-Caveat Lector-   <A HREF="http://www.ctrl.org/">
</A> -Cui Bono?-

Smoking gun:
                Made In China


                How much business does the People's Liberation Army do
                in America?

                According to a Rand Corporation report forced from the
                U.S. Department of Commerce by a federal lawsuit, a
                Chinese army company called Poly Technologies made
                millions of dollars selling guns in America.

                Poly Tech's prime U.S. subsidiary, PTK International of
                Atlanta, Ga., was run by Chinese princeling Baoping
                "Robert" Ma. The Rand report noted that the Poly
                Technologies businesses included "importation and
                distribution of semi-automatic rifles for the U.S. domestic
                market. ... Between 1987 and 1993 PTK sold more than
                US$200 million worth of these guns in the United States."

                "Poly Technologies, Ltd., was founded in 1984, ostensibly
                as a subsidiary of CITIC (China International Trust and
                Investment Corporation), although it was later exposed to
                be the primary commercial arm of the PLA General Staff
                Department's Equipment Sub-Department. Throughout the
                1980s, Poly sold hundreds of millions of dollars of largely
                surplus arms around the world, exporting to customers in
                Thailand, Burma, Iran, Pakistan, and the United States."

                In 1994, Poly Tech took advantage of Clinton's executive
                order banning assault weapons or semi-automatic rifles.
                The 1994 Clinton ban on so-called "assault" rifles also
                included surplus arms imported from China.

                "Loopholes allowed importers to bend the rules," states the
                Rand report. "Specifically, Congress exempted weapons in
                transit post hoc. The U.S. Treasury initially estimated this
                exemption would cover 12,000 weapons, but importers
                actually brought in 440,000."

                Alas, the Poly Tech story does not end here. In August
                1996, Poly Tech's U.S. operations were closed by a U.S.
                Customs sting operation. Allegedly, the operation's man in
                America, Robert Ma, conspired with China North
                Industries (NORINCO) representative, Richard Chen, to
                import 2,000 fully automatic AK-47s into the United
                States, selling them to Customs agents who posed as
                Miami drug smugglers.

                However, according to the 100-page federal indictment
                from one of the key undercover agents, Chen and Ma had
                to get permission from Chinese army headquarters in
                Beijing to obtain the 2,000 machine guns. According to the
                Customs agent's deposition, Chen and Ma had difficulty in
                getting the "barrels" because they required "higher-level
                permission."

                The Chinese have denied the connection between Ma and
                the general staff in Beijing. Poly Technology executive
                director, Xie Datong, stated on the record that the machine
                gun transfer did not require permission from the Chinese
                general staff. Xie Datong, also a corporate officer of
                Poly's American subsidiary, PTK, claimed the weapons
                were transferred from stockpiles from the General
                Logistics Division of the PLA.

                In August 1996, Robert Ma and company fled the country.
                Gun runner Ma, and all the Chinese executives who
                served Poly Tech, escaped the grasp of Janet Reno and
                Louis Freeh. Ma was reportedly one step ahead of FBI
                agents who had a warrant for his arrest.

                The Rand report noted that Poly Technologies, a firm
                directly owned by the Chinese general staff, made great
                profits in America thanks to Bill Clinton and the 1994
                Democrat-controlled Congress. The so-called "assault"
                weapon ban was, in reality, a financial windfall profit for
                the Chinese army.

                However, the affair between Bill Clinton and Beijing is far
                deeper than one sweetheart gun deal. Poly Technologies
                functioned inside the U.S. by hiding itself behind a
                corporate camouflage of alias names and shells of
                bureaucratic paperwork. The Rand report noted that one
                such subsidiary of Poly Tech, namely PTK International,
                was also involved in espionage.

                "Poly's operations in the U.S. quickly diversified into a
                series of subsidiaries and holding companies. In 1988, (the)
                Poly Technologies 75 percent stake in PTK was
                transferred to Dynasty Holding Company, a wholly-owned
                U.S. subsidiary of Poly," states the Rand report.

                "Dynasty handled all incoming and outgoing money for
                Poly, including management of all Poly investments in the
                U.S., and coordinated procurement of defense related
                materials with PTK and U.S. firms. Allegedly, Dynasty
                illegally shipped some of these materials, including
                advanced radar systems, minicomputers, and advanced
                communications equipment for use in the PLA UH-60
                Blackhawk helicopters, to China under the guise of
                non-restricted merchandise."

                The connection between Bill Clinton and Beijing is Poly
                Tech. The Rand Corporation report also noted that the
                Chinese army CITIC bank is an "investment concern
                under China's governmental State Council." CITIC,
                according to the Rand Corporation "became identified with
                the PLA as a result of the scandal surrounding Wang Jun
                and his visit to the White House on 6 February 1996."

                Who is Wang Jun?

                The Rand Corp. noted that "Wang Jun is both director of
                CITIC and chairman of Poly Group, the arms trading
                company of the General Staff Department." In February
                1996, President Clinton met with Chinese Poly Tech
                Chairman Wang Jun after taking a donation from
                Arkansas DNC donor Charlie Trie.

                Wang, according to a high-level defense source, travels
                the globe on a PRC diplomatic passport. Wang is also
                authorized by Beijing to cut billion dollar arms deals with
                Chinese allies around the world. Wang's customers include
                Libya, Iran, Serbia, Iraq and Afghanistan.

                Poly Tech is one example of a PLA owned company. The
                Chinese army is alive and well inside America. U.S.
                military estimates indicate that over 2,000 Chinese army
                owned firms now operate inside the U.S.A.

                President Clinton continues to ignore a 1998 Federal law
                that requires him to identify Chinese army-owned
                companies operating in the U.S.A. Officials like Wang Jun
                can open U.S. bank accounts and compete with U.S.
                citizens for resources. Hidden by Clinton's silence, Chinese
                army-owned firms raise financing, take loans, bid for
                government projects and obtain government backed
                insurance for trade deals.

                Poly Tech was set up as a front company for the Chinese
                army General Logistics Division to act as a global arms
                surplus outlet. Poly Tech is one People's Liberation Army
                company with banking records that point a smoking gun
                directly at Bill Clinton.



                Source documents


                Charles Smith is a national security and defense
                reporter for WorldNetDaily.



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