John H. Rogers: A Case Study in Economic Espionage

Nick Eftimiades
Jul 19
3 min read

Updated: Aug 4

Overview of Economic Espionage

Starting in 2013, John H. Rogers, PhD, became involved in a significant case of economic espionage. He responded to requests from China's Ministry of State Security (MSS) officers who posed as graduate students at Shandong University of Finance and Economics. His journey into espionage began at a conference in Shanghai.

Rogers transmitted trade secrets from the Federal Reserve Board of Governors (FRB) and the Federal Reserve Open Market Committee (FOMC) to MSS officers. He made false statements to the Federal Reserve Board Office of Inspector General regarding his relationship with these Chinese contacts and the information he shared.

Exploiting Employment for Espionage

Rogers exploited his position at the FRB to collect sensitive information. He gathered proprietary economic data sets, briefing books for governors, and confidential details about FOMC deliberations. He transmitted this information either electronically to his personal email or printed it for hand delivery to China during meetings with MSS officers.

Under the guise of teaching university classes, Rogers met his MSS handlers in hotel rooms in China. During these meetings, he conveyed sensitive trade-secret information belonging to the FRB and the FOMC. Despite his limited Chinese language skills, he relied on translation tools and interpreters to communicate effectively.

Financial Transactions and Grants

The MSS used Fudan University, specifically the Fanhai International School of Finance, to funnel $450,000 in payments to Rogers. The university encouraged him to apply for high-profile research grants. Once awarded, his three-year, $300,000 grant was paid entirely upfront, allowing him to receive over $400,000 in a single year for teaching just one class.

His MSS handler, Hummin Lee, expressed interest in understanding sensitive FRB fiscal policy to draft papers for the Research Institute of International Politics and Economics (RIIPE). Hummin tasked Rogers with gathering confidential information belonging to the FRB. Another MSS officer, Jin Chuan, also claimed to be a graduate student at RIIPE.

Personal Connections and MSS Support

MSS handlers took great care in managing Rogers. He married Liu Yu in 2018 after meeting through a matchmaking service. She spoke almost no English. The MSS assisted Rogers with paperwork, exit visas for his wife, and even arranged hospital visits during her pregnancy. Rogers later told U.S. investigators that he “owed everything” to Hummin Lee.

MSS handlers utilized Google Chat and WeChat to coordinate travel logistics, assign specific information-gathering tasks, and discuss topics of interest.

Tasking and Areas of Interest

The MSS provided Rogers with a clear list of topics to explore. These included:

The opportunity and challenge of interest rate marketization.
Monetary policy and asset bubbles.
The transmission mechanism of U.S. monetary policy to international financial markets.
The impact of Free Trade Areas (FTA) on exchange rates.
The relationship between exchange rates and international bulk commodity prices.
Names derived from forensic analysis of phone/computer data.

Tradecraft and Communication Methods

Rogers's espionage methods were sophisticated. MSS officer Hummin Lee first approached him at the Shanghai conference in 2013. They used Google Chat, an encrypted messaging application, to discuss logistics, tasking, and information sharing.

Rogers hand-carried and transferred sensitive information in person. The MSS arranged and covered expenses for airfare, lodging, and dining during Rogers's travels across multiple Chinese cities. They also provided him with gifts.

Hummin Lee collaborated with Rogers on WeChat to create a paper trail that would satisfy Federal Reserve ethics and security officials. They fabricated course titles, student lists, grades, and syllabi. They even placed words like "class" and "grade" in quotation marks to maintain their cover.

To conceal the conspiracy, Rogers made false statements to the Federal Reserve Office of Inspector General. The MSS set up email accounts under the cover name of Hummin Lee. Additional accounts were created for covert communications with Rogers. These included:

These accounts were used exclusively for communication with Rogers and a select few associated with him. They also signed up for online accounts, such as WeChat and Google Chat. MSS officers even suggested transferring payments through Rogers's wife, Liu Yu.

Conclusion: Legal Consequences

In 2026, John H. Rogers was convicted of lying to federal investigators. His case serves as a stark reminder of the risks associated with economic espionage. Organizations must remain vigilant against such threats, particularly those posed by foreign entities.

Understanding the tactics and methods used in espionage can help organizations develop effective countermeasures. By recognizing the signs of potential espionage, companies can better protect their sensitive information and maintain their competitive edge.

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