Former Chinese National Convicted for Committing Economic Espionage to Benefit China Navy Research Center in Beijing and for Vio

Quantum3D, Inc. has cooperated fully in the government's investigation. A company official noted that the company "believes that enforcement of export and trade secret laws is critical to the functioning of our industry and we're pleased to work with the government in these efforts."

The U.S. Attorney's Offices in the Northern District of Alabama, District of Minnesota, and Middle District of Florida also joined the plea agreement as some of the conduct in the case occurred in those jurisdictions.

Defendant Meng is scheduled to be sentenced before United States District Judge Jeremy Fogel in San Jose on January 23, 2008 , at 10:00 a.m. Meng is currently out of custody on $500,000 bond.

Under the terms of the plea agreement, the maximum term of imprisonment is twenty-four months. Meng also is subject to a maximum fine of $500,000 on the Economic Espionage Act conviction and a maximum fine of $1,000,000 on the Arm Export Control Act conviction, and a three-year term of supervised release. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. S 3553.

Mark L. Krotoski is the Assistant U.S. Attorney prosecuting the case out of the CHIP Unit of the United States Attorney's Office with the assistance of Legal Tech Lori Gomez .

Prior Economic Espionage Prosecutions:

According to the U.S. Department of Justice, the Meng case is the second conviction and only the third case charging violation of the Economic Espionage Act (EEA) of 1996, under 18 U.S.C. S 1831. Both EEA convictions have been obtained within the last nine months by the CHIP Unit in the Northern District of California.

SOURCE U.S. Department of Justice