Federal prosecutors say Greg Lui, the 38-year-old owner of Earthmade Computer Inc. in City of Industry, California, helped move more than $300 million worth of export-controlled high-end computer servers containing U.S.-made GPUs to China without required licenses. The alleged route ran through Malaysia and Singapore and involved false end-user and destination paperwork, according to a U.S. Department of Justice indictment announced October 1, 2026.
The Justice Department announcement does not identify Nvidia or a specific server or GPU model. Nvidia appears in the assigned headline, but that manufacturer attribution is not established by the reviewed federal release.
What prosecutors accuse Greg Lui of doing
The indictment alleges that Lui and co-conspirators used Earthmade to purchase high-end servers containing export-controlled GPUs from U.S.-based manufacturers. Prosecutors say the servers were then exported without the licenses required by the U.S. Commerce Department under the Export Control Reform Act and Export Administration Regulations.
According to the DOJ summary, the alleged activity occurred from 2023 through 2024. The release attributes every description of the conduct to prosecutors and the indictment; it is not a court finding.
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The alleged third-country route
Prosecutors say shipments left the United States for countries including Malaysia and Singapore before being re-exported to China. The indictment allegedly describes false paperwork that misrepresented the permitted end users and final destinations to U.S. manufacturers.
First Assistant U.S. Attorney Bill Essayli described the allegation this way: “This defendant allegedly used false paperwork and shipments through third countries to smuggle more than $300 million in export-controlled computer servers to China.”
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The money and shipment figures
- The alleged value of the export-controlled servers was more than $300 million, according to the DOJ.
- From January through October 2024, Earthmade allegedly received more than $176 million from two Malaysia-based shipment companies. That figure is DOJ’s summary of the indictment, not an adjudicated finding.
- In one January 2024 transaction described by prosecutors, Lui allegedly placed an order for 27 servers costing approximately $7,614,000. DOJ says the equipment went from Los Angeles to Kuala Lumpur, after which a co-conspirator allegedly told a Malaysian official that the servers had been transshipped to a China-based buyer.
What charges were filed?
The DOJ says the indictment returned September 29, 2026, contains three counts. The maximum terms below are statutory maximums quoted by the department, not a prediction of what sentence Lui would receive.
| Charge | What the DOJ says it involves | Maximum term stated by DOJ |
|---|---|---|
| Conspiracy to violate the Export Control Reform Act and Export Administration Regulations | An alleged agreement to export controlled servers without required licenses | Up to 20 years |
| Outbound smuggling | An alleged effort to move the controlled equipment out of the United States unlawfully | Up to 10 years |
| Conspiracy to commit money laundering | An alleged agreement to conduct financial transactions tied to the scheme | Up to 20 years |
If convicted on all three counts, the maximum terms listed by DOJ total 50 years. Actual sentencing would depend on the convictions, federal sentencing rules, the judge’s rulings and other case-specific factors; the release does not state that any particular sentence is likely.
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Timeline of the case
| Date or period | Event described by the Justice Department |
|---|---|
| 2023–2024 | Period in which prosecutors say the purchasing and export scheme occurred. |
| January 2024 | DOJ describes an alleged order for 27 servers worth approximately $7.614 million, shipped from Los Angeles to Kuala Lumpur. |
| January–October 2024 | Earthmade allegedly received more than $176 million from two Malaysia-based shipment companies. |
| September 29, 2026 | The indictment was returned, according to DOJ. |
| October 1, 2026 | DOJ announced Lui’s arrest and said he was expected to make an initial appearance and be arraigned that afternoon. |
The reviewed announcement does not establish what happened at that expected appearance or provide a later docket update.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Does the case prove Nvidia servers were smuggled?
No. The assigned headline names Nvidia, but the DOJ announcement reviewed for this report does not name Nvidia, another specific manufacturer or an exact GPU or server model. It describes “high-end computer servers containing GPUs manufactured by companies that specialize in SI computing.” That wording supports reporting about controlled servers and GPUs, not a confirmed Nvidia model or shipment.
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Has a court found Greg Lui guilty?
No. An arrest and indictment initiate a criminal case; they do not establish that the alleged conduct occurred. The DOJ’s notice states: “An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.”
Accordingly, the allegations about false paperwork, third-country routing, payments and the value of the equipment should be understood as claims made by prosecutors unless and until proved in court. The reviewed release contains no defense statement and does not report a conviction, plea or later court ruling.
Why the alleged route matters to export controls
Export controls can continue to apply when controlled U.S.-origin technology is sent first to an intermediary country and then onward to a restricted destination. In this case, prosecutors allege that Malaysia and Singapore were used as transit points and that paperwork presented different end users or destinations to U.S. manufacturers. Those allegations, if proven, would explain why the indictment includes both export-control and smuggling counts.
The case also separates two figures that are easy to conflate: more than $300 million is the alleged value of servers moved in the scheme, while more than $176 million is the amount DOJ says Earthmade received from two Malaysia-based shipment companies during a specified period.
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