US Justice Department Drops Prosecution of Ex-CIA Analyst Sue Mi Terry

The US Justice Department has agreed to suspend criminal proceedings against former CIA analyst and White House National Security Council official Sue Mi Terry, who was accused of acting as an unregistered foreign agent for South Korea in exchange for luxury gifts and financial benefits.

Under a deferred prosecution agreement filed Tuesday in Manhattan federal court, prosecutors from the Southern District of New York will halt charges stemming from a July 2024 indictment. The case will be dismissed after 12 months if Terry complies with specific conditions, including restrictions on international travel and interactions with South Korean government officials.

The agreement represents a significant development in a high-profile foreign intelligence case that was approaching trial. Prosecutors offered no detailed explanation for their decision, stating only that delaying prosecution would serve the interests of both the United States and Terry.

Federal authorities previously accused Terry of secretly advancing South Korean government interests between 2013 and 2023. Prosecutors alleged she shared confidential information with South Korean intelligence officers, promoted Seoul's policy priorities and helped facilitate meetings between Korean officials and their American counterparts.

The indictment charged Terry with violating the Foreign Agents Registration Act (FARA) and conspiring to breach federal registration requirements.

Although Terry admitted no criminal wrongdoing under the agreement, she acknowledged providing South Korean intelligence officials with notes prepared for a 2022 meeting involving senior State Department representatives and Korean policy specialists.

She also acknowledged receiving designer handbags worth more than $9,200, 19 meals at upscale restaurants and $37,000 in contributions to a Korean affairs public policy program she managed.

Terry has consistently denied acting improperly. Her attorney, Lee Wolosky, maintained that her professional interactions with South Korean officials supported American interests and reflected her independent research on North Korea and East Asian security.

Born in Seoul and raised in Virginia, Terry served as a CIA analyst from 2001 to 2008 before joining the National Security Council, where she worked under Presidents George W. Bush and Barack Obama.

She later became a senior fellow at the Council on Foreign Relations, which placed her on unpaid leave following her indictment.

The deferred prosecution agreement allows Terry to avoid an immediate criminal conviction and potential imprisonment, provided she fulfills all requirements during the 12-month monitoring period.