On September 29, 2020, two former employees of company NPIC, a manufacturer of pet treats, were...

On September 29, 2020, two former employees of company NPIC, a manufacturer of pet treats, were sentenced to 6 months of imprisonment and 36 months of probation for theft of trade secrets. Zhu was the former R&D head of department NPIC employee for 10 years before he was recruited for a competitor company, Gambol Pet Group CO, Ltd. Another employee Lei, worked with Zhu to illegally download all of R&D process data prior to leaving the company. They used this information for their work at Gambol by saving it on electronic storage devices and to the computers at the competitor company. This was investigated by the Federal Bureau of Investigation and was prosecuted by Andrew Stover the assistant U.S. attorney. Civil litigation is ongoing between the two companies.

please put the summary and your own opinion based on the above information.

Expert Solution

Two former employees of NPIC, Jie Zhu and Pinghua Lei, pleaded guilty and were convicted for theft of trade secrets in the U.S. District Court for the Eastern District of Texas on August 19, 2020. Zhu and Lei were both sentenced to 6 months of imprisonment and 36 months of probation thereafter.Both Zhu and Lei, a R&D process engineer at NPIC

for several years, illegally downloaded all the R&D and Process data from NPIC's server without authorization prior to their departure from NPIC. The data downloaded by Zhu and Lei was

subsequently transferred to numerous electronic storage devices, and to the computers used by Zhu and Lei to perform work for Gambol Pet USA, Inc. Zhu and Lei both admitted to using NPIC's R&D and Process data in the course of their work as the Chief Operating and Technology Officer (Zhu) and

R&D Manager and Senior Scientist (Lei) at Gambol

Pet USA, Inc. This case was investigated by the Federal Bureau of Investigation and was prosecuted by Andrew Stover, Assistant U.S. Attorney.

Civil litigation is ongoing between NPIC and Gambol Pet Group Co, Ltd, Gambol Pet USA, Inc. along with the Chinese-based CEO of Gambol Pet USA, Inc. and the R&D Director for Gambol Pet Group Co, Ltd. In the civil litigation, NPIC asserted claims of misappropriation of trade secrets against the Gambol defendants stemming from the actions of Zhu and Lei and the Gambol defendants as their alleged co-conspirators.

ekkarill92 answered 2 years ago

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