The leader in the electric vehicle industry, Tesla, is making headlines this time due to a serious espionage scandal. The FBI has caught a former Tesla employee red-handed while attempting to steal confidential company information to establish a business abroad. This incident highlights once again the grave threat industrial espionage poses to both corporate innovation and national security. Here are the details of the scandal!

A $1.3 Million Scheme by a Tesla Employee!

At the center of the case is Klaus Pflugbeil, a former Tesla employee who worked at Hibar Systems, a company Tesla acquired in 2019. Pflugbeil planned to steal Tesla’s critical battery technology and use it to set up a business in China, aiming to sell the information on the international market. During an FBI sting operation, Pflugbeil was caught attempting to sell this sensitive information to a buyer.

However, Pflugbeil was unaware that the person he was dealing with was actually an FBI agent, who had set a trap for him. Before he could execute his plan, Pflugbeil was arrested, and it was revealed that he intended to earn $1.3 million from the sale.

The U.S. Department of Justice (DOJ) believes that Pflugbeil’s plan went beyond financial profit. The DOJ highlighted that Tesla’s technologies were being targeted to establish a new business in China, potentially endangering America’s technological leadership. Officials from the DOJ stated that such actions are considered not only economic damage but also a threat to national security.

The investigation also revealed that Yilong Shao acted as an accomplice in Pflugbeil’s plan. According to the DOJ, Shao reformatted the stolen confidential documents to restore them to their original appearance. The duo allegedly used these documents for promotional materials and trade shows worldwide. However, their claim of not committing copyright violations was disproven by the FBI. Shao is currently reported to be on the run.

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