The Spy Who Outplayed Nixon | A Gift for Mr. Lee | Episode 2

Podcast: The Spy Who

Hosts: Indira Varma, Raza Jaffrey
Date: March 10, 2026

Episode Overview

This episode uncovers the hidden exploits of Larry Chin, a translator at the CIA who secretly spied for China through the tumultuous era of US-China rapprochement in the 1970s. As Richard Nixon moved to reestablish diplomatic relations with China, Chin supplied Beijing with critical US strategies from within the heart of American intelligence. The episode also follows the tension-filled spy games between American and Chinese operatives, including the recruitment of double agents and the personal consequences of living an undercover life.

Key Discussion Points & Insights

1. The Polygraph Test and Chin’s Duplicity

• [00:02–02:30]
  • Larry Chin, decades into his double life, undergoes his first polygraph at CIA HQ as part of a pending promotion.
  • To calm himself under questioning, he translates questions into Mandarin—“The familiar process of translation calms him. His breathing slows, his stomach settles.”
  • When asked about contact with foreign intelligence, he deftly deflects, passing the test:

    “If there had been any real concerns about him, they would have questioned him further.”

  • The CIA misses a crucial chance to expose Chin as a Chinese spy.

2. Renewing Contact: Reconnecting in Hong Kong

• [03:32–08:30]
  • Chin meets his spymaster O Qi Ming in Hong Kong after a period of O’s “re-education.”
  • Their communication is careful, indirect—China emphasizes patience over risky, flashy intelligence coups.
  • Chin negotiates arrangements for urgent contact via a handler in Toronto and notes the changing power balances in US-China diplomacy.

    O warns: “Patience, as always, is the way. But patience can use a sharp eye...”

• Chin’s motive: He feels valued in China, a traitor in America, and the financial reward is significant.

3. The “Gift” That Changed Diplomacy

• [09:00–19:20]
  • At CIA headquarters, Chin is entrusted with Nixon’s secret plan to approach China—a “Presidential review memorandum.”
  • Chin secretly photographs the document at home, then alerts his Chinese contact in Toronto, executing a covert handoff of undeveloped film in a strip mall:

    “Mr. Lee, it is Mr. Yang here. Yes, I have a gift. I will arrive at the weekend to give it to you.” ([13:35])

  • The intelligence allows Mao and Zhou Enlai to anticipate US negotiation moves.

    Mao, reading the stolen document: “Very good. This tells us Nixon’s very thoughts. And if we know his thoughts, we can beat him in any negotiation.” ([19:10])

4. Nixon in China: The Negotiation Playbook

• [19:21–28:15]
  • Nixon's historic 1972 visit to China is recapped, with major attention on confidential discussion points—especially Taiwan.
  • Zhou uses inside knowledge to outmaneuver Nixon during tense negotiations:

    Zhou Enlai: “If one has profound understanding, one can see that there is common ground towards this question...”
    Nixon, pressed by silence, concedes: “I can also move to reduce our other forces. The other one third. I can do that.” ([27:10])

  • Zhou’s takeaway: “Poker is easy when you know your enemy’s cards.”
• The result: The Shanghai Communiqué is signed, achieving nearly all of Zhou’s aims.

5. Personal Consequences and the Double Life

• [28:16–33:00]
  • Chin launders his spy earnings in Las Vegas casinos, rationalizing losses as gambling rather than espionage income.
  • Chin’s love of gambling mirrors his appetite for risk as a spy:

    “He plans to invest some of the money… but he’s finding it harder and harder to leave the gambling tables early.” ([31:55])

6. Aftermath: New Games Begin

• [33:01–38:45]
  • Chin retires with fanfare from the CIA, receiving a medal for career intelligence service from Deputy Director Bobby Inman ([35:55]).
  • He reflects bittersweetly: Fulfilled yet facing financial challenges, unsure what to do outside the world of secrets.
  • In China, Chin is celebrated and honored with both an honorary rank and a cash bonus:

    O says: “There is also $40,000 in your bank account. A thank you for the intelligence provided and for the intelligence you will provide in the future.” ([49:10])

  • Chin embraces his identity as a spy, hero, and – above all – a gambler.

7. The Next Spy War: An American Recruit

• [38:46–55:30]
  • The show pivots to 1981-82, as CIA officer Warren Young is posted to Beijing and swiftly targeted by Chinese intelligence.
  • Wu Chang, a disaffected Chinese intelligence officer, tries to recruit Young to spy for China. But Young turns the tables, enticing Wu to supply secrets to the CIA in exchange for possible resettlement.

    Wu: “What if I told you there is a Chinese agent inside your intelligence services?”
    Young: “That would be extremely valuable… but I’ll need more details, starting with a name.” ([54:50])

  • The double game is set: Wu agrees to seek the identity of a Chinese mole; the CIA may finally have a clue to blow open China’s American spy ring.

Notable Quotes & Memorable Moments

• Chin’s Polygraph Calm:

  “The familiar process of translation calms him. His breathing slows, his stomach settles.” (01:45)

• Handing Over the Prize:

  “Mr. Lee, it is Mr. Yang here. Yes, I have a gift. I will arrive at the weekend to give it to you.” (13:35)

• Mao on Nixon’s Mind:

  “Very good. This tells us Nixon’s very thoughts. And if we know his thoughts, we can beat him in any negotiation.” (19:10)

• Zhou’s Poker Face:

  “Poker is easy when you know your enemy’s cards.” (27:50)

• Chin Honored in Beijing:

  “You honour us with your dedicated service, Comrade Chin. For more than three decades, you have aided the Party in navigating a hostile landscape.” — Vice Minister Li Wenchong (48:20)

• Double Agents:

  Wu: “What if I told you there is a Chinese agent inside your intelligence services?” (54:50)

Timestamps for Key Segments

• [00:02] – Chin’s polygraph test at CIA HQ
• [03:32] – Reconnection with spymaster O in Hong Kong
• [09:00] – Chin receives Nixon’s memorandum
• [13:35] – Code phrase and handoff to Mr. Lee in Toronto
• [19:10] – Zhou and Mao read the stolen US plans
• [21:00–28:00] – Nixon’s historic trip and the inside play at negotiations
• [31:55] – Chin launders spy earnings in Las Vegas
• [35:55] – Chin’s CIA retirement and medal ceremony
• [48:20] – Chinese banquet in Chin’s honor
• [54:50] – Wu reveals a Chinese agent is inside US intelligence to Young

In the Words of the Agents

• Indira Varma (Host, as Narrator):

  “Even so, it feels good to be back in the spy game. It feels good to be needed. In America, Qin is a traitor. In China, he can be a hero.” ([08:20])

• Chin’s Dual Roles:

  “He has come to terms with who he is now. He’s a spy and a traitor, and in China at least, a hero. But deep down, he’s a gambler.” ([49:40])

Final Reflection

This episode gives an up-close look at how one man’s duplicity changed the course of US-China relations at a critical juncture, and how the world of espionage is shaped by loyalty, luck, and personal ambition. The spy war continues as one double agent leaves the stage and another steps forward—reminding us, as the hosts put it, “Poker is easy when you know your enemy’s cards.”