NEW YORK—A partner of a private equity firm with backing from the Chinese regime was found guilty in a U.S. court of insider trading related to the attempted acquisition of American chipmaker Lattice Semiconductor Corp., prosecutors in New York said on April 24.
Benjamin Chow, who co-founded Canyon Bridge Capital Partners, was convicted of securities fraud and conspiracy by a jury in Manhattan federal court, according to the office of U.S. Attorney Geoffrey Berman in a statement. Chow is scheduled to be sentenced on Aug. 20 by U.S. District Judge Gregory Woods.
Canyon Bridge’s financing can be traced back to China’s State Council, the top administrative authority of the Chinese central government, Reuters had previously reported.
Acquiring foreign semiconductor technology via investments in foreign firms is part of the Chinese regime’s strategy to develop its semiconductor industry. China has lagged behind in innovation, and relies heavily on foreign imports of the chips, which are used to power many electronic devices. The regime’s centerpiece economic plan, Made in China 2025, includes the goal of dominating global supply chains in high-tech sectors such as semiconductor-manufacturing.
Lawyers for Chow, 45, could not immediately be reached for comment.
“While we have been informed of the verdict, we have not had the opportunity to review the court’s ruling,” Canyon Bridge said in an emailed statement. “We will be assessing the situation.”
