In a major case of corporate data theft, Intel Corporation has filed a $250,000 lawsuit against a former software engineer, Jinfeng Luo, accusing him of stealing thousands of confidential files — some marked “Intel Top Secret” — before leaving the company in July 2024. The case underscores growing concerns around insider threats amid ongoing layoffs across the tech industry.
Engineer Allegedly Downloaded 18,000 Files Before Exit
According to court filings reviewed by The Mercury News, Luo joined Intel in 2014 and was terminated on July 7, 2024, as part of Intel’s workforce reduction program. In the weeks leading up to his exit, Luo allegedly downloaded over 18,000 sensitive files from company systems to a network-attached storage (NAS) device.
Intel’s internal cybersecurity team discovered that Luo had first attempted to transfer data from his company-issued laptop to an external drive a week before his termination — an attempt that was blocked by Intel’s security protocols. However, three days before his final day, Luo reportedly bypassed safeguards and successfully copied the data, spending his remaining days at the company downloading classified engineering and software design information.
Intel Launches Legal Action to Retrieve Stolen Data
Intel discovered the unauthorized data transfer shortly after Luo’s departure and launched a months-long investigation. The company says it made multiple attempts to contact Luo via phone, email, and postal letters but received no response. With Luo still untraceable, Intel has now filed a civil lawsuit demanding the return of the stolen data and damages for the breach.
The company alleges that the stolen materials include critical design schematics, proprietary algorithms, and research documentation, which could cause “irreparable competitive harm” if exposed or sold.
Not the First Intel Insider Theft Case
This is not the first data theft scandal involving Intel employees. In a recent case, Varun Gupta, a former Intel product marketing engineer, was sentenced to two years’ probation and fined $34,000 for stealing trade secrets later used to land a job at Microsoft. Gupta was later terminated from Microsoft after the theft was discovered.
These incidents have heightened scrutiny of data protection and insider risk management in major tech firms, especially during large-scale layoffs when access privileges and employee oversight are more difficult to manage.
