Konnech withdraws defamation lawsuit against watchdog group that accused it of subverting US elections with Chinese communists
An election software company based in Michigan sued an election integrity watchdog group and its leaders last year for defamation over claims it had conspired with the Chinese Communist Party and subverted American elections.
After months of denial and litigation, the company has withdrawn it suit.
What's the background?
Konnech is an election software company based in Michigan. It licenses election software utilized by various municipalities and counties across America.
TheBlaze previously reported that Eugene Yu, the founder and CEO of Konnech, was arrested on Oct. 4 and charged on suspicion of data theft, having allegedly stored "critical information that [U.S. election] workers provided on servers in China."
Yu was also charged with grand theft by embezzlement of funds exceeding $2.6 million.
According to prosecutor Eric Neff, the crimes allegedly committed by Konnech amounted to the "largest data breach in United States history."
The Los Angeles District Attorney's Office dropped the charges in November, citing "potential bias" in the investigation.
The alleged bias was in reference to the nature of the complaint that first prompted prosecutors to take a hard look at Konnech. According to the DAO, the complainant was Gregg Phillips of the Texas-based voter integrity group True the Vote.
Konnech had sued Phillips and True the Vote's founder, Catherine Engelbrecht, for defamation prior to Yu's arrest.
Engelbrecht and Phillips claimed "Konnech, its founder, and employees are 'Chinese operatives,' who are spearheading a 'Red Chinese communist op against the United States,' that Konnech is tired to the Confucius Institute,' ... that Konnech obtained contracts with certain U.S. city and county voting districts after bribing public officials, and that the Chinese Communist Party is somehow controlling elections through Konnech," according to the Sept. 12 suit.
The Houston Chronicle reported that the lawsuit also responded to the accusation that Konnech had enabled Chinese state actors to access a server in China that contained sensitive personal information belonging to over 2 million U.S. election workers.
Konnech backs off
Lawyers for Konnech contacted True the Vote on April 18 indicating that the company was dropping its suit, then asked the federal judge who had replaced former presiding Judge Kenneth M. Hoyt to dismiss the case "without prejudice" the following day.
Uncover DC indicated that the withdrawal took place one day after the Engelbrecht and Phillips launched Open.Ink, an indexed repository of historical and national security documents for citizen journals, which includes a special collection of Konnech documents.
Following the withdrawal, True the Vote stated, "Konnech's litigation was meritless and intended to harass this organization. They have failed."
The group indicated it is now "evaluating our options with regard to holding them accountable for their unwarranted actions. We believe Konnech dismissed its lawsuit because it saw that it would lose."
Engelbrecht said in a statement, "Konnech's aggressive litigation to shut down all conversation about their activities resulted in the wrongful imprisonment of Gregg Phillips and me. It required the intervention of a higher court to release us. We are more dedicated than ever to our mission of fostering a public conversation about voting integrity."
Former presiding Judge Hoyt had both Engelbrecht and Phillips thrown in jail on Oct. 31 after they refused to give up the name of one of their confidential sources as the defamation case unfolded. Their source had reportedly provided them with proof that the scandal-plagued election software company Konnech had compromised and stored American data in China.
Hoyt ultimately recused himself from the case in February.
"This was an unfounded defamation and unlawful computer access case that saw us strip-searched and placed in solitary confinement," Phillips said. "While it is encouraging to see progress being made, the serious issues surrounding the spread of misinformation, improper detainment, and judicial misconduct cannot be overlooked. Our commitment to seeking justice remains steadfast."
Phillips recently told Steve Bannon on his "War Room" podcast that the Konnech saga is far from being over, stressing, "[Konnech] cannot get out of this. There is no way possible out of this."
He added that Yu, although let off the hook in November, may also be in for more trouble: "LA District Attorney and prosecutors have every single thing they need to put this guy in jail for the rest of his life — all of this election data and all of the private information [on American poll workers] are on Chinese servers," added Phillips.
\u201cVoting Integrity Prevails | Charges DROPPED Against @TrueTheVote After Judicial Misconduct \nhttps://t.co/wZp4YWmhfp\u201d— Grace Chong \ud83c\uddfa\ud83c\uddf8 (@Grace Chong \ud83c\uddfa\ud83c\uddf8) 1682096302
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Federal court orders release of imprisoned True the Vote leaders who claimed China-linked Konnech committed the crimes for which it has now been charged
On Monday, the U.S. Court of Appeals for the Fifth Circuit ordered the emergency release of the two leaders of the election integrity group True the Vote who were thrown in jail last month for refusing to give up the name of one of their confidential sources. Their source allegedly provided them with proof that the scandal-plagued election software company Konnech had compromised and stored American data in China.
The newly liberated duo indicated that they will "continue to protect and defend those who do the vital work of election integrity, and ... will make sure that their findings become a matter of public record."
Sued
Konnech is an election software company based in Michigan. It licenses election software still utilized by various municipalities and counties across America.
Catherine Engelbrecht, the founder of True the Vote, and Gregg Phillips, a board member, claimed that Konnech was "owned by the Chinese Communist Party" and involved in the "subversion of our elections."
Eugene Yu, the founder and CEO of Konnech, was arrested on Oct. 4 and charged on suspicion of data theft, having allegedly stored "critical information that [US election] workers provided on servers in China."
Yu was also charged with grand theft by embezzlement of funds exceeding $2.6 million.
According to prosecutor Eric Neff, the crimes allegedly committed by Konnech amount to the "largest data breach in United States history."
In response to Engelbrecht and Phillips' claims that Konnech had done what it has now been charged with doing, the Michigan-based company filed a defamation lawsuit against True the Vote on Sept. 12, suggesting that the duo's accusations of wrongdoing were damaging.
In the subsequent proceedings, Konnech demanded that the True the Vote leaders provide the names of anyone who may have been involved in their efforts to expose the company for its alleged malfeasance.
Konnech successfully obtained a restraining order to that effect, which Judge Hoyt found the duo in contempt of on Oct. 27.
After being found in contempt, Phillips wrote on Truth Social, "Doing the right thing isn't always easy but it's always right. We were held in contempt of court because we refused to burn a confidential informant or our researchers. We go to jail on Monday unless we comply."
In an Oct. 28 post, Phillips complimented Engelbrecht, writing that despite being ridiculed by Konnech's lawyers, "She answered with confidence and pride in her Country. She didn't buckle. She stood against the abuse and the oppressors. I'm so proud to be her friend, her colleague, and her brother in Christ."
The True the Vote account posted on the eve of the duo's arrest that if Engelbrecht and Phillips were ultimately arrested, "We won't be gone forever."
Imprisoned
Federal Judge Kenneth M. Hoyt had Engelbrecht and Phillips imprisoned on Oct. 31 after both election integrity activists followed through on their refusal the previous week to give up the name of an individual they allege is a confidential FBI informant.
The duo was marched out of court by U.S. Marshals.
Engelbrecht and Phillips were to remain in jail until they "fully compl[ied]," providing the court with the identities of their contacts.
On Nov. 3, the duo filed an application for mandamus seeking relief from the order of detention, in which they contended "the district court's order represents a clear abuse of discretion and a manifest miscarriage of justice."
The motion characterized Hoyt's order as "draconian" and noted that the duo's "continued detention has caused them personal and professional harm. Continued detention by its very nature is irreparable."
Liberated
According to court documents obtained by Just the News, a panel of three Republican-appointed Fifth Circuit judges (i.e., Judges Catharina Haynes, Kurt Engelhardt, and Andrew Oldham) ordered Engelbrecht and Phillips to be released.
On Sunday, Engelbrecht issued a statement about her then-forthcoming release from prison: "Those who thought that imprisoning Gregg and I would weaken our resolve have gravely miscalculated. It is stronger than ever."
"The right to free and fair elections without interference is more important than our own discomforts and even this detention, now reversed by a higher court," wrote Engelbrecht.
Engelbrecht wrote on Truth Social Monday afternoon, "We're out. Gregg and I are incredibly grateful for everyone’s prayers and support. I’ll say this, what is publicly known is just the tip of the iceberg. Please stay connected. We’re all in this together. Hold the line. Keep the faith. God is good."
After being sprung from jail, Phillips wrote, "These are the days of the patriot games."
Phillips had previously suggested that "it's 1984 in America."
The duo is now free, but their fates remain uncertain. Konnech, on the other hand, will have its Chinese links further explored and its CEO appear in court on Nov. 17.
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