Former Soldier Indicted for Attempting to Pass National Defense Information to People’s Republic of China

(DOJ) Defendant Arrested Upon Arrival in San Francisco on Flight from Hong Kong

A former U.S. Army Sergeant whose last duty post was Joint Base Lewis-McChord (JBLM) in western Washington was arrested today on an indictment charging him with two federal felonies: attempt to deliver national defense information and retention of national defense information.

Joseph Daniel Schmidt, 29, will appear in U.S. District Court for the Northern District of California later today and will be brought to the Western District of Washington for further court proceedings.

“Individuals entrusted with national defense information have a continuing duty to protect that information beyond their government service and certainly beyond our borders,” said Assistant Attorney General for National Security Matthew G. Olsen. “The National Security Division is committed to identifying and holding accountable those who violate that duty.”

“Joseph Daniel Schmidt was once a trusted guardian of our nation’s secrets and swore an oath to defend and protect U.S. national security,” said Assistant Director Suzanne Turner of the FBI’s Counterintelligence Division. “As alleged by the government, Schmidt betrayed his promise and potentially placed our nation at risk in his attempts to pass national defense information to Chinese security services. The FBI and our partners remain steadfast in our commitment to protecting the American people and U.S. national security.”

“Members of our military take a sworn oath to defend our country and the Constitution. In that context the alleged actions of this former military member are shocking – not only attempting to provide national defense information, but also information that would assist a foreign adversary to gain access to Department of Defense secure computer networks,” said Acting U.S. Attorney Tessa M. Gorman for the Western District of Washington. “I commend the FBI for their diligent work to end his alleged efforts to betray our country.”

According to records filed in the case, Schmidt was an active-duty soldier from January 2015 to January 2020. His primary assignment was at JBLM in the 109th Military Intelligence Battalion. In his role, Schmidt had access to SECRET and TOP SECRET information.

After his separation from the military, Schmidt allegedly reached out to the Chinese Consulate in Turkey and later, the Chinese security services via email offering information about national defense information.

In March 2020, Schmidt traveled to Hong Kong and allegedly continued his efforts to provide Chinese intelligence with classified information he obtained from his military service.

He allegedly retained a device that allows for access to secure military computer networks and offered the device to Chinese authorities to assist them in efforts to gain access to such networks.

Schmidt remained in China, primarily Hong Kong, until this week when he scheduled to fly to San Francisco. He was arrested at the airport.

Attempt to deliver national defense information and retention of national defense information are both punishable by up to 10 years in prison and a $250,000 fine.

The FBI is investigating the case, with valuable assistance provided by the U.S. Army Counterintelligence Command.

Assistant U.S. Attorney Todd Greenberg for the Western District of Washington and Deputy Chief Matthew J. McKenzie of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Very strange:

. . . .My last year in the military [] left me with experience working with an advanced intelligence team on a project with technology that is very compartmentalized, to the extent that the majority of people in the intelligence field are unaware of its existence. I will only discuss this technology in person if I can meet with a qualified member of the Chinese Security Bureau . . .

. . . On May 7, 2020, SCHMIDT used Gmail account 1 to send the following message to his sister:
“Hey Mary, there’s something I need to tell you. The real reason I left America is because of a disagreement with American policy. I don’t talk about it often, but I learned some really terrible things about the American government while I was working in the Army, and I no longer feel safe living in America or like I want to support the American government. I don’t plan on going back any time, except maybe once to sell my house, and I plan on limiting my contact with people who live in America. So basically, I’ll be going off the map for a long time. If you don’t hear from me, it’s because I don’t trust the U.S. government, and I want to minimize my communication to U.S. numbers. I’ll still communicate occasionally by email, but I just wanted to give you a heads up so you don’t worry about me.” . . .


Former US intelligence officer charged with trying to give classified defense information to China(AP, 6 OCT 23)

A former U.S. Army intelligence officer has been charged with attempting to provide classified defense information to the Chinese security services during the outbreak of the COVID-19 pandemic — including some listed in a Microsoft Word document titled “Important Information to Share with Chinese Government.”

Authorities on Friday arrested former Sgt. Joseph Daniel Schmidt, 29, at San Francisco International Airport as he arrived from Hong Kong, where he had been living since March 2020, the Justice Department said. A federal grand jury in Seattle returned an indictment Wednesday charging him with retention and attempted delivery of national defense information.

A public defender assigned to represented Schmidt at a brief appearance at U.S. District Court in San Francisco on Friday pending his transfer to Washington state did not immediately return an email seeking comment. U.S. District Court records in Seattle did not list an attorney representing Schmidt on the charges, and neither the U.S. attorney’s office nor the federal public defender’s office had information about whether he had a lawyer, representatives said.

An FBI declaration filed in the case quoted Schmidt as telling his sister in an email that he left the U.S. because he disagreed with unspecified aspects of American policy.

“I don’t talk about it often, but I learned some really terrible things about the American government while I was working in the Army, and I no longer feel safe living in America or like I want to support the American government,” he was quoted as writing.

Schmidt spent five years in active duty in the Army, where he was primarily assigned to the 109th Military Intelligence Battalion at Joint Base Lewis-McChord in Washington state, according to a declaration filed in U.S. District Court by FBI Special Agent Brandon Tower. He eventually became a team leader on a human intelligence squad, and he had access to secret and top secret defense information, Tower wrote.

Schmidt left active duty in January 2020 and traveled the next month to Istanbul, where he sent an email to the Chinese consulate trying to set up a meeting, Tower wrote.

“I am a United States citizen looking to move to China,” the email said, according to the declaration. “I also am trying to share information I learned during my career as an interrogator with the Chinese government. I have a current top secret clearance, and would like to talk to someone from the Government to share this information with you if that is possible. … I would like to go over the details with you in person if possible, as I am concerned with discussing this over email.”

It was the first of several attempts to share information with the People’s Republic of China, Tower wrote. Two days later, he drafted a Word document titled “Important Information to Share with Chinese Government” that included classified information related to national defense; investigators recovered it from his Apple iCloud account, the declaration said. . . . . (read more)


Disaffected Ex-Army Sergeant Tried Brazenly to Sell Secrets to China, Feds Say (Daily Beast, 7 OCT 23)

A former U.S. Army intelligence team leader who complained of learning “some really terrible things about the American government” hoarded years’ worth of national defense secrets and technology that he tried to share with China, according to a newly unsealed federal indictment.

Joseph Daniel Schmidt, 29, has been living primarily in Mainland China and Hong Kong since March 2020, just two months after separating from the military as a sergeant. Safely out of reach for U.S. authorities for more than two years, Schmidt was arrested Friday after landing at San Francisco International Airport. He is charged with attempting to deliver national defense information, and retention of national defense information. Each offense carries a sentence of up to 10 years in prison.

Schmidt’s alleged overtures to the Chinese began with a Feb. 24, 2020, email, according to an FBI affidavit that accompanies a detention motion filed Friday by prosecutors.

“I am a United States citizen looking to move to China,” Schmidt wrote to the Chinese Consulate in Istanbul, according to the affidavit. “I currently reside in Istanbul, and am trying to set up an appointment at the consulate in Istanbul. I also am trying to share information I learned during my career as an interrogator with the Chinese government. I have a current top secret clearance, and would like to talk to someone from the Government to share this information with you if that is possible.”

Schmidt then allegedly ran through the finer points of his service, listing “training in interrogation, running sources as a spy handler, surveillance detection, and other advanced psychological operation strategies.”

“I would like to go over the details with you in person if possible, as I am concerned with discussing this over email,” the email concluded. “I’m sorry for using English, but I want to make sure that I do not miscommunicate. Please contact me at your earliest convenience if I can set up a time to meet with you. Thank you, Joe Schmidt”

Schmidt, an active-duty soldier from 2015 to 2020 who studied Mandarin, was most recently assigned to the 109th Military Intelligence Battalion at Joint Base Lewis-McChord (JBLM) near Tacoma, Washington. He held Top Secret and SCI (Sensitive Compartmented Information) security clearances, according to the affidavit, and was assigned to a Human Intelligence (HUMINT) squad. Schmidt’s work “directly supported the Indo-Pacific Command, the U.S. Department of Defense’s geographic combatant command that covers the Pacific Ocean and Indian Ocean region, including the PRC,” the affidavit states. . . . .  (read more)

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