Intel Files Lawsuit: Ex-Engineer Allegedly Steals 18,000 ‘Top Secret’ Files, Vanishes After Layoff

A former Intel software engineer is now at the center of a high-stakes lawsuit, accused of pilfering tens of thousands of sensitive company files, including data explicitly labeled “Intel Top Secret.” The ex-employee, identified as Jinfeng Luo, reportedly downloaded approximately 18,000 files before disappearing, prompting Intel to initiate legal action to reclaim its valuable intellectual property.

Allegations Surface: The Theft of Confidential Data

According to reports from The Mercury News, Jinfeng Luo, who joined Intel in 2014, received a termination notice on July 7th, marking the end of his employment later that month. Just days before his official departure, Luo allegedly embarked on a calculated scheme to siphon off confidential company assets.

Initially, about a week before his final day, Luo attempted to copy files from his company-issued laptop to an external storage device. However, Intel’s robust internal security measures successfully thwarted this first attempt. Undeterred, he reportedly tried again three days before his termination, this time successfully transferring data to a Network Attached Storage (NAS) device. For the remainder of his time at Intel, Luo is accused of systematically downloading as much information as possible, encompassing a vast array of proprietary company data.

Intel’s Pursuit: Detection, Outreach, and Legal Action

Intel’s internal systems quickly detected and flagged the unauthorized data transfers. Following the discovery, the tech giant spent over three months attempting to contact Luo regarding the significant data breach. Despite numerous phone calls, emails, and even formal letters sent via postal service, Luo reportedly failed to respond to any of Intel’s inquiries. This lack of communication ultimately compelled the company to file a lawsuit, seeking legal recourse to recover the stolen files and hold the individual accountable.

This incident unfolds against a backdrop of significant restructuring at Intel, which has seen approximately 35,000 jobs cut over the past couple of years. The company has been navigating a substantial financial crisis, first publicly acknowledged in late July and early August 2024. While the timing of Luo’s termination may align with these broader workforce reductions, the alleged wrongdoing came to light independently.

A Recurring Challenge: Past Cases of Data Theft

This isn’t an isolated incident for Intel. The company has previously pursued legal action against former employees for similar data theft offenses. In a notable past case, another former Intel engineer received a two-year probation sentence and a $34,000 fine for illegally copying information. This stolen data was then allegedly used to secure employment at Microsoft, with court proceedings even revealing that the software giant may have leveraged this information to its advantage during negotiations with Intel.

The Unseen Suspect: Demands for Damages and Data Return

Currently, Jinfeng Luo’s whereabouts remain unknown, and he has yet to respond to any of the serious allegations leveled against him. Intel is demanding substantial damages, specifically $250,000, in addition to the immediate return of all stolen information. The case highlights the critical importance of intellectual property protection within the competitive tech industry and the severe consequences for those accused of corporate espionage.