Three men charged with conspiring to steal trade secrets from Lucent Technologies were indicted yesterday.
Hai Lin and Kai Xu were scientists working on Lucent's PathStar Access Server, and Yong-Qing Cheng was a Lucent consultant on PathStar, according to the indictment.
The trio were accused and indicted for conspiring to steal the PathStar codes allegedly to transfer them to a joint venture between Datang Telecom Technology and ComTriad Technologies Inc., a company founded by the three men in January 2000.
Datang agreed to provide a $1.2 million investment in ComTriad for an ownership interest, according to the indictment, which also noted that the allegedly stolen secrets were to help the joint venture develop its own products, enabling it to become the "Cisco of China." It also intended to go public in the United States and China, the U.S. Attorney's Office says.
Datang has issued a statement denying knowledge of the theft, and the three men have maintained their innocence. All three also have posted or are expected to post bail.