In May 2013, John Rogers, a longtime Federal Reserve economist, was in Shanghai for an academic forum when he received an email that would eventually alter the course of his life and career.
The message was from someone claiming to be a Chinese graduate student. Rogers says he declined an offer of payment but kept in touch, later accepting an all-expenses-paid invitation to return to China. That visit, U.S. prosecutors allege, marked the beginning of a yearslong effort by Chinese intelligence to extract sensitive information from inside one of the most important economic institutions in the United States.
In January of this year, Rogers was arrested by the FBI on federal charges of economic espionage, the Wall Street Journal reports. He is accused of conspiring with Chinese operatives posing as students, handing over internal Federal Reserve materials in hotel rooms in China, and accepting travel accommodations arranged by his handlers. Authorities said they found $50,000 in cash at his Washington-area apartment, which his wife claimed as hers.
Rogers, who left the Fed in 2021, has denied all charges, maintaining that he never knowingly assisted a foreign government. His attorney argues that the indictment is misleading and lacks critical context. “The indictment presents an overly-simplistic, one-sided, and skewed version of events,” the lawyer said, adding that the defense team would mount a full rebuttal in court.
The case is one of the most detailed yet in exposing Beijing’s efforts to cultivate informants within U.S. institutions not traditionally seen as espionage targets, such as the Federal Reserve. American officials say China has broadened its intelligence gathering under President Xi Jinping, targeting not just defense contractors and tech companies, but also government economists and financial policymakers.
A 2022 Senate committee report alleged a coordinated campaign by China dating back at least to 2013 to gain insight into the Fed’s internal operations and decision-making. In one incident cited by the report, Chinese authorities allegedly detained a Fed employee in a hotel and threatened to jail him unless he shared economic data. The Chinese Foreign Ministry at the time dismissed the allegations as “political disinformation.”
In response to the report, Fed Chair Jerome Powell defended the central bank’s security policies, noting that staff travel and contacts with foreign nationals are subject to strict review. The Fed tightened its rules further in 2021, banning staff from accepting gifts or compensation from individuals or organizations in countries under U.S. export controls, including China.
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