Trump Says FBI Looking Into Nvidia CEO Huang Affair

US President Donald Trump has said the FBI is investigating the relationship between Nvidia chief executive Jensen Huang and a woman US intelligence officials believe was a Chinese spy, the BBC reported.

Trump said he spoke to Huang by phone on Monday and asked whether he knew the woman, Alice Huang, was a spy. According to Trump, the Nvidia boss replied that he had no idea, adding: “I really believe him.” At a later White House briefing, Trump said he knew the FBI was looking into the matter but gave no details on the probe or when it began. The FBI declined to comment to the BBC.

Trump described Huang as an “honourable guy” and said he was confident he would be in good shape after the investigations.

Market and legal fallout

The revelations wiped about $250 billion off Nvidia’s value on Monday as its shares fell more than 4%, the BBC said. Fox News, cited by the ANI news agency, put the drop at 4.3%, or about $190 billion in market value.

Also on Monday, Huang and Nvidia were hit with a proposed class action lawsuit in California accusing them of defrauding shareholders by concealing his ties to the suspected spy. ANI, citing Fox News, said the suit was filed in federal court in San Jose. The BBC said it had contacted Nvidia for comment on the case.

Nvidia has commissioned an independent investigation and said it had no reason to believe company secrets or national security had been compromised.

Who is Alice Huang

Alice Huang, also known as Huang Le, was managing director of Singapore-based Megaspeed, which has had dealings with Nvidia, according to the BBC. She is not related to Jensen Huang. The New York Times reported that Secretary of State Marco Rubio sent a memo to senior officials in the spring warning that the Nvidia chief was in a close relationship with a Chinese spy.

China’s foreign ministry rejected the allegations. Spokesperson Guo Jiakun called the reports groundless speculation and a smear against China, ANI reported.

Huang has admitted being “unfaithful” to his wife and apologised to his family. He said he was committed to protecting Nvidia and supporting US national security, and would cooperate with the company’s investigation.

What’s next in the FBI probe

Huang has been asked to attend a joint closed-door briefing for several congressional committees next week, though it is unclear whether he will appear, the BBC reported. Trump said he was sure Chinese leader Xi Jinping would raise the matter when the two next meet.

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