Former Aid to Governors Charged in COVID Kickback Scheme Involving Chinese Vendors

A former senior advisor to two New York governors and her husband have been indicted on multiple federal charges related to a significant COVID-era fraud scheme. The allegations include millions of dollars in kickbacks received during a scheme to secure pandemic supplies.

Linda Sun, aged 41, allegedly facilitated contracts between the state and two Chinese companies—one run by her husband’s business partner and another by her second cousin—without disclosing personal ties. Prosecutors contend she manipulated procurement documents, falsely claiming that her relative’s company’s masks were “the gold standard” and that it was recommended by Chinese officials. She also reportedly amended official documents to favor her relative’s firm.

According to authorities, the cousin’s company paid $2.3 million in kickbacks to Sun and her husband, Chris Hu, who is accused of maintaining a spreadsheet tracking expected illicit profits, totaling approximately $8 million. The scheme allegedly exploited the urgent need for protective equipment during the pandemic’s early days.

Prosecutors allege Sun used her influence to help her husband’s company by falsely claiming it was endorsed by the Chinese Chamber of Commerce. The couple’s personal computer reportedly contained a spreadsheet estimating their combined illicit earnings from the scheme.

Sun, who worked on pandemic response teams, initially denied the charges, asserting her innocence. Her lawyer characterized the allegations as unfounded and lacking evidence. The federal government accuses the couple of honest services wire fraud, conspiracy, bribery, and tax evasion for failing to report corrupt payments.

Hu was also charged with money laundering, allegedly opening bank accounts under a relative’s name for personal use. The indictment highlights efforts to divert COVID relief funds and conceal the illicit earnings from tax authorities.

The couple was arrested in September, and their upcoming arraignment is scheduled for Monday. Sun was reportedly terminated from her position in 2023 following initial misconduct allegations.