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The U.S. Department of Justice said a 2020 indictment accused two Chinese nationals of conducting cyber intrusions both in coordination with the Ministry of State Security’s Guangdong State Security Department and for their own financial gain. The charges describe a campaign against commercial, government and civil-society targets, but they are allegations—not a court finding of guilt or state responsibility.
What does the DOJ indictment say about China’s Ministry of State Security and hacker recruits?
On July 21, 2020, the DOJ announced that a federal grand jury in Spokane, Washington, had returned an 11-count indictment earlier that month against Li Xiaoyu and Dong Jiazhi, Chinese nationals and residents. Prosecutors alleged that the two worked with the Guangdong State Security Department (GSSD), a provincial branch of China’s Ministry of State Security (MSS), while also carrying out intrusions for personal financial gain. The DOJ announcement and its description of the charges are the basis for the claims below.
The case therefore alleged overlapping motives: assistance to an MSS department and independent profit-seeking. It does not establish that the defendants were government employees, nor does it amount to a judicial finding that the Chinese government or MSS was responsible for the alleged acts. The release says the defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
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1Scan for outdated or missing drivers - takes under a minute2Repair Windows errors before they cause bigger problems3Fix the driver behind crashes, sound loss and screen glitchesWhat targets and activity did prosecutors describe?
The DOJ said the alleged campaign lasted more than ten years and reached hundreds of victim companies, governments, non-governmental organizations and individuals, including dissidents, clergy, and democratic and human-rights activists in the United States and abroad. Prosecutors said the targets spanned high-tech manufacturing, medical devices, civil and industrial engineering, business, educational and gaming software, solar energy, pharmaceuticals and defense. They alleged theft of terabytes of data.
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These scope figures are DOJ’s descriptions of the indictment, not independent measurements or findings made at trial. The release also alleged that the defendants sought cryptocurrency extortion in at least one instance. More recently, it said, they probed networks at companies working on COVID-19 vaccines, testing technology and treatments. Those claims likewise remain allegations in the charging document.
How did the alleged intrusions work?
According to the DOJ summary, the defendants allegedly gained access by exploiting publicly known software vulnerabilities and insecure default configurations. Prosecutors said they installed web shells, including China Chopper, and credential-stealing software to maintain access and obtain account information.
The indictment also described alleged efforts to conceal stolen material: packaging it in encrypted RAR archives, changing file names, extensions and timestamps, and hiding files in ordinary-looking network locations and recycle bins. The release summarizes the government’s allegations; it is not an independent technical analysis of each intrusion.
How does this case differ from DOJ’s 2021 Hainan indictment?
A separate DOJ announcement on July 19, 2021, concerned four different Chinese nationals and alleged activity linked to the MSS’s Hainan State Security Department (HSSD). Prosecutors said HSSD officers coordinated hackers and linguists working at Hainan Xiandun and other front companies. DOJ associated that separate campaign with APT40 and alleged activity between 2011 and 2018. The 2021 announcement describes that distinct case.
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| Case | Defendants and MSS connection alleged by DOJ | Campaign description |
|---|---|---|
| 2020 Li–Dong indictment | Two defendants; Guangdong State Security Department (GSSD) | Alleged campaign lasting more than ten years; commercial, government and civil-society targets |
| 2021 Hainan indictment | Four defendants; Hainan State Security Department (HSSD), with alleged coordination involving Hainan Xiandun and other front companies | DOJ associated the separate campaign with APT40 and alleged activity from 2011 through 2018 |
The cases can be read as separate DOJ allegations about alleged MSS-linked cyber activity and non-state personnel, but they should not be conflated. They involved different defendants, provincial security departments and campaign descriptions; the 2021 release does not add evidence or a later disposition to the Li–Dong case.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What the indictment can—and cannot—show
An indictment records prosecutors’ accusations and the charges they chose to bring. It is not proof that the charged conduct occurred, a conviction, or an adjudication of who directed or benefited from it. The July 2020 release does not provide a later case disposition, so it does not support a claim here about whether the defendants were ultimately convicted or how the case concluded.
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Officials quoted in the release expressed the government’s interpretation, not a court’s conclusion. Assistant Attorney General for National Security John C. Demers characterized the alleged arrangement as providing a safe haven for cyber criminals who could be called on to benefit the state. FBI Deputy Director David Bowdich described the indictment as demonstrating consequences the MSS and its proxies would face. Their remarks should be understood as statements accompanying the charges, not independent findings of guilt.
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