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RTX 5090 and RTX 4090 GPUs named in alleged $300 million NVIDIA smuggling scheme

US prosecutors accuse a California tech CEO of smuggling over $300 million in NVIDIA servers to China, using false paperwork and illegal channels.

RTX 5090 and RTX 4090 GPUs named in alleged $300 million NVIDIA smuggling scheme
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TL;DR: A California company owner faces federal charges over an alleged scheme to route more than $300 million in NVIDIA GPU servers to China using false paperwork and shipments through Malaysia and Singapore. The indictment names A100, H100, RTX 4090, and RTX 5090 products; the charges carry separate maximum prison terms of up to 20, 10, and 20 years.
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A California technology company owner has been arrested on federal charges accusing him of being involved in smuggling more than $300 million worth of servers containing NVIDIA GPUs to China, which is a violation of the strict US export rules around powerful AI-capable GPUs.

RTX 5090 and RTX 4090 GPUs named in alleged $300 million NVIDIA smuggling scheme 3

Greg Lui, 38, also known as Yiu Kong Lui, owns Earthmade Computer Inc., based in City of Industry, California. The US Department of Justice announced his arrest on October 1 following a three-count indictment, and provided details via an official press release by the Office of Public Affairs.

Prosecutors allege Lui and his co-conspirators purchased restricted servers from American manufacturers using paperwork that falsely identified permissible overseas customers as the final recipients. The equipment was allegedly shipped through Malaysia and Singapore before being redirected to China without the required US export licenses.

The indictment names NVIDIA A100 and H100 GPUs, alongside GeForce RTX 4090 and RTX 5090 hardware, among the products ordered under the alleged scheme. It describes a conspiracy beginning around October 2023 and continuing until at least August 12, 2026.

One transaction cited by prosecutors involved 27 servers purchased for approximately US$7.6 million in January 2024. The equipment was shipped to Kuala Lumpur, with a co-conspirator allegedly later confirming it had been forwarded to a Chinese buyer. Earthmade also allegedly received more than US$176 million from two Malaysian shipping companies during 2024.

Lui faces charges of conspiracy to violate export controls, outbound smuggling, and conspiracy to commit money laundering. The DOJ lists respective maximum prison terms of 20, 10, and 20 years if convicted, rather than a single 20-year maximum.

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From TweakTown's coverage of this story.

What US export licenses are required for NVIDIA A100 and H100 servers shipped to China?

Do US export controls treat GeForce RTX 4090 and RTX 5090 differently from NVIDIA A100 and H100 GPUs?

The indictment names GeForce RTX 4090 and RTX 5090 hardware alongside NVIDIA A100 and H100 GPUs in the alleged scheme, but it does not explain whether US export controls treat those models differently. Prosecutors allege the servers were redirected to China without the required export licenses.

How have US restrictions on NVIDIA GPU exports to China changed since controls on the A100 and H100?

How does the money-laundering conspiracy charge connect to Earthmade Computer's payments from Malaysian shipping companies?

Want something else? Ask TweakBot.

"Preventing the illegal export of controlled technology is critical to protecting our national security. These technologies provide core advantages to U.S. forces, and ensuring they remain safeguarded prevents adversaries from exploiting them. Today's action underscores our commitment to protecting advanced defense capabilities and enforcing the laws that keep them out of the hands of those who may threaten the United States," said Special Agent in Charge John E. Helsing of the Department of Defense Office of Inspector General Defense Criminal Investigative Service (DCIS) Western Field Office

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About the author

Tech and Science Editor

Jak joined TweakTown in 2017 and has since reviewed 100s of new tech products and kept us informed daily on the latest science, space, and artificial intelligence news. Jak's love for science, space, and technology, and, more specifically, PC gaming, began at 10 years old. It was the day his dad showed him how to play Age of Empires on an old Compaq PC. Ever since that day, Jak fell in love with games and the progression of the technology industry in all its forms.

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