The government is facing renewed calls to label China a threat after the arrest of a parliamentary researcher on suspicion of spying for the superpower.
Deputy Prime Minister Oliver Dowden was delivering a statement on the matter in the House of Commons.
Earlier in the afternoon, Speaker Sir Lindsay Hoyle warned MPs against going into details on the matter – or naming the suspect who was arrested – during the debate.
A slew of Conservative MPs – some of them sanctioned by China – shared their displeasure about the fact they were not told about the arrest of the researcher when it happened.
They, alongside MPs on opposition benches, called on the government to label China a threat to the UK.
Prime Minister Rishi Sunak also spoke in the Commons after meeting with China’s premier Li Qiang at the G20 over the weekend.
Mr Sunak said: “The sanctity of this place must be protected and the right of members to speak their minds without fear or sanction must be maintained.
“We will defend our democracy and our security – so I was emphatic with premier Li that actions which seek to undermine British democracy are completely unacceptable and will never be tolerated.”
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Image: Oliver Dowden said the government had been ‘clear-eyed’ about China
Mr Dowden repeated the government’s position laid out in the integrated review refresh earlier this year, that China was a “systemic challenge” to the UK.
Liz Truss, the former foreign secretary and former prime minister, labelled China as the “largest threat, both to the world and to the United Kingdom, for freedom and democracy.”
Sir Iain Duncan Smith, another ex-leader of the Conservative Party, said: “It’s appalling news that we have a potential cell operating in and around Westminster, an espionage cell, and I as a sanctioned individual alongside many of my colleagues are particularly perturbed by this particular news.”
He added: “The problem lies in the mess we’ve got into over what we define China as in respect to us. Are they a threat or are they not? If they are a threat, why don’t we call them a threat and take the relative action that is necessary to deal with them on that basis and sanction some people?”
Conservative MPs Tim Loughton, Theresa Villiers and Sir Bob Seely also called for the government to take more action.
Quite a lot, according to several Conservative MPs who got up to call for a more robust approach to China in the Commons this afternoon.
Deputy Prime Minister Oliver Dowden did say the government was “clear about the threat that China poses” but the core position still appears to be that Beijing represents a “systemic challenge”.
That’s not hard enough for many on the backbenches who want China officially designated as a threat, sanctions imposed on individuals and the country barred from an artificial intelligence conference being held in the UK this autumn.
Such a change seems unlikely for now.
The Foreign Office has set out a clear policy of cautious engagement with Beijing, on the grounds of economic necessity and in the search for global solutions to problems like climate change and pandemics.
In a Commons session where any talk of the arrested individual was quickly shut down by the Speaker, one specific question connected to the case did come up.
Did Foreign Secretary James Cleverly raise the alleged Chinese spy with Beijing when he visited two weeks ago?
No, came the answer from Mr Dowden, who said while ministers regularly raise the broader issue of interference – they wouldn’t talk about specific cases, especially ones currently subject to a police investigation.
Mr Dowden conceded China was the “number one state-based threat” to the UK’s economic security.
The minister added the UK government had been “clear-eyed” about the threats China poses towards the UK, and was taking action to tackle them – such as banning Huawei from UK infrastructure and banning TikTok on government phones.
Sir Keir Starmer, who responded to Mr Sunak’s statement, pushed the government on whether Foreign Secretary James Cleverly knew about the arrests before he became the first foreign secretary to visit China in five years.
The visit took place in August, five months after the arrest took place.
Mr Sunak said: “I am sure he will appreciate that as there is an ongoing investigation, as you have also said Mr Speaker, I am limited in what I can say specifically.
“But I have been emphatically clear in our engagement with China that we will not accept any interference in our democracy and parliamentary system.”
Sir Iain asked Mr Dowden a similar question earlier, and was told by the minister that a running commentary could not be provided.
In a statement released by his lawyers, the arrested man said: “I feel forced to respond to the media accusations that I am a ‘Chinese spy’. It is wrong that I should be obliged to make any form of public comment on the misreporting that has taken place.
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“However, given what has been reported, it is vital that it is known that I am completely innocent. I have spent my career to date trying to educate others about the challenge and threats presented by the Chinese Communist Party.
“To do what has been claimed against me in extravagant news reporting would be against everything I stand for.”
There is a certain steel about a mother who has lost a child.
It’s hard to put your finger on, but perhaps after going through hell you re-emerge made of a different material to the rest of us.
Figen Murray has been utterly relentless after her son Martyn Hett was killed in the Manchester Arena terror attack at an Ariana Grande concert in May 2017.
When she worried that politicians’ support was wavering last year, she walked 200 miles from the place Martyn died to Downing Street – and needed a hip replacement after.
And on Thursday, Martyn’s Law – rules to better train staff and safeguard venues against terrorists – was passed by royal assent, finally becoming law.
I sat down with Figen just before she went into Number 10 Downing Street to meet the prime minister, and she told me after six years of campaigning, the moment “feels surreal”.
She continued: “The Manchester attack was a wake up call. But it also made question, who are these people who do these things? Why are they doing it? What are governments doing about it? And I realised the only way I could get the answers was to educate myself – so I did a masters in counter-terrorism.
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“I’ve recognised that people were radicalised. When you were a newborn baby, you were innocent but somebody poisoned your mind.
“There are people who try to groom young people into their ideology, and I want them to recognise where these people operate, the tricks they use, the things they say and how they can recognise themselves or others in the process of being radicalised and how to get out.”
Image: Martyn Hett
She also supports the initiative to show the Netflix drama Adolescence in schools: “I think it’s absolutely important that young people see that programme and they learn more about it. It’s a good thing and I’m hoping they’re taking it further.”
There will be a debate – certainly – about the financial impact the legislation will have on venues, but the legislation has been welcomed by safety campaigners.
Emma Kay, co-founder of personal safety app WalkSafe which geo-fences events and stadiums, said: “The passing of Martyn’s Law is hugely progressive move that will keep young people safe on nights out.
“Our research has shown that 63% of women prefer to visit venues with safety initiatives in place. People want safer experiences and to know their friends and loved ones arrive home safely.”
When I sat down with Figen, I asked her how Martyn would feel today.
“Knowing Martyn, the party animal he was, he’d throw the biggest party ever,” she said.
“He was full of life and lived life not just at 100 miles an hour, but 200 miles an hour.
“You would definitely know when he came through the door, and he had an incredible ability to make everyone feel that they are the most important person in that moment in his life. And I really miss that.”
You can watch Sophy Ridge’s full interview with Figen Murray on the Politics Hub at 1900 on Sky News.
Lawmakers in the US Senate Banking Committee voted to advance the nomination of Paul Atkins to be a member of Securities and Exchange Commission (SEC), paving the way for a full floor vote in the chamber.
In an April 3 executive session of the banking committee, lawmakers voted 13-11 for Atkins to serve two consecutive terms as an SEC commissioner, taking over former Chair Gary Gensler’s term and another term ending in 2031.
Atkins’ nomination will soon go to the Republican-controlled Senate for a full floor vote, where many experts suggest he is likely to be confirmed.
Before calling for a vote, committee chair Tim Scott said Atkins would bring “much-needed clarity for digital assets.” Ranking member Elizabeth Warren reiterated earlier concerns about Trump’s SEC pick helping “billionaire scammers” like former FTX CEO Sam Bankman-Fried and Tesla CEO Elon Musk “actively trying to destroy” federal agencies.
This is a developing story, and further information will be added as it becomes available.
The US Treasury Department sanctioned eight cryptocurrency wallet addresses linked to Russian crypto exchange Garantex and the Houthis.
The United States Office of Foreign Assets Control (OFAC) sanctioned eight crypto addresses that data from blockchain forensic firms Chainalysis and TRM Labs had linked to the organizations. Two are deposit addresses at major crypto platforms, while the other six are privately controlled.
Visualization of transaction flow related to OFAC sanctions. Source: Chainalysis
The addresses in question reportedly moved nearly $1 billion worth of funds linked to sanctioned entities. Most of the transactions funded Houthi operations in Yemen and the Red Sea region.
Slava Demchuk, a crypto-focused money laundering specialist and United Nations Office on Drugs and Crime consultant told Cointelegraph that “the inclusion of Houthi-linked wallets reflects a broader recognition of crypto’s role in geopolitical conflicts and terrorism financing.” He added:
“The implications are far-reaching — compliance frameworks must adapt swiftly, attribution efforts will intensify, and decentralized platforms may face increased scrutiny.“
Demchuk highlighted that the situation reshapes the regulatory landscape. According to him, crypto “is now firmly within the scope of international security.
Who are the Houthis?
The Houthis, also known as Ansar Allah, are a Yemeni political and armed movement that emerged from the Zaidi Shia community. Originating as a revivalist and reformist group, they later became a major force in Yemen’s ongoing conflict.
In recent years, the Houthis have engaged in attacks against both military and civilian vessels in the Red Sea with missiles and drones. In January, US President Donald Trump designated the group as a foreign terrorist organization.
The announcement noted that “the Houthis’ activities threaten the security of American civilians and personnel in the Middle East, the safety of our closest regional partners, and the stability of global maritime trade.” The group was recently struck by a US bombing campaign.
Garantex is a Russian crypto exchange that was sanctioned and shut down in early March after purportedly helping money-laundering efforts. At the time, Tether — the leading stablecoin operator and issuer of USDt — froze $27 million in USDt on the platform, forcing it to halt operations.
In mid-March, officials with India’s Central Bureau of Investigation announced the arrest of Lithuanian national Aleksej Bešciokov, who was alleged to have operated the cryptocurrency exchange Garantex.
The arrest of the alleged Garantex founder was based on US charges of conspiracy to commit money laundering, conspiracy to operate an unlicensed money-transmitting business and conspiracy to violate the International Emergency Economic Powers Act.