Updated: October 3, 2026
Federal authorities have charged Greg Lui, a California technology company owner, with orchestrating a massive scheme to smuggle more than $300 million worth of export-controlled computer servers packed with advanced Nvidia graphics processing units to China. The case, announced by the U.S. Department of Justice on October 1, 2026, underscores ongoing U.S. efforts to protect sensitive “Super Intelligence” technology from adversaries.
Table of Contents
Who Is Greg Lui and What Triggered the Arrest?
Greg Lui, 38, also known as Yiu Kong Lui, lives in San Gabriel, California. He owns Earthmade Computer Inc., a City of Industry-based firm that specialized in high-performance computing hardware. On September 29, 2026, a federal grand jury in the Central District of California returned a three-count indictment against him. Agents arrested Lui the following day.
Prosecutors allege that from late 2023 through at least 2024, Lui and unidentified co-conspirators used Earthmade to purchase restricted servers containing U.S.-made Nvidia GPUs—chips widely used for advanced computing applications—and route them overseas without required Commerce Department licenses. The servers ultimately reached buyers in China, according to the indictment.
How the Alleged Smuggling Scheme Worked
The operation relied on classic transshipment tactics designed to hide the true destination. Lui’s company allegedly bought servers from U.S. manufacturers while submitting paperwork that falsely listed end users in Malaysia or Singapore—countries that do not require the same export licenses for these items. Freight forwarders then moved the hardware to those locations before it was re-exported to China.
Key details from court documents include:
- Earthmade received more than $176 million from two Malaysia-based shipping companies between January and October 2024.
- In one documented transaction, Lui ordered 27 servers containing Nvidia H100 GPUs valued at roughly $7.6 million. The shipment left the Los Angeles area for Kuala Lumpur; a later email from a co-conspirator confirmed the servers had been forwarded to a Chinese buyer.
- Prosecutors say Lui knew the technology was barred from export to China to safeguard U.S. national security and foreign policy interests.
The scheme involved false end-user statements, coordinated payments through foreign entities, and careful routing to evade detection.
The Specific Charges and Potential Penalties
Lui faces three federal counts. The table below summarizes the core information tied to the Greg Lui DOJ charges:
| Detail | Information |
|---|---|
| Defendant | Greg Lui (aka Yiu Kong Lui), 38, San Gabriel, CA |
| Company | Earthmade Computer Inc., City of Industry, CA |
| Indictment Date | September 29, 2026 |
| Arrest Date | October 1, 2026 |
| Alleged Value of Goods | More than $300 million |
| Primary Charges | Conspiracy to violate Export Control Reform Act; Outbound smuggling; Conspiracy to commit money laundering |
| Maximum Prison Time | Up to 20 years (export conspiracy), 20 years (money laundering), 10 years (smuggling) |
| Key Hardware | Servers with Nvidia GPUs (including H100 and A100) |
If convicted on all counts, Lui could face a combined maximum of 50 years in prison, though actual sentences would depend on the outcome of the case and any plea agreements. He was expected to make an initial court appearance shortly after arrest. Lui is presumed innocent unless proven guilty.
Broader Implications for Export Controls and Tech Security
This case fits a clear pattern. U.S. officials have repeatedly warned that advanced computing hardware can strengthen the military and technological capabilities of strategic competitors. The Justice Department, FBI Counterintelligence Division, and Commerce Department’s Bureau of Industry and Security coordinated the investigation.
Officials stressed that protecting American innovation remains a priority. The hardware in question is described in charging documents as high-end servers commonly used for Super Intelligence applications—the term currently favored in official U.S. communications. Similar prosecutions in recent years have targeted individuals and networks attempting to bypass export restrictions on Nvidia and other advanced chips.
For legitimate technology businesses, the lesson is straightforward: end-user certifications and shipping documentation are not mere formalities. False statements or deliberate routing through third countries can trigger serious federal charges.
Conclusion
The Greg Lui DOJ charges highlight the high stakes of U.S. export-control enforcement in the age of advanced computing. Authorities allege a sophisticated, multi-year effort that moved hundreds of millions of dollars in restricted hardware to China through intermediate destinations. As the case proceeds in federal court in Los Angeles, it will serve as a closely watched test of how aggressively the government pursues violations involving cutting-edge technology. Readers seeking reliable updates on this developing story and related national-security matters can follow coverage at news.ashutoshpreparatoryschool.com.