Chinese Firm Bought Insurer For CIA Agents As Part Of Trillion Dollar Spending Spree

For years, Washington assumed that China’s outbound investment flowed mainly into developing economies hungry for infrastructure money. But as scrutiny tightens across the West, it’s becoming clear that Beijing’s financial reach extended far deeper into wealthy nations – and far earlier – than most policymakers realized.

One early warning came in 2016, when Jeff Stein, a veteran journalist covering U.S. intelligence agencies, received an unusual tip: Wright USA, a small insurer that specialized in providing liability coverage for FBI and CIA personnel, had quietly been acquired the year before by Fosun Group, a Chinese conglomerate with reported ties to Beijing’s leadership. “Someone with direct knowledge called me up and said, ‘Do you know that the insurance company that insures intelligence personnel is owned by the Chinese?’” Stein recalls. “I was astonished.”

The concern was immediate and obvious. Wright USA held personal information on some of the most sensitive employees in the federal government. The question in Washington became not what the Chinese buyer intended, but who might ultimately gain access to the data. Newly released records reviewed by the BBC indicate that Chinese state banks helped finance the acquisition, routing a $1.2 billion loan through the Cayman Islands to enable Fosun’s purchase.

Though the deal violated no U.S. laws, it triggered alarm. Stein’s story in Newsweek soon prompted a rare inquiry by the Committee on Foreign Investment in the United States (CFIUS), the Treasury-led interagency panel responsible for policing foreign ownership risks. Within months, Wright USA was sold back to American owners. Neither Fosun nor Starr Wright USA, its new parent, responded to requests for comment.

High-level intelligence officials say the episode was among the cases that pushed the first Trump administration in 2018 to significantly tighten U.S. investment screening – part of a broader shift as the U.S. began rethinking a two-decade-old presumption that Chinese capital posed few national-security risks.

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