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A former senior adviser to the Federal Reserve Board of Governors was arrested Friday on charges of economic espionage, with prosecutors alleging he stole sensitive financial data for the Chinese government.

Federal Charges and Allegations

John Rogers, who served as a senior adviser in the Federal Reserve’s Division of International Finance from 2010 to 2021, is facing charges in a D.C. federal court for conspiracy to commit economic espionage and making false statements. Prosecutors claim Rogers shared confidential information that could be used to manipulate financial markets.

"This defendant leveraged his position within the Federal Reserve to pass sensitive financial information to the Chinese government, a designated foreign adversary," U.S. Attorney Edward Martin Jr. said in a statement.

A federal judge has ordered Rogers to remain in custody until a detention hearing scheduled for Tuesday.

Secret Communications with Chinese Intelligence

The indictment alleges that Rogers worked with two individuals linked to a Chinese intelligence agency who posed as graduate students from Shandong University of Finance and Economics.

Prosecutors say Rogers began corresponding with one of the co-conspirators in 2013 via an email account set up under the person's cover identity. In 2017, he allegedly sought assistance in arranging airfare and a hotel stay in Beijing, with his contact responding, "no problem … just book any hotel you like in Beijing and let me know the price."

By May 2018, the relationship had evolved into direct intelligence gathering. Using an encrypted messaging service, Rogers asked about an "essay" the co-conspirator was required to write. The next day, the alleged Chinese agent sent Rogers a photo containing questions about Federal Reserve policies toward China. Rogers, in turn, solicited information from colleagues about U.S.-China trade issues, exchange rates, and the equilibrium value of China’s currency, the RMB. He later forwarded internal Federal Reserve documents to his personal email before sharing them with his contact, prosecutors allege.

Attempts to Conceal Espionage

According to the indictment, Rogers and his contact strategized in September 2018 about making their meetings appear legitimate to Federal Reserve officials. They discussed presenting the meetings as academic coursework, referencing "homework" assignments and a "syllabus."

In October 2018, Rogers allegedly requested confidential trade policy documents from a Federal Reserve economist. Despite being marked "INTERNAL FR/OFFICIAL USE//FRSONLY," the files were emailed to Rogers' personal account and later forwarded to the co-conspirator.