Downey Man Is Granted Bond

A U.S. magistrate granted bond Friday to a Downey engineer who was cleared this week of multiple charges of conspiring to steal classified U.S. military secrets for China.

Magistrate Marc L. Goldman said that because Chi Mak, 65, is now facing a single charge of failing to register as an agent of a foreign government -- a charge that does not involve classified material -- he should be allowed to post a $300,000 bond.

“Let’s talk about the facts you presented to me [at an earlier hearing],” Goldman told Assistant U.S. Atty. Gregory W. Staples. “You raised questions of national security. What I’m seeing now, these documents are not classified.”

Chi Mak is the lead project engineer on a contract to develop a quiet electric-drive propulsion system for U.S. Navy submarines at Paragon Power in Anaheim. He is accused of transferring information about the system to his home computer. His wife, Rebecca Laiwah Chiu, 62, is also accused.

U.S. prosecutors said the information was then encrypted on a CD by Mak’s brother, Tai Wang Mak. An FBI affidavit said Tai Mak and his wife, Fuk Heung Li, 48, of Alhambra were going to carry the sensitive information to China, but were arrested Oct. 28 at Los Angeles International Airport.

The Maks and their wives were accused in a criminal complaint of theft of government property, conspiracy, transporting stolen goods and aiding and abetting. But those charges were dropped this week because prosecutors said the information the defendants possessed was sensitive but not classified.

The Maks and Chiu were instead indicted on a single count of failing to register as foreign agents and Fuk was named in a criminal complaint for allegedly engaging in a marriage fraud scheme.

At Friday’s hearing, Staples argued Chi Mak should not be granted bond because he is a flight risk. Staples said Chi Mak planned to move to Hong Kong after he retires next year and was going “to move his money” there.

The argument did not persuade Goldman.

“If you’re going to retire to Hong Kong,” he said, “I would assume you’d want to move money to Hong Kong. There’s nothing sinister about that.”

Goldman cited Chi Mak’s U.S. citizenship, his lack of a criminal record, his homeownership and employment as reasons for granting him bond. But he imposed numerous restrictions on his ability to travel.

Staples said he will appeal Goldman’s ruling.