Overview
- Federal prosecutors unsealed a Manhattan indictment naming Yih‑Shyan “Wally” Liaw and two others in a scheme to divert U.S.-assembled servers containing restricted Nvidia GPUs to China.
- Liaw was arrested and released on an unsecured bond after an initial court appearance; contractor Ting‑Wei “Willy” Sun remains in custody with a detention hearing set for Monday, and Ruei‑Tsang “Steven” Chang is reported as a fugitive.
- Prosecutors cite roughly $2.5 billion in server purchases tied to a Southeast Asian intermediary since 2024, including about $510 million shipped to China over a three‑week span last spring.
- The indictment describes fake paperwork, repackaging into unmarked boxes, staged inspections with dummy servers, and serial‑number relabeling to evade audits and export checks.
- Supermicro says it is not charged and is cooperating, has placed implicated staff on leave, cut ties with the contractor, accepted Liaw’s board resignation, named DeAnna Luna acting chief compliance officer, and saw its shares fall roughly 28%–33% as investors reassessed risk.