Two males from Southern California have been charged with sending synthetic intelligence (AI) pc chips to China with out following US export guidelines.
The Division of Justice (DOJ) said in an August 5 press launch that the boys labored collectively to cover the ultimate vacation spot of those superior processors.
Chuan Geng, a resident of Pasadena, and Shiwei Yang, who lives in El Monte, had been named in a federal case filed in Los Angeles.
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Authorities said that the 2 operated via their firm, ALX Options Inc., and tried to keep away from US legal guidelines by transport the chips via international locations like Singapore and Malaysia earlier than they ended up in China.
Federal officers arrested Geng and Yang on August 2. Geng, who holds everlasting resident standing, turned himself in. Yang, whom the federal government stated remained within the US after his visa expired, was additionally taken into custody that day.
In keeping with the grievance, ALX Options was fashioned after the US authorities began requiring particular approval to export sure superior chips to China.
From October 2022 to July 2025, the corporate is accused of sending over 20 shipments that had been later traced to Chinese language locations. The DOJ famous that many of those shipments first went to firms primarily based in Singapore or Malaysia.
At a court docket listening to on August 4, Geng was allowed to depart on a $250,000 bond, whereas Yang remains to be being held in custody. The 2 can have a detention listening to earlier than the arraignment, which is scheduled for September 11.
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