Lawmakers Probe Alleged China Abuse of US Programs for Startups

The Republican leaders of three US House committees have begun an investigation into what they called China’s “systematic exploitation” of two federal funding programs that the Pentagon and other agencies use to tap innovation by American startups and small businesses.

“Due to inadequate oversight and weak due diligence measures, it appears that China has become one of the largest beneficiaries of these programs — turning what should be a pillar of American innovation into a tool for the CCP’s technological and military advancement,” according to a letter from the committee leaders, referring to the Chinese Communist Party.