“If Treasury’s intelligence coordination shop hasn’t tasked NSA to track Chinese financial trades, they’re not doing their jobs,” he said.
The NSA, Treasury Department and Federal Reserve Bank could begin by calculating illicit funds gained by so-called “princelings” — the wealthy sons and daughters of party and PLA elites.
Scores to hundreds of Chinese leaders and their relatives have parked billions of dollars in U.S. banks and other institutions.
For example, foreign press reports about imprisoned Communist Party Politburo member Bo Xilai, charged with financial corruption, revealed that his wife had transferred $1.7 billion overseas.
Mr. Tkacik said China uses its economic power to influence global financial and commodities markets, and manipulates those markets on “a galactic scale.”
“If Chinese steel and aluminum companies have this kind of access to foreign data networks, there can be no doubt that they use it to reap extra billions in profits off of global commodities markets with insider information,” Mr. Tkacik said.
CYBER SPYING CONCERNS
Navy Rear Adm. John Kirby said he is not aware of the specific impact of Monday’s indictment of five members of a Chinese military hacking unit.
“I can tell you just in general, we share the U.S. government’s concern about intellectual theft and property theft from cyber,” the spokesman said.
“The president’s been clear, the secretary’s been clear that we remain deeply concerned about these government-sponsored cyber-enabled thefts of trade secrets and other sensitive business information. It’s got to stop. We have the same concerns,” Adm. Kirby said.
Several U.S. and allied defense contractors have been victims of Chinese cyberattacks. The most damaging case was the loss of secrets related to the Lockheed Martin F-35, the military’s newest jet.
U.S. defense officials told Inside the Ring in March that F-35 secrets obtained by cyber espionage seven years ago have begun appearing in China’s new J-20 stealth fighter, which appears very similar in design to the F-35.
• Contact Bill Gertz at @BillGertz.