
North Carolina rep unveils new bill to ratchet up penalties on spies for adversaries like China, Russia and Iran
Freshman Rep. Pat Harrigan introduced new legislation to ratchet up penalties on spies who funnel US secrets to foreign adversaries like China, Iran, North Korea and Russia.
The Foreign Adversary Federal Offense (FAFO) Act sets a mandatory minimum prison time of 10 years as well as a fine of up to $5 million for perps caught engaging in economic espionage for adversaries — and raises the maximum sentence to 20 years if it impacts critical infrastructure.
'When individuals steal defense secrets or compromise our critical infrastructure on behalf of China, Russia, Iran, or North Korea, they are committing an act of betrayal against this country,' Harrigan (R-NC) said in a statement.
'This legislation ensures they face severe, unrelenting consequences. There will be no plea deals, no light sentences, and no path to parole. If you betray America, you will face the full weight of American justice.'
Currently, individuals caught selling trade secrets abroad can face up to 15 years behind bars as well as a fine.
3 Freshman Rep. Pat Harrigan wants tougher penalties against spying for foreign countries.
AFP via Getty Images
3 US officials have long claimed that China has stolen hundreds of billions of dollars worth of American trade secrets.
KAZAKHSTAN'S PRESIDENTIAL PRESS SERVICE/AFP via Getty Images
The FAFO Act would also hike the penalty for defense-related espionage for adversaries to a minimum of 15 years without parole. At the moment, the penalty for those crimes is usually up to 10 years in prison as well as a fine.
Harrigan's legislation stipulates that the penalties are specific to 'covered nations' from whom the Defense Department is banned from acquiring sensitive material. Countries on that list are: China, Iran, North Korea and Russia.
Under the proposed legislation, companies or other organizations that are convicted of economic espionage would face a fine of $20 million or five times the cost of the stolen trade secret.
3 Foreign adversaries such as Russia have worked to obtain key US secrets.
Getty Images
'My FAFO Act is a direct response to the growing threat posed by foreign adversaries targeting the United States from within,' Harrigan stressed.
His office cited recent instances of individuals getting caught spying.
Last month, for example, Nathan Laatsch, an IT specialist at the Defense Intelligence Agency (DIA), was apprehended for allegedly trying to send sensitive defense data to a 'friendly' foreign country. Precise details of the case are still somewhat murky.
Harrigan, a former Army Special Forces officer, was first elected to the lower chamber last year and has focused on key national security issues, having landed a spot on the House Committee on Armed Services.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Newsweek
35 minutes ago
- Newsweek
Canada and US Trade Talks Resume After Digital Tax Reversal
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Canada and the United States have resumed trade negotiations after Canadian Prime Minister Mark Carney agreed to rescind the country's digital services tax on U.S. technology companies. The development follows President Donald Trump's announcement on Friday that he was suspending all trade talks with Canada "effective immediately" over the tax policy. Why It Matters Trump's Friday announcement followed Canada's confirmation that it would proceed with its digital services tax on technology giants, most of which are U.S.-based, despite a previous G7 agreement where the Trump administration had agreed to drop a retaliatory tax proposal from congressional consideration. Canada's quick reversal signals the high stakes involved in maintaining trade relationships with the United States, particularly given the countries' deeply integrated economies. What To Know Carney's office confirmed on Sunday that both leaders have agreed to restart negotiations after Canada committed to abandoning the 3 percent levy targeting major U.S. tech giants including Amazon, Google, Meta, Uber, and Airbnb. The tax was scheduled to take effect Monday and would have applied retroactively, creating an estimated $2 billion bill for American companies. The conflict escalated rapidly after Canada's Finance Department confirmed Friday that companies would still be required to make their first digital tax payments Monday, despite ongoing negotiations. The tax targeted revenue generated from Canadian users rather than corporate profits, making it particularly burdensome for technology companies operating internationally. Trump's response was immediate and severe. He announced the suspension of all trade discussions "effective immediately" and threatened to impose new tariffs on Canadian goods within seven days. The president criticized Canada as "a very difficult Country to TRADE with" and described the digital tax as "a direct and blatant attack on our Country." The dispute has unfolded against already strained U.S.-Canada relations. Since taking office in January, Trump has repeatedly criticized Canada and suggested it should become the 51st U.S. state. These tensions contributed to the political environment that led to Justin Trudeau's resignation and Mark Carney's subsequent election on an anti-Trump platform. Canada's decision to rescind the tax came "in anticipation" of reaching a broader trade agreement, according to government officials. What People Are Saying Canadian Prime Minister Mark Carney said Friday: Canada will "continue to conduct these complex negotiations in the best interests of Canadians. It's a negotiation." President Donald Trump previously said in the Oval Office that he expected Canada to lift the digital services tax: "Economically we have such power over Canada. We'd rather not use it. It's not going to work out well for Canada. They were foolish to do it." Canadian Prime Minister Mark Carney (R) greets U.S. President Donald Trump at the official welcome ceremony during the G7 Leaders' Summit on June 16, 2025 in Kananaskis, Alberta. Canada is hosting this year's meeting... Canadian Prime Minister Mark Carney (R) greets U.S. President Donald Trump at the official welcome ceremony during the G7 Leaders' Summit on June 16, 2025 in Kananaskis, Alberta. Canada is hosting this year's meeting of the world's seven largest economies. MoreWhat Happens Next With negotiations resuming, both countries will likely focus on addressing broader trade issues beyond the digital services tax. The Trump administration has indicated expectations for additional Canadian concessions, particularly regarding agricultural tariffs that have been a longstanding source of friction. Reporting from the Associated Press contributed to this article.


CNBC
an hour ago
- CNBC
Canada rescinds Digital Services Tax after Trump cuts off U.S. trade talks
Canada has walked back on its digital services tax "in anticipation" of a mutually beneficial comprehensive trade arrangement with the United States, Ottawa announced Sunday night. The move comes after U.S. President Donald Trump announced over the weekend that he will be "terminating ALL discussions on Trade with Canada" in response to Ottawa's decision to impose a digital services tax on American tech firms. The statement from Canada said that Prime Minister Mark Carney and Trump have agreed that they "will resume negotiations with a view towards agreeing on a deal by July 21, 2025."

Hypebeast
2 hours ago
- Hypebeast
Trump Claims Buyers Found for TikTok, Awaits China's Approval
Summary President Donald Trump has announced that a buyer has been secured for the U.S. operations ofTikTok, the popular social media platform facing a potential ban due to national security concerns. Speaking in aFox Newsinterview, Trump stated that a 'very wealthy group of people' has agreed to the purchase, with their identities expected to be disclosed in 'about two weeks.' The announcement comes amidst ongoing negotiations and repeated deadline extensions for TikTok's Chinese parent company,ByteDance, to divest its U.S. assets. The latest extension, signed by Trump in mid-June, pushed the deadline to September 17. Trump expressed confidence that Chinese President Xi Jinping would likely approve the deal, a crucial step for any agreement to proceed. Trump claims in the new interview that a group of 'very wealthy people' are coming together to acquire the social media app. He said, 'We have a buyer for TikTok, by the way. I think I'll need probably China's approval. I think President Xi [Jinping] will probably do it.' He declined to share any further in the interview following the announcement. Despite previous attempts to broker a sale that fell apart, including one in April reportedly due to China's withdrawal after Trump's tariff announcements, this latest claim reignites hopes for TikTok's long-term future in the U.S. The platform, which boasts over 170 million active American users, has been a significant point of contention in U.S.-China tech relations, but Trump has also acknowledged its value, particularly in his 2024 election campaign strategy.