a Melbourne court has declared an Australian businessman guilty of clandestinely working on behalf of the Chinese Communist Party, marking the first conviction under the country’s foreign influence laws.
Di Sanh Duong, 68, a well-known figure in Melbourne’s Chinese community, was found guilty on Tuesday by a jury of preparing or planning an act of foreign interference, with a maximum sentence of 10 years in prison.
This marks the first conviction under the 2018 laws aimed at combating foreign influence in Australian domestic politics.
Charged in 2020 by Victoria state police, Duong was accused of attempting to covertly influence former federal government minister Alan Tudge by making a substantial donation to the Royal Melbourne Hospital three years ago.
The court heard that photographs from a 2020 hospital event depicted Duong presenting Tudge with a novelty check for 37,450 Australian dollars ($25,000).
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The funds were raised by the Oceania Federation of Chinese Organizations from Vietnam, Cambodia, and Laos, a Chinese diaspora group led by Duong.
Prosecutors alleged that Duong used the donation to gain favor with Tudge, who, it should be noted, faced no accusations of wrongdoing.
The government’s case rested, in part, on a recorded phone call between Duong and an associate in April 2020.
In the call, Duong discussed the perceived value of his relationship with Tudge, whom he considered a potential future prime minister of Australia.
Prosecution lawyer Patrick Doyle argued that Duong, a former member of the Victorian state branch of Australia’s Liberal Party, presented an “ideal target” for China’s United Front Work Department.
This department, overseen by the Chinese Communist Party, focuses on cultivating relationships with elites, including the Chinese diaspora, and has been accused of orchestrating global foreign influence operations.
Doyle asserted in court that Duong had been in contact with Chinese state security officials. In another wiretapped call played in court, Duong was heard saying, “When I do things, it never gets reported in the newspaper, but Beijing will know what I’m doing.”
Duong is scheduled to be sentenced next year.
The Australian Federal Police welcomed the verdict, emphasizing the ongoing importance of countering foreign interference as a national security priority.
In response to the verdict, opposition home affairs spokesperson James Paterson welcomed the successful prosecution as “Australia’s first-ever foreign interference case.”
He urged law enforcement agencies to robustly enforce the law to deter future attempts to interfere in democracy.
CNN reached out to the Australian Home Affairs Ministry for comment.
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Australian Businessman Convicted Of Foreign Interference For China In Landmark Case, Australian Businessman Convicted Of Foreign Interference For China In Landmark Case
