Stern Hu
Encyclopedia
Stern Hu is an Australia
n businessman of Chinese origin. He was formerly an executive of Rio Tinto
mining group in Shanghai
, China
prior to his trial. He graduated from Peking University
before obtaining Australian citizenship in 1994.
The issue has made a heavy impact in both China and Australia, making front-page appearances in most major media across the two nations. Information found stored on Hu’s personal laptop, seized by investigators, allegedly contains confidential business information of several dozen major business partners of Rio Tinto, including storage levels and sales plans, deemed much too specific and precise to have been acquired through legal means, but rather through bribery, where access to such information is limited even to employees within these companies. Hu is thus accused of having obtained such information through bribery and other illegal means, for massive corporate and personal benefits.
The Australian government called in the Chinese Ambassador to Australia to discuss the situation, with Prime Minister Kevin Rudd
, a former diplomat to China, under pressure to intervene on the issue on a higher profile. Rudd refused to intervene on a personal level, and criticised the media and the opposition party for adding political bias to the issue. Nevertheless, Australian authorities were granted access to the arrested businessman. After the visit, Foreign Minister Stephen Smith
declared that Hu is in good health.
His arrest came a month after Rio Tinto rejected Chinese aluminium firm Chinalco's bid to double its stake in the miner to 18 per cent. However, Chinalco has denied any linkages between the two events.
city, Jiangsu
Province) ran an essay on China Secrecy On-Line, a Chinese-language Web site affiliated with the National Administration for Protection of State Secrets, or NAPSS,over the weekend (8 August 2008) that said Rio employees had engaged in deceit over six years that had led to Chinese steel mills overpaying for iron ore by CNY700 billion, or US$102 billion. But other NAPSS official stated:
Jiang Ruqin wrote:
11 August 2009
Sam Walsh chief executive iron ore acknowledged the second visit to detained Rio Tinto employee, Stern Hu, by Australian Consular officials.
Mr Walsh said, "We are pleased to hear that Stern appeared well and that he raised no welfare or medical concerns.
Mr Walsh said the company remained surprised and concerned over the detention of its four employees, and said the company had still not been informed of any charges against them.
He said, "We are still not aware of any evidence that would support their detention. Rio Tinto is committed to high standards in business integrity and takes its ethical responsibilities very seriously."
"We continue to be concerned for the health and welfare of our three other employees detained at the same time as Stern Hu," he said.
Mr Walsh thanked the Australian Government for the attention it is giving to this case and to Stern Hu's welfare.
of the ABC
, during the popular TV program Lateline
interviewed two Australia's leading international-relations expert- Professor Hugh White, of the Australian National University
, and Dr.Paul Monk, of Austhink Consulting, in which Hugh White said:
Paul Monk:
reported:
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
n businessman of Chinese origin. He was formerly an executive of Rio Tinto
Rio Tinto Group
The Rio Tinto Group is a diversified, British-Australian, multinational mining and resources group with headquarters in London and Melbourne. The company was founded in 1873, when a multinational consortium of investors purchased a mine complex on the Rio Tinto river, in Huelva, Spain from the...
mining group in Shanghai
Shanghai
Shanghai is the largest city by population in China and the largest city proper in the world. It is one of the four province-level municipalities in the People's Republic of China, with a total population of over 23 million as of 2010...
, China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
prior to his trial. He graduated from Peking University
Peking University
Peking University , colloquially known in Chinese as Beida , is a major research university located in Beijing, China, and a member of the C9 League. It is the first established modern national university of China. It was founded as Imperial University of Peking in 1898 as a replacement of the...
before obtaining Australian citizenship in 1994.
Arrest in China
Hu was detained on 5 July 2009 with three other Chinese colleagues by the Chinese government. After pleading guilty, on 29 March 2010 he was sentenced to 10 years' jail by a Chinese court for stealing commercial secrets and receiving bribes.The issue has made a heavy impact in both China and Australia, making front-page appearances in most major media across the two nations. Information found stored on Hu’s personal laptop, seized by investigators, allegedly contains confidential business information of several dozen major business partners of Rio Tinto, including storage levels and sales plans, deemed much too specific and precise to have been acquired through legal means, but rather through bribery, where access to such information is limited even to employees within these companies. Hu is thus accused of having obtained such information through bribery and other illegal means, for massive corporate and personal benefits.
The Australian government called in the Chinese Ambassador to Australia to discuss the situation, with Prime Minister Kevin Rudd
Kevin Rudd
Kevin Michael Rudd is an Australian politician who was the 26th Prime Minister of Australia from 2007 to 2010. He has been Minister for Foreign Affairs since 2010...
, a former diplomat to China, under pressure to intervene on the issue on a higher profile. Rudd refused to intervene on a personal level, and criticised the media and the opposition party for adding political bias to the issue. Nevertheless, Australian authorities were granted access to the arrested businessman. After the visit, Foreign Minister Stephen Smith
Stephen Smith (Australian politician)
Stephen Francis Smith , is the Australian Minister for Defence. He has been an Australian Labor Party member of the Australian House of Representatives since March 1993, representing the Division of Perth, Western Australia....
declared that Hu is in good health.
His arrest came a month after Rio Tinto rejected Chinese aluminium firm Chinalco's bid to double its stake in the miner to 18 per cent. However, Chinalco has denied any linkages between the two events.
Trial
Following the trial, Stern Hu was sentenced to 10 years jail. Hu and other convicted executives have also had their employment terminated by Rio Tinto Ltd. It is reported that the motive behind the terminations is in regards to a breach of conduct, with Rio Tinto accepting the evidence provided showing instances of bribery. Rio Tinto also states that the trial will not affect business ties, according to its chief executive.Foreign affair spokesperson Qin Gang
On 15 July 2009 Chinese official foreign affair spokesperson Qin Gang, when Qin Gang was referring to Australia's Prime Minister Kevin Rudd's reaction towards the alleged Spy case, in which Kevin Rudd warned the Chinese government of possible economic consequences:NAPSS (Jiangsu Province) official Jiang Ruqin
Jiang Ruqin(蒋汝勤)(chief of the Secret Protection Bureau of Huai'anHuai'an
Huai'an , known as Huaiyin before 2001, is a prefecture-level city in northern Jiangsu province of Eastern China. It borders Suqian to the northwest, Lianyungang to the north, Yancheng to the east, Yangzhou to the southeast, and the province of Anhui to the southwest.The municipality has 4,799,889...
city, Jiangsu
Jiangsu
' is a province of the People's Republic of China, located along the east coast of the country. The name comes from jiang, short for the city of Jiangning , and su, for the city of Suzhou. The abbreviation for this province is "苏" , the second character of its name...
Province) ran an essay on China Secrecy On-Line, a Chinese-language Web site affiliated with the National Administration for Protection of State Secrets, or NAPSS,over the weekend (8 August 2008) that said Rio employees had engaged in deceit over six years that had led to Chinese steel mills overpaying for iron ore by CNY700 billion, or US$102 billion. But other NAPSS official stated:
Jiang Ruqin wrote:
Rio Tinto's Media Release
Shanghai employees - Update 211 August 2009
Sam Walsh chief executive iron ore acknowledged the second visit to detained Rio Tinto employee, Stern Hu, by Australian Consular officials.
Mr Walsh said, "We are pleased to hear that Stern appeared well and that he raised no welfare or medical concerns.
Mr Walsh said the company remained surprised and concerned over the detention of its four employees, and said the company had still not been informed of any charges against them.
He said, "We are still not aware of any evidence that would support their detention. Rio Tinto is committed to high standards in business integrity and takes its ethical responsibilities very seriously."
"We continue to be concerned for the health and welfare of our three other employees detained at the same time as Stern Hu," he said.
Mr Walsh thanked the Australian Government for the attention it is giving to this case and to Stern Hu's welfare.
Australian Broadcasting Corporation
On 14 July 2009 Leigh SalesLeigh Sales
Leigh Sales, born 1973 is an author and award-winning journalist and presenter of 7.30 with the Australian national broadcaster, the ABC.-Biography:Sales grew up in Queensland and was a journalist with the Nine Network in Brisbane before joining the ABC...
of the ABC
Australian Broadcasting Corporation
The Australian Broadcasting Corporation, commonly referred to as "the ABC" , is Australia's national public broadcaster...
, during the popular TV program Lateline
Lateline
Lateline is an Australian television news and current affairs program produced by the Australian Broadcasting Corporation, airing weeknights at on ABC1. The program has developed a reputation for head-to-head debates on current issues and political interviews. Lateline is followed by its sister...
interviewed two Australia's leading international-relations expert- Professor Hugh White, of the Australian National University
Australian National University
The Australian National University is a teaching and research university located in the Australian capital, Canberra.As of 2009, the ANU employs 3,945 administrative staff who teach approximately 10,000 undergraduates, and 7,500 postgraduate students...
, and Dr.Paul Monk, of Austhink Consulting, in which Hugh White said:
Paul Monk:
The Australian
On 11 July 2009 Jennifer Hewett, National affairs correspondent of The AustralianThe Australian
The Australian is a broadsheet newspaper published in Australia from Monday to Saturday each week since 14 July 1964. The editor in chief is Chris Mitchell, the editor is Clive Mathieson and the 'editor-at-large' is Paul Kelly....
reported: