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Last Updated: Thursday, 8 May, 2003, 14:25 GMT 15:25 UK
FBI agent 'aided Chinese spy lover'
Katrina Leung
Leung was considered a highly valuable source

A former US Federal Bureau of Investigation agent has been indicted on charges of gross negligence and wire fraud for allegedly allowing his mistress access to secrets that she handed over to China.

A grand jury indictment returned in Los Angeles charges James Smith over his role in the case of alleged Chinese double agent Katrina Leung.

Mr Smith is said to have recruited Ms Leung in 1982 to be an FBI agent providing intelligence on China, and the two began an affair that year.

Prosecutors say Ms Leung removed classified material from Mr Smith's briefcase when he visited her home, and passed the information to Chinese intelligence agents.

The indictment against Mr Smith charges him with two counts of negligence, alleging that he improperly removed two classified documents from FBI offices in Los Angeles and allowed Ms Leung access to them.

Four counts of wire fraud allege that he deprived the United States of his honest services by failing to disclose an improper relationship with Ms Leung, failing to describe the full extent of her contacts with China, and mishandling classified information.

The six counts in the indictment carry a maximum penalty of 40 years in prison, prosecutors say.

Denials

Mr Smith's attorney has said that he is innocent, while Ms Leung's attorneys say they have not been told that she is about to be indicted and expect her to be exonerated of any charge the government may choose to bring.

Mr Smith, 59, spent 30 years in the FBI, most of that time as a Chinese counter-intelligence agent, before retiring three years ago. He was freed on a $250,000 bond shortly after his arrest on 9 April.

Ms Leung, 49, a prominent Los Angeles socialite and political activist, has been held without bond since her arrest on the same day.

She was considered a highly valuable source by the FBI and was paid $1.7m for her information over the years, court documents say.

Mr Smith and Ms Leung are both married to other people.




SEE ALSO:
US court refuses China 'spy' bail
16 Apr 03  |  Asia-Pacific
FBI woman 'spied for China'
11 Apr 03  |  Asia-Pacific
US man guilty in espionage trial
21 Feb 03  |  Americas
US intelligence agent denies spying
15 Feb 02  |  Americas
Former US airman on spy charge
25 Aug 01  |  Americas


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