Quan-Sheng Shu, a 68-year-old resident of Kiln Creek pleaded guilty to three counts brought against him as part of a plea bargain with a U.S. District Court in Norfolk.

Mr. Shu faces up to 25 years in prison and fines up to $2.25 million at his April 7 sentencing.

The plea deal involved Mr. Shu providing investigators with information about his own and others’ involvement in the matter. It’s also the reason why the sentencing comes so late, as government investigators are gathering all available info about the case.
"It's an ongoing investigation," said Assistant U.S. Attorney Alan M. Salsbury. He did not say if others may be arrested in connection with the issue.

Shu is on American soil since 1983 and a naturalized citizen since 1998. He runs a small business called AMAC international in the Applied Research Center on Jefferson Avenue. He started establishing relations between American and European companies in China in 2002.

The FBI is silent on how it first got wind of Shu’s misdealing, but they started surveillance on him in 2007.

Monday Shu pleaded guilty to charges of: exporting a defense service without a license, by helping the Chinese convert hydrogen gas to liquid for rockets; exporting a defense product the same way, as he prided technical data and drawings about tanks for said hydrogen and misc. equipment; and finally bribing a foreign official (Chinese) to ensure they favored a French firm consulted by Shu.

The first two counts are each punishable by up to 10 years in prison and fines up to $1 million. The third nets him up to 5 years and/or $250,000. Shu earned $387,000 from winning the French firm’s contract.

U.S. District Judge Henry C. Morgan Jr. accepted Shu’s guilty plea on Monday and will sentence him after the investigation concludes.