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Friday December 10 7:05 PM ET
U.S. Physicist Lee Charged With 59 Counts

By Tabassum Zakaria

WASHINGTON (Reuters) - A former U.S. government physicist at the center of a
China spying scandal was indicted on Friday on 59 criminal charges relating
to mishandling of top secret nuclear weapons data.

Wen Ho Lee, 59, was charged with violating the Atomic Energy Act and the
Federal Espionage Act, with the most serious counts carrying a maximum
penalty of life in prison.

The physicist, who was fired from Los Alamos National Laboratory in New
Mexico in March, became publicly linked to a scandal over allegations that
China stole U.S. nuclear secrets.

Lee was not charged with espionage and U.S. officials had previously said Lee
was unlikely to be charged with spying because of lack of evidence that he
handed information to Beijing. China has steadfastly denied stealing secrets.

``Although Lee has not been charged with communicating classified information
to a foreign power, the mishandling of classified information alleged in the
indictment has, in the government's view, resulted in serious damage to
important national interests,'' U.S. Attorney John Kelly said.

``The indictment does not allege that Lee passed classified information to
any particular foreign government, including the People's Republic of
China,'' he said in a statement.

The indictment included 29 counts charging unlawful tampering, altering,
concealing or removing of restricted data, 10 counts of unlawful receipt or
acquisition of restricted data, 10 counts of unlawful gathering of national
defense information, and 10 counts of unlawful retention of national defense
information.

Simulated Nuclear Weapons Tests

Restricted data were defined as files containing information such as physical
and radioactive properties of materials used to construct nuclear weapons,
descriptions of the exact dimensions of nuclear weapons used in connection
with the design and simulated testing of nuclear weapons, and data concerning
nuclear bomb test problems.

The FBI arrested the graying, bespectacled Lee at his home near Los Alamos
earlier on Friday and he was taken to Albuquerque where he appeared before a
federal judge who read the charges.

``We are severely disappointed that the Justice Department has taken the
precipitous act of seeking an indictment against Dr. Lee,'' a statement from
his lawyer said. ``We look forward to proving Dr. Lee's innocence and his
being exonerated of all charges that are being brought against him.''

Lee's lawyers said the physicist had offered to take a lie-detector test to
prove he did not criminally mishandle classified material. The statement said
they were ``deeply troubled'' by the prosecution seeking Lee be held without
bail.

Lee was fired for security violations amid suspicion of espionage. He had the
high-level ``Q'' clearance at the nuclear weapons research lab and worked in
the ``X Division'' which is responsible for the research, design, and
development of nuclear weapons and contains some of the most secret U.S.
nuclear data.

The indictment alleges that in 1993 and 1994 Lee knowingly assembled 19 files
containing secret and classified data on nuclear weapon research design,
construction and testing from a classified Los Alamos computer system.

Lee is accused of moving that information to an unclassified computer and
then downloading 17 of the 19 files onto nine portable computer tapes.

The indictment charges that Lee in 1997 downloaded onto a 10th portable
computer tape current nuclear weapons design codes and other information.
Prosecutors say seven of the tapes are unaccounted for.

Downloading Classified Information

The physicist in the past acknowledged downloading classified information
into his unclassified computer.

A congressional report released earlier this year said China had obtained
classified U.S. information on seven nuclear warheads and the neutron bomb
over two decades, including the W-88 miniaturized warhead.

The so-called Cox report and the suspicion that China obtained U.S. nuclear
secrets stoked anti-China sentiment and contributed to strained relations
between the United States and the communist country.

The United States was put on the defensive in May when U.S. warplanes taking
part in the NATO bombing of Yugoslavia bombed the Chinese embassy in Belgrade
in an incident Washington said was an accident but which put even more
pressure on ties between the two countries.

Lee, a Taiwan-born U.S. citizen, and some critics of the investigation had
said he was unfairly singled out because of his ethnicity. The FBI later
broadened its investigation of the allegations of Chinese espionage after
officials decided the initial probe had been too narrowly focused.


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