States.”^[8] Bribes were to be paid to customs officials in other countries to ensure the shipment, and one payment was to be a $2 million bribe to an official in a foreign country.^[9] This official was allegedly the daughter of the president of Cambodia.^[10] Because the two individuals were arrested in August before the deal was consummated, the missiles were never delivered.^[11] However, even after the arrests, “a confederate in the PRC continued to contact an undercover FBI agent to discuss consummating the proposed sale.”^[12]

That “confederate” appears to be a high-ranking officer in China’s military, “General Wang,” who was to supply the weapons.^[13]

The plea agreement comes just as Chinese president Hu Jintao visits the United States to discuss the trade gap, Chinese currency policies, and national, regional and global security.^[14]

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[1] Calif. Man Pleads Guilty in Missile Scheme, Associated Press (via Boston Herald), Apr. 20, 2006.
[2] US Attorney’s Office, Southern California Man Pleads Guilty In Schemes To Smuggle Narcotics, Cigarettes, Counterfeit Money And Surface-To-Air Missiles Into United States, Apr. 19, 2006.
[3] Id.
[4] Id.
[5] See AP, supra note 1; Man Pleads Guilty in Plot to Import Chinese Missiles into US, Agence France-Presse (via Yahoo!), Apr. 20, 2006.
[6] USAO, supra note 2.
[7] See AFP, supra note 5. This country was later changed to Paraguay. See Chinese Man Admits Plot to Import Missiles to US, Reuters (via Yahoo!), Apr. 20, 2006.
[8] USAO, supra note 2.
[9] Id. This aspect could have allowed the United States to bring charges under the Foreign Corrupt Practices Act.
[10] AFP, supra note 5.
[11] USAO, supra note 2.
[12] Id.
[13] See Bill Gertz, Chinese Military Implicated in Missile Smuggling, Washington Times, Apr. 20, 2006.
[14] Martin Crutsinger, Trade Gap and Currency Top Bush, Hu Agenda, Associated Press (via Yahoo!), Apr. 20, 2006.