Two more perps apprehended over smuggling of $160 million of Nvidia chips to China — DOJ says H100 and H200 shipments were relabelled with a fictional brand to

Two more perps apprehended over smuggling of $160 million of Nvidia chips to China — DOJ says H100 and H200 shipments were relabelled with a fictional brand to

Two men freshly apprehended, joining a third who has already pleaded guilty to similar charges.

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(Image credit: Getty Images) Two more men have been apprehended for allegedly violating export control laws regarding the supply of Nvidia H100 and H200 AI chips to China, reports Bloomberg . The DOJ already had a Houston business owner in its back pocket who had pleaded guilty to its charges. Now two fresh scalps, one based in New York and another in Ontario, are facing heat for allegedly facilitating this high-tech smuggling operation.

The smuggling gang’s ruse was as follows: shipping labels on Nvidia H100 and H200 AI chip cartons/packages/pallets were changed to bear the name of a fictional brand, ‘Sandkyan.’ The troublesome trio was then alleged to have collaborated with employees from both a Hong Kong-based shipping company and a China-based AI tech company to slyly ease the forbidden cargo through U.S. export controls .

This smuggling operation was busted as part of Operation Gatekeeper, explains Bloomberg . The DOJ operation was set up to block exactly this kind of underhanded trading behavior and stop the spread of U.S. AI tech to those who may use it against American interests.

Four Americans charged with smuggling Nvidia GPUs and HPE supercomputers to China face up to 200 years in prison

Singapore company allegedly helped China smuggle $2 billion worth of Nvidia AI processors

China issues port crackdown on all Nvidia AI chip imports, says report

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