COLUMBUS, Ohio – A former Dublin, Ohio lady was sentenced in U.S. District Court docket right this moment to 30 months in jail for conspiring to steal exosome-related commerce secrets and techniques regarding the analysis, identification and remedy of a spread of pediatric medical situations.
Li Chen, 47, additionally conspired to commit wire fraud.
Chen admitted in her responsible plea in July 2020 to stealing scientific commerce secrets and techniques associated to exosomes and exosome isolation from Nationwide Youngsters’s Hospital’s Analysis Institute for her personal private monetary acquire.
Chen and her husband, co-conspirator Yu Zhou, 50, labored in separate medical analysis labs on the Analysis Institute for 10 years every (Zhou from 2007 till 2017 and Chen from 2008 till 2018). They pleaded responsible to conspiring to steal no less than 5 commerce secrets and techniques associated to exosome analysis from Nationwide Youngsters’s Hospital.
Exosomes play a key position within the analysis, identification and remedy of a spread of medical situations, together with necrotizing enterocolitis (a situation present in untimely infants), liver fibrosis and liver most cancers.
Court docket paperwork element that Chen conspired to steal after which monetize one of many commerce secrets and techniques by creating and promoting exosome “isolation kits.” Chen began an organization in China to promote the kits.
Chen acquired advantages from the Chinese language authorities, together with the State Administration of International Skilled Affairs and the Nationwide Pure Science Basis of China. She additionally utilized to a number of Chinese language authorities expertise plans, a technique utilized by China to switch overseas analysis and expertise to the Chinese language authorities.
“Chen and her husband executed a scheme over the course of a number of years to arrange companies in China, steal American analysis and revenue from doing so,” U.S. Lawyer David M. DeVillers mentioned. “Chen willingly took half within the Chinese language Authorities’s long-term efforts to steal American mental property. She deserves time in federal jail.”
“Chen’s sentencing right this moment is a recognition of the seriousness of this offense,” said FBI Cincinnati Particular Agent in Cost Chris Hoffman. “Chen admitted to abusing the belief of Nationwide Youngsters’s Hospital by stealing cutting-edge analysis to determine an organization in China for her personal monetary acquire. This sentence ought to function a deterrent to anybody else committing related acts that the FBI will work carefully with our companions to make sure the US stays a world chief in science and expertise innovation.”
Chen will forfeit roughly $1.45 million, 500,000 shares of widespread inventory of Avalon GloboCare Corp. and 400 shares of widespread inventory of GenExosome Applied sciences, Inc. As a part of her sentence, she was ordered to pay $2.6 million in restitution.
Chen and Zhou have been arrested in California in July 2019 and their case was unsealed in August 2019 after they appeared in federal courtroom in Columbus. Zhou has additionally pleaded responsible and awaits sentencing.
David M. DeVillers, United States Lawyer for the Southern District of Ohio; John C. Demers, Assistant Lawyer Normal for Nationwide Safety; and Chris Hoffman, Particular Agent in Cost, Federal Bureau of Investigation (FBI), Cincinnati Division, introduced the plea entered into right this moment earlier than U.S. District Choose Sarah D. Morrison. Assistant United States Attorneys S. Courter Shimeall, Peter Ok. Glenn-Applegate, Particular Assistant United States Lawyer J. Michael Marous and Nationwide Safety Division Trial Lawyer Matthew J. McKenzie, are representing the US on this case.
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