# U.S. Arrests California GPU Exporter

Federal prosecutors allege that Greg Lui, owner of Earthmade Computer Inc., arranged the diversion of more than **$300 million** in restricted GPU servers to China during 2023–2024 using false customer records and third-country shipments. One cited transaction involved 27 servers valued at approximately **$7.614 million**, shipped from Los Angeles to Kuala Lumpur and allegedly forwarded to a buyer in China. The arrest underscores export-control and supply-chain risks for government contractors and businesses that buy, resell, transport, or otherwise handle controlled computing equipment.

- Companies involved in these supply chains should verify export licenses, end users, destination changes, and shipment documentation—the specific controls implicated in the allegations.
- Federal procurement teams and contractors sourcing GPU servers can use the case as a reason to review supplier and reseller checks for diversion risks, including shipments routed through third countries.
- The allegations involve DOJ, Commerce Department export enforcement, DCIS, and FBI investigations, highlighting potential enforcement exposure across the controlled-equipment supply chain.

**Jurisdictions:** federal
**Industries:** Information Technology
**Topics:** Regulatory Compliance
**Published:** October 02, 2026

### Government Entities
- U.S. Department of Justice (DOJ)
- U.S. Department of Commerce (DOC)
- Defense Criminal Investigative Service (DCIS)
- Federal Bureau of Investigation (FBI)
- Commerce Department export enforcement office

### Vendors
- Earthmade Computer Inc. (Alleged purchaser and supplier of GPU servers in the export-control scheme)

### Sources
- [U.S. Arrests Tech Company Owner for Allegedly Smuggling $300 Million in GPU Servers to China](https://cybersecuritynews.com/u-s-arrests-tech-company-owner) - CyberSecurityNews