Yeah its not just 'mistress', its:

Mistress that really seems to have engaged in the mass unsanctioned import of export-controlled equipment, and the likely illegal exporter of this export-controlled equipment was the lover of said mistress, who thus also massively illegally exported this equipment.

The affair is incidental, the main issue is dodging export restrictions that were in place for national security purposes.

Like, if the US actually enforced its own laws, Huang would be facing prison for potentially 20 to 40 years.

But they allowed him to flee to Beijing, so... whoopsie daisy, I guess!

Corrolary to this; this is part of why its delusionally hilarious for Elon to offer Huang a job. In all likelihood, under a Democratic government, Huang would be instantly arrested... Huang likely can never safely return to the USA, rofl.