Federal Bureau of Investigation (FBI) and Committee on Foreign Investment in the United States (CFIUS) are separately investigating accusations against a Chinese firm that had invested in ICON Aircraft Inc., a private company from California, The Wall Street Journal reported on Tuesday, citing documents and unnamed sources familiar with the matter.
Shanghai Pudong Science & Technology Investment Co. Ltd. is reportedly supported by the Chinese government and owns a nearly 47% stake in the light-sport aircraft manufacturer from the US. It has been accused by a group of American shareholders of transferring technology that could end up being used for military purposes, according to the report.
Notably, the CFIUS has the power to make recommendations to US presidents to block foreign investments that cause national security concerns.
