Dual-Use Technology Transfers Through a “Chain of Investment Holding Companies”

Guess what the US Senate just passed? It’s referred to as “strengthening America’s presence in the Middles East” but we all know what that means. The United States Senate passed controversial legislation on Tuesday, February 12, 2019 to “curb boycotts against Israel, sending the bill to the Democrat-controlled House for full consideration”. Americans have Israel’s man in the senate, Marco Rubio, to thank for fronting this bill. This will clear the way for Israel gaining full access to American technology and investment funds.

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Please go to the Financial Times article linked below to read “How China acquired mastery of vital microchip technology“. There are only four countries that manufactur this extremely precise equipment to make this technology possible: Sweden (Ericsson); UK, Germany; US. These are the machines that make the machines to manufacture microchips. If Israel doesn’t have access to this high tech equipment they will at some point probably through China. This will completely change the relationship between the US and China.

The New York-based Compass Investments firm was founded by Ronen Dagon who was the Senior Advisor to the Israeli Minister of Economics and Planning Mr. Gad Yacoby, under Prime Minister Mr. Shimon Peres back in 1984. This is one of many private investment firms in the US investing billions in Israeli-China high tech projects and new companies. This isn’t to suggest anything suspicious about Compass Investments but only to point out it is just one of probably hundreds of US-based investment companies investing in Israel and China’s high tech future. Hundreds of investment companies and projects investing in Israel’s high tech future based in America?

The Compass Israeli-led portfolio is planned to cover a range of sectors from: IOT, Smart & Safe City, Public Security, Water, Environment, Agriculture, Biotech, Automotive, and Robotics allowing founders, investors, scientists and trade professionals to get involved and collaborate together.

China-Israel Innovation Center (CIIC) to open in China’s Silicon Valley following first of its kind signature ceremony between Zhongguancun and Compass Ventures

Spotlight: China-Israel cooperation in cutting-edge techs promising

The following article needs to be read carefully especially considering the title “The US Needs to Engage China on Tech—or Risk Isolating Itself.” One of Donald Trump’s most persistent economic promises that we’ve seen over and over again, has been to restructure the US’s relationship with China. What is really going on here with these constant threats of a “trade war” with China despite the many American companies already operating in China? Is it related to the tech transfers going on between Israel and China for China’s Belt & Road Initiative (BRI)? Something US news sources do not cover in great detail. Isolating itself? Is this Trump’s job, to “isolate America” (except Wall Street private equity firms investing in Israel-China tech technology) which would only strengthen ties between China and Israel?

The US Needs to Engage China on Tech—or Risk Isolating Itself

Most every topic for news and discussion on America’s relationship with China and Israel is basically business news, investing and mundane trade and debt issues. How many people know for example, the world’s largest generic drug company is the Israeli firm Teva Pharmaceuticals with $23.7 billion in sales in 2017? Teva has a current market capitalization of $49 billion. Teva shares can be purchased on Wall Street and in Israel. Remember the Canadian pharmaceutical firm Apotex when its founder and his wife, Barry and Honey Sherman, showed up dead in their indoor home pool? Apotex is Canada’s biggest pharmaceutical company specializing in generic drugs. It turns out Sherman’s Apotex company was “accused of stealing Teva Pharmaceutical secrets.” The kinds of connections that make you wonder that if you even think about tampering with the profits of Israel-based companies you may want to think twice.

With China now having access to this technology it will allow China to modernize its military (see article below). This “dual-use” technology being transferred to China is difficult for regulators to screen made even more difficult with the use of holding companies with the ultimate owners being next to impossible to verify even though the “FBI investigates shell companies.” The chain of investment holding companies act as proxies to prevent the ultimate ownership from being known.

China’s main interest in Israel is tapping into Israel’s technological innovation and research, but we would ask, where did this technology come from? There is no way a small country with a limited population with only a fraction of that population working in high tech could have developed this technology to the point where Israel currently stands. This would have only been possible for dual-citizen Israeli-Americans working in some of American’s most advanced institutions like MIT, Stanford and in Silicone Valley to name just three, who then go onto study and do advanced research in Israel.

There was little fanfare when the private Chinese company NavTech bought Silex Microsystems in 2015, acquiring the Swedish company’s mastery of manufacturing accelerometers, gyroscopes and other microscopic sensors.

NavTech, which specialises in navigation technology for aviation, satellites and defence, announced shortly afterwards that it would build a $300m plant in Beijing “relying on Silex’s technology” in micro-electromechanical systems (MEMS), the components embedded in chips that are increasingly central to everything from mobile phones and medical devices to self-driving cars.

But the acquisition of Silex, through a chain of investment holding companies, involved Chinese state-controlled funds.

Please go to Financial Times to read the entire article.


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The concern here related to the material above should be more than obvious. This news from Defense News appeared on August 23, 2015. Any of the technology loaded into China’s military assets will now have the capability to improve and become technologically superior. It’s almost as if there is an underhanded entity at work here making these “dual-use” technology transfers possible to create “enemies” with this technology. It’s already known China’s F-17 fighter is based on designs from the F-16 and Russia’s MiG-21.

Source: Defense News

Chinese Radar Strongly Resembles Israeli Product

By: Usman Ansari and Wendell Minnick

TAIPEI and ISLAMABAD — A Chinese avionics marketing and manufacturing firm has put Israeli-US relations under a microscope after marketing an advanced fire control radar identical to Elta’s ELM-2052 active electronically scanned array (AESA).

Elta is the same Israeli state-owned subsidiary at the heart of an incendiary chapter in US-Israel relations [Ed. note: is that “chapter” over or has it gone deeper?] that continues to reverberate 15 years after Washington forced Israel to cancel a controversial Phalcon airborne early warning aircraft contract with Beijing.

Beijing-based NAV Technology  claims in its 63-page product catalog to offer an unnamed AESA radar that is identical to the ELM-2052. The two-page description appears to be identical to current ELM-2052 product brochures distributed by Elta, including a photograph of the radar. Elta is a subsidiary of the state-owned Israel Aerospace Industries (IAI).

Israel’s Ministry of Defence said it had no knowledge of NAV and its claimed association with Elta. IAI has also denied any association between Elta and NAV “or any other Chinese firm.”

Yang Yunchun, NAV Technology chairman and president, did not respond to repeated requests to comment. By phone, NAV Technology’s Mr. Xiong turned down requests for information about the company’s activities. The Chinese-language company website does not list an AESA radar as a product. 
Public information indicates that Yang began his career in aeronautical engineering with bachelor and master degrees from Harbin Engineering University (1993/1997) and a doctorate at the University of California (2001). His primary academic focus was global positioning system (GPS) and inertial navigation system (INS) integration, and advanced GPS signal processing. After his doctorate, Yang worked for NavCom Technology and ContainerTrac. 
NAV’s product catalog offers to “reverse engineer” an INS system for the Pakistan Air Force’s (PAF’s) Dassault Mirage III. “Currently the Litton LN-33 INS has reliability problems at PAF and NAV Technology has proposed a comprehensive solution to reverse engineer the problem and provide detailed solution.

A source who worked with Yang in California said that Yang had been under investigation by the FBI for “creating shell companies” and “violating intellectual property” and “export controls.” However, there are no public US federal judicial records indicating Yang was charged with any crime.

Please go to Defense News to read the entire article.


The following is just an opinion but it sure gives serious cause for concern considering that Israel’s previous Minister of Defense for Israel was Avigdor Lieberman who is a Soviet-born Israeli politician. What was the US military aid package? Now that Russia’s “secret war” on corruption has been revealed, is it possible we will see an end to what has been referred to as “Soviet-Israel” with thousands of Russian engineers and scientists working in Israel many who don’t even speak Hebrew gaining access to American technology?

Is this the “deep state” where we can now vaguely see an outline here consisting of these technology transfers going on between Russia and Israel and then from Israel to China? Observe what is going on in Syria with constant Israeli attacks on what they claim are “Iranian targets” when the Syrians defend themselves with Russian manufactured high tech weaponry. Are we not seeing this technology being tested out including the use of Israeli purchased F35s delivering munitions on Syria? The Russians and the Israelis are working very close together in Syria. The first memorandum of understating (MoU) that was signed between the US and Israel was in 1975 that allowed technological transfers to Israel signed by Henry Kissinger. How much technology has been removed from America and transferred to Israel making Israel the “startup nation?”

The $30 billion (or more) question: Why is the US military aid package so important?

It’s a decade-long memorandum of understanding (MoU) between the two countries that lays out American military to Israel. The last MoU was signed on August 16, 2007 and took effect from 2009 to October 2018. A new MoU is to take effect from the 2019 fiscal year until 2028.

Avigdor Lieberman


February 4/5, 2019

My final conclusion on the F-35

I have suspected for a long long time that it was a spectacular plane that Israel sabotaged. If you want the F-35 to work right, you have to be an Israeli pilot. Guaranteed: All F-35’s that attack Israel will instantly crash themselves, if that ever happens. Whatever number of them actually succeed in their missions elsewhere will be directly determined by how Israel wants it to go.

This is all just a gut feeling. But it is what I think, anyone who believes Israel does not have a unilateral hack on the F-35 is probably mistaken. Absent Israeli interference, it is probably great.

Additionally, I don’t for a minute suspect Putin is NOT in Israel’s back pocket. The only thing Russia will ever do is “surface help” to it’s allies which is all pretend and always comes up short of ultimate success. I have no question whatsoever that if Russia nuked the United States, and the U.S. was unable to respond, Israel would party for a month. The United States is the last great bastion against the New World Order and Russia not being part of the New World Order is probably nothing but stage play. ALL of the conquest of Europe and attempted conquest of the United States has it’s roots in the Bolshevik communists of Russia, who definitely DID NOT just one day decide to roll over and play dead. The “Fall of Russia” was, as far as I see it, a predominant hoax.

I seriously doubt the F-35 would ever be allowed to successfully conduct direct attacks against Russia. There is little chance that Israel would actually want that.



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