So Flynn is being, well, Flynn. Here's what the Secret Service actually says. 

"It is just as likely that this was designed as a dark telephonic switchboard that could connect any criminal organization that could afford it. The Secret Service told us that early evidence showed it was being used as a communications platform for terrorists, hostile foreign powers, human traffickers, and drug cartels. So that means it could’ve been set up by a nation-state or an organized crime entity or even a hacker group because it offers what these kind of actors need — encryption, anonymity, and a bottomless supply of available phone numbers to use to make it difficult for authorities to pinpoint one set of numbers being connected to any single organization. "

Just because they used Chinese Sim cards, doesn't actually mean that there's any link to the Chinese govt at all, or even Chinese manufacturers. You know all those spam calls you get? Yeah, they might very well use these networks. 

This is just fearmongering buy an unregistered foreign agent. 

https://www.cnn.com/2025/09/27/us/nyc-network-secret-service-investigation