NASHVILLE – Korbein Schultz, a U.S. Army soldier and intelligence analyst, pleaded guilty today to charges of conspiracy to obtain and disclose national defense information, exporting technical data without a license, conspiracy to export defense articles without a license, and bribery of a public official. This announcement came from Henry C. Leventis, United States Attorney for the Middle District of Tennessee, and Assistant Attorney General Matthew G. Olsen of the National Security Division.
“This defendant sold national defense information to a foreign actor and conspired to corrupt other members of our military,” stated United States Attorney Henry C. Leventis. “In doing so, he violated his training and his oath as a member of the armed services and compromised our national security. Today’s guilty plea to all of the charges in the indictment ensures that he will be held fully accountable for his crimes.”
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division added, “The defendant abused his access to restricted government systems to sell sensitive military information to a person he knew to be a foreign national. By conspiring to transmit national defense information to a person living outside the United States, this defendant callously put our national security at risk to cash in on the trust our military placed in him. Today’s guilty plea is a stark reminder that those who would betray their sworn oath for personal gain will be identified and brought to justice.”
“The defendant has admitted guilt in a case that should send a strong message to any U.S. service members thinking about betraying their country,” said Executive Assistant Director Robert Wells of the FBI’s National Security Branch. “The U.S. is governed by the rule of law and when persons, placed in a position of trust violate that trust, the FBI and our partners will hold them accountable. Governments like China are aggressively targeting our military personnel and national security information and we will do everything in our power to ensure that information is safeguarded from hostile foreign governments.”
“This Soldier swore an oath to faithfully discharge his duties, to include protecting national defense information. Not only did he fail in his sworn duty, but he placed personal gain above his duty to our country and disclosed information that could give advantage to a foreign nation, putting his fellow Soldiers in jeopardy,” said Brigadier General Rhett R. Cox, Commanding General of the Army Counterintelligence Command. “Army Counterintelligence Command, with our partners at the FBI, Department of Justice, and the greater intelligence community, will ruthlessly pursue those who commit acts such as these. Let this case serve as a warning: if any member of the Army, past or present, is asked for classified or sensitive information, they should report it to the appropriate authorities within 24 hours or be held fully accountable for their inaction.”
According to charging and plea documents, Schultz, an enlisted intelligence analyst in the United States Army holding a Top Secret//Sensitive Compartmented Information (TS//SCI) security clearance, conspired with an individual in Hong Kong suspected of being associated with the Chinese Government. They conspired to collect and transmit national defense information, including classified information and export-controlled technical data related to U.S. military weapons systems, in exchange for money.
During the conspiracy, Schultz sent dozens of sensitive and restricted U.S. military documents to his co-conspirator. These documents included information on missile defense, mobile artillery systems, and other U.S. military tactics and strategies. In exchange, Schultz received approximately $42,000.
Sentencing is scheduled for January 23, 2025. Schultz faces a maximum penalty of 10 years in prison for conspiracy to obtain and transmit national defense information, 20 years for exporting technical data without a license, 20 years for conspiracy to violate the Arms Export Control Act and ITAR, and 15 years for bribery of a public official. A federal district court judge will determine the sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated by the FBI and the U.S. Army Counterintelligence Command. Assistant U.S. Attorney Josh Kurtzman for the Middle District of Tennessee and Trial Attorneys Adam Barry and Christopher Cook of the National Security Division’s Counterintelligence and Export Control Section prosecuted the case.
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Source: Read Original Release
Memphis Man Sentenced for PPP Fraud
Dardanius Coleman, a 55-year-old from Memphis, Tennessee, has been sentenced to 21 months in federal prison for defrauding the Paycheck Protection Program (PPP) by submitting fraudulent applications for five businesses, using the funds for personal gain rather than their intended purposes. The case, prosecuted by United States Attorney Kevin G. Ritz and investigated by the FBI and SBA Office of Inspector General, also includes a restitution order of over $2 million and a three-year supervision term following Coleman’s release.