MCLC: Heywood suspected of being a spy

[Denton, Kirk]

MCLC LIST
From: kirk (denton.2 at osu.edu)
Subject: Heywood suspected of being a spy
***********************************************************

Source: NYT (11/6/12):
http://www.nytimes.com/2012/11/07/world/asia/chinas-security-ministry-suspe
cted-neil-heywood-british-businessman-was-a-spy.html

China’s Security Ministry Suspected Slain Businessman Was a Spy
By JONATHAN ANSFIELD and IAN JOHNSON

BEIJING — China’s external intelligence agency, the Ministry of State
Security, suspected a British businessman of being a spy before his murder
last year at the hands of a senior politician’s wife, according to people
with close ties to Chinese state security.

The murder is still widely seen as stemming from a financial dispute
between the businessman, Neil Heywood, and Gu Kailai, whose husband, Bo
Xilai, was dismissed from the Politburo as the affair erupted into one of
the biggest scandals to affect China’s political leadership in decades.
But the intelligence links add another enticing subplot to Mr. Heywood’s
death.

On Tuesday, The Wall Street Journal reported that Mr. Heywood had regular
meetings with an operative of the British intelligence agency MI6. The
newspaper said he was an unpaid informant, providing information on the Bo
family’s private affairs.

The British government declined to comment on The Journal’s report, with a
spokesman referring reporters to a statement made earlier this year that
Mr. Heywood was not a government employee “in any capacity.”

The Ministry of State Security had suspected Mr. Heywood of being a
British spy, the people close to the ministry said, although they did not
confirm that he had worked informally for MI6.

A scholar with high-level ties to Mr. Bo and the ministry said Mr. Bo had
known of the ministry’s official suspicions before Mr. Heywood’s death, as
had other leaders.

Separately, a political analyst with high-level party ties said Mr.
Heywood was on the ministry’s watch list, possibly for years, as a result
of his relationship with the Bo family.

“When a minister-level cadre has such relations with a foreigner, they’ll
definitely be watched,” the analyst said.

The suspicions may help explain the growing paranoia in the entourage of
Mr. Bo’s wife. Mr. Heywood had business ties with Ms. Gu and had helped
the couple’s son apply to British schools. Toward the end, however, their
relationship chilled. Mr. Heywood told friends that someone in Mr. Bo’s
inner circle had grown suspicious of his ties with Mr. Bo, and Ms. Gu
insisted that her friends swear loyalty to her.

It is unclear, however, whether Ms. Gu suspected Mr. Heywood of spying on
her family. A lawyer for Ms. Gu’s family said it was never mentioned to
him that she thought Mr. Heywood was a spy.

“I have never heard from Gu’s family or anyone else that Heywood had any
connection with intelligence departments, as a source or a spy,” the
lawyer, Li Xiaolin, said in an interview. “Nothing that links Heywood to
intelligence work was presented at Gu’s trial either.”

Adding to questions about the importance of espionage in the case, friends
said Mr. Heywood had become estranged from the powerful family in the year
before his death in November 2011. He also openly cultivated the image of
an inside operator, driving around Beijing in a sports car with “007”
license plates. Mr. Heywood had done work for the private intelligence
firm Hakluyt, founded by former officials with MI6, helping prepare
due-diligence reports on Chinese companies for investors. That association
had given rise to longstanding speculation that he was a spy.

Reports have varied as to the motives behind the murder of Mr. Heywood.
Ms. Gu contended that she had been trying to protect her son. According to
the testimony presented at her trial, Ms. Gu claimed that Mr. Heywood had
threatened him over a bad real estate deal.

At her trial, according to state media reports, Ms. Gu admitted poisoning
Mr. Heywood after he came to visit her in Chongqing, the city-state that
her husband ruled. Mr. Heywood had vomited after drinking too much and
requested water. Ms. Gu admitted pouring potassium cyanide down his throat.

Initially, the cause of Mr. Heywood’s death was listed as a heart attack;
a murder investigation began after Mr. Bo’s police chief fled to the
American Consulate in a nearby city early this year. He told American
diplomats of his suspicions and provided evidence of Ms. Gu’s involvement
in Mr. Heywood’s death. They informed the British authorities.

When the matter came to light on Chinese Web sites and in Western media
reports, Mr. Bo’s opponents within the party hierarchy were able to force
his dismissal from his posts and engineer his ouster from the Politburo.
He had been considered a serious contender to win a position on the
top-level Standing Committee at this week’s party congress.

He was recently expelled from the party and faces criminal prosecution on
charges of corruption, abuse of power and tampering with the investigation
into Mr. Heywood’s death. Ms. Gu and the police chief, Wang Lijun, have
been sentenced to prison.
Mia Li contributed research. Ravi Somaiya contributed reporting from
London.