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DATE=6/22/2000
TYPE=CORRESPONDENT REPORT
TITLE=CHINA PENTAGON BUILDING (L-ONLY)
NUMBER=2-263671
BYLINE=NICK SIMEONE
DATELINE=STATE DEPARTMENT
CONTENT=
VOICED AT:
INTRO:  The United States is accusing the Chinese 
government of ignoring American law by failing to 
disclose plans to purchase a building close to the 
Pentagon.  The building would house offices of China's 
state-run Xinhua news agency.  Correspondent Nick 
Simeone has details.
TEXT:  The property in question is an apartment 
complex within eyesight of the Pentagon.  The State 
Department says China knows is it required to seek 
permission for such purchases but did not do so.
U-S officials consider Xinhua to be part of the 
Chinese government.  Because of that, some members of 
Congress consider this a case of potential espionage.  
That's certainly how Republican Congressman Dana 
Rohrabacher, a member of the House Intelligence 
Committee, see it.
            /// Rohrabacher Act ///
      Having an intelligence arm of the Beijing 
      government setting up an electronic spy nest 
      just in this position overseeing the Pentagon is 
      something that deserves our attention.
            /// End Act ///
But a Chinese Embassy spokesman in Washington says 
Xinhua is a private company staffed by independent 
journalists - not part of the Chinese Embassy - and 
that therefore no laws were broken.
State Department spokesman Phil Reeker says the matter 
is under discussion with the Chinese government.
            /// Reeker Act ///
      We had no record of them providing notification 
      of the plan to purchase this Virginia property.  
      The Xinhua news agency is considered tied to the 
      government of the Peoples' Republic of China and 
      therefore is under the relevant provisions of 
      this act in terms of the restrictions.  They're 
      very aware of that.
            /// End Act ///
Though there has been press speculation that the 
building could be used for electronic eavesdropping on 
the Pentagon, U-S officials say the Defense Department 
uses an array of devises to counter such threats.   
(SIGNED)
NEB/NJS/JP
22-Jun-2000 17:41 PM EDT (22-Jun-2000 2141 UTC)
NNNN
Source: Voice of America
.