The Aporia · Man charged by US with illegally shipping Nvidia chips to China

Federal prosecutors arrested Greg Lui, owner of Earthmade Computer in California, on October 1 for smuggling servers containing $300 million worth of Nvidia AI chips to China without necessary US export licenses from 2023 to 2024. The authorities accuse him of using false paperwork and third countries like Malaysia and Singapore as transit points to evade US national security concerns about advanced chip exports to China. Lui faces charges including conspiracy to violate US export controls, outbound smuggling, and money laundering, with potential sentences totaling over 20 years in prison if convicted.

Written by AI on 2026-10-02, from this article's own text only (the story summary below draws on all the coverage).

Story summary

On October 1, Greg Lui, a 38-year-old tech CEO from San Gabriel, California, was arrested by federal agents on charges of smuggling more than $300 million worth of Nvidia AI chips to China in violation of U.S. export controls. Prosecutors allege that Lui, owner and founder of Earthmade Computers, worked with unnamed co-conspirators between 2023 and 2024 to send the restricted servers through third countries like Malaysia and Singapore to evade necessary US licenses. The FBI and Department of Commerce conducted a raid on Earthmade's headquarters in City of Industry, arresting Lui at gunpoint as he arrived for work.

Lui faces multiple charges including conspiracy to violate U.S. export controls, outbound smuggling, and money laundering, each carrying significant penalties if convicted. His arrest highlights ongoing concerns about the potential misuse of advanced American technology by China, which could aid its military capabilities. Similar cases have been prosecuted recently, such as one involving a co-founder of Super Micro Computer who faced similar charges in March but pleaded not guilty.

Written for “US-China Chip Smuggling Arrests” on 2026-11-01, grounded in this article and the 3 other(s) covering the same event.

📰 US-China Chip Smuggling Arrests

Politics · 4 article(s) covering the same event. Compare every outlet's account →

This article reads unscored and hedges 16% of its claims. Each row says how that neighbour differs.

California tech company owner arrested over alleged $300 million China chip-smuggling scheme Same event

Times of India

Hedges 8 of 16 claims Outlet record 59/100

US man arrested over alleged $300 million scheme to smuggle Nvidia AI servers to China Same event

South China Morning Post

Hedges 1 of 2 claims Outlet record 64/100

Thieves target tech shipment in California but find sinister surprise waiting for them Different event

New York Post

Hedges 1 of 14 claims Outlet record 66/100

“The articles describe different incidents involving Nvidia-related equipment; one involves thieves stealing sand-laden trailers from a PlusAI warehouse, and the other is about a man charged with illegally shipping Nvidia chips to China.”

Friendly-faced California tech CEO arrested by feds for allegedly hiding $300M Chinese secret Same event

New York Post

⚖️ Leans strongly right Hedges 8 of 28 claims Outlet record 66/100

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The authorities said that Greg Lui, the owner of privately held Earthmade Computer, worked with other unidentified co-conspirators from 2023 to 2024 to ship servers containing the restricted chips to buyers in China without the required US licences.

framing: assertive · carried by 1 article(s) · first seen 2026-10-02

🔮 Lui, 38, was expected to be arraigned later in the day, the Justice Department said in a statement.

2026-10-02 · The Straits Times

Man charged by US with illegally shipping Nvidia chips to China · assertive framing

Man charged by US with illegally shipping Nvidia chips to China AI generated asserted

Man → charge → China

Federal prosecutors arrested a California man on Oct 1 on charges of smuggling computer servers containing US$300 million (S$384.49 million) worth of Nvidia artificial intelligence chips to China in violation of US export controls. asserted

prosecutors → arrest → controls

Lui → say → licences

The charges against Lui mark the latest in a series of federal prosecutions of individuals accused of violating export controls aimed at keeping advanced US-made chips out of Chinese hands over national security concerns. asserted

charges → mark → concerns

In March, the authorities charged a co-founder of Super Micro Computer with illegally diverting billions of dollars in Nvidia chips to China. asserted

authorities → charge → China

He pleaded not guilty. asserted

He → plead → ?

Lui, 38, was expected to be arraigned later in the day, the Justice Department said in a statement. asserted

Department → expect → statement

He is facing one count each of conspiracy to violate US export controls, outbound smuggling and conspiracy to commit money laundering, the agency said. asserted

agency → face → laundering

Prosecutors argued in a court filing that Lui should be detained without bail because of a “serious risk” he would flee if released. asserted

he → argue → risk

“This defendant allegedly used false paperwork and shipments through third countries to smuggle more than US$300 million in export-controlled computer servers to China,” said First Assistant US Attorney Bill Essayli in Los Angeles. uncertain

Essayli → use → Angeles

“We will aggressively prosecute those who put our national security at risk for profit.” asserted

who → prosecute → profit

The Justice Department said that Lui and others exported the equipment initially to Malaysia and Singapore, jurisdictions that do not require licences for the purchases of advanced AI chips from US companies. asserted

that → say → companies

The servers were then shipped to the ultimate buyers in China, according to the agency. uncertain

servers → ship → agency

Lui arranged for the sales of the servers knowing that the chips they contained were subject to US export curbs, the prosecutors alleged. asserted

prosecutors → arrange → curbs

As part of the scheme, the authorities said, Lui and his co-conspirators provided false documentation to US manufacturers that misrepresented the final destination of the products. asserted

that → say → products

In one purchase order, Lui obtained 27 servers from an unidentified US manufacturer containing Nvidia H100 GPUs for approximately $7.6 million, prosecutors said. asserted

prosecutors → obtain → million

The charges were announced jointly by federal prosecutors, the FBI and the Commerce Department’s Bureau of Industry and Security, which oversees US export-control programmes. asserted

which → announce → programmes

If convicted of all the charges, Lui could face more than 20 years in prison, the Justice Department said. uncertain

Department → convict → prison

The court docket did not provide information on lawyer representation for Lui. Nvidia representatives did not immediately respond to a request for comment. asserted

representatives → provide → comment

Man charged by US with illegally shipping Nvidia chips to China

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