To: Dragonfly who wrote (283 ) 5/28/1998 2:29:00 PM From: peter a. pedroli Read Replies (1) | Respond to of 880
05/28/98- Updated 02:04 AM ET Ex-Loral exec drawn into China probe WASHINGTON - Congressional investigators are turning their attention to the leader of a U.S. aerospace company team whose work may have given China information on improving its nuclear missiles. Rep. Gerald Solomon, R-N.Y., asked the Pentagon on Wednesday for information about security clearances held by Dr. Wah Lim, a former executive for Loral Space & Communications who is now with Hughes Electronics Corp. Lim, a missile guidance technology expert, headed a 1996 panel that examined what caused a Chinese rocket explosion that destroyed a Loral commercial satellite shortly after liftoff. Congressional investigators believe Lim may be able to provide information on what technology may have been disclosed to China and who authorized the disclosure. Loral said Lim's panel violated company policy in giving China a 200-page assessment of the explosion's causes before notifying U.S. officials. The Pentagon later said the disclosure harmed U.S. national security by including information on rocket guidance that might be applicable to long-range nuclear missiles. "My client did not send any reports to the Chinese," Lim's attorney, George B. Newhouse, said. "He is neither the subject nor the target of any investigation." Newhouse described his client as "anxious to tell his story." Born in China in 1945 to a landed Catholic family, Lim and his family fled Chinese communist persecution after the 1949 revolution. He was educated in Singapore and later the University of Minnesota. He is a U.S. citizen. "He has had no contact with any relatives who continue to live in China," Newhouse said. "To infer from his Chinese lineage that he somehow has sympathies to the Chinese communist regime is not only ludicrous it's outrageous. This man is as American as anyone." The Justice Department is investigating whether Loral and Hughes, both of which were represented on the review panel, violated U.S. export control laws by revealing sensitive information on missiles. When the accident occurred, Lim worked for Loral. He moved to Hughes later. Solomon, who chairs the House Rules Committee, is exploring a report that Lim was denied a high-level security clearance earlier in his career when he worked for Northrop Grumman on the B-2 bomber program. The denial was issued routinely under rules governing security clearance applicants with relatives in foreign countries the United States considered a security risk, said a congressional aide familiar with Solomon's inquiry. A 22-item questionnaire that Solomon sent the Pentagon seeks detailed information on security clearances Lim has received, or been denied, throughout his career. In particular, it asks whether Lim received a waiver while at Loral that allowed him access to highly classified material and whether the White House played a role in approving that access. "Did any officials of Loral or the Executive Office of the President have anything to do with the granting of a waiver for his clearance?" Solomon asked. Pentagon spokesman Kenneth Bacon said the department "will respond to the congressman's request as soon as possible." Newhouse said there was no evidence his client committed any crime and that there was no allegation that any classified information went to the Chinese. Investigators have been questioning whether unclassified missile technology that was under export control protections might have been disclosed to China. But Newhouse noted that the technical review team that included representatives of Loral and Hughes was not expert in the details of these export control laws and that Loral's oversight of the review team could have been tighter. A spokesman for Loral declined to comment Wednesday. Hughes said in a statement that Lim has all the appropriate clearances and that they were issued by the U.S. government. Loral and Hughes have denied any fault in releasing unauthorized information to China and have disputed that any sensitive information was disclosed. In a statement earlier this month, Loral said, "The matter became an issue because, contrary to (Loral's) own internal policies, the (crash review) committee provided a report to the Chinese before consulting with State Department export licensing authorities." By The Associated Press