I'm John Batchew with my good colleague David Shed, long-time member of the national security team guarding the nation's secrets and also looking very carefully at where we're headed in terms of security for the 21st century.

David is no longer in government, but he is of government because he reflects on the history

of how we got into a situation where we're faced with the threats, routine threats by

the People's Republic of China, economically, kinetically, and in terms of our future. However, all of it didn't happen

overnight. The enemy is not that good. They developed this slowly under Huzintows reign

10 years from 2002 to 2012. And there's one place that we need to go that...

It sounds romantic when you first hear it, just like KGB.

Romantic, right?

You know, the first director is the second director.

Well, the Ministry of State Security is described by David as a nondescript building,

but there is the driver.

There are the tools working with the economic interests of the United States

of the World Trade Organization.

Not right away.

They developed this slowly.

First of all, they were genius at being rip-off artists.

I'm told it in Shanghai is an underground fair.

Everything in it is luxury goods from all over the world, Paris, New York, everything high-end.

It's all stolen, fraudulent.

Everything.

The Chinese people got used to only buying frauds, rip-offs, not the real thing.

Well, that turned into a plan.

...