Thursday, 13 December, 2018


Huawei Technologies CFO arrested in Canada, accused of violating Iran sanctions

Huawei CFO Wanzhou Meng arrested in Vancouver, faces extradition to U.S. Canada arrests Huawei global CFO in Vancouver
Conrad Doyle | 06 December, 2018, 05:56

Huawei's Meng Wanzhou was arrested in Vancouver while transferring flights, according to the publication. "Americans are grateful that our Canadian partners have arrested the Chief Financial Officer of a giant Chinese telecom company for breaking US sanctions against Iran".

In 2012, the House of Representatives released a report warning Huawei poses a national security threat to the USA, and American companies and its government should avoid doing business with the company.

Meng's arrest is related to alleged violations of United States sanctions, according to Reuters news agency.

Meng Wanzhou, who is the daughter of company founder Ren Zhengfei, has been detained in Vancouver in relation to suspected violations by Huawei of U.S. sanctions placed on Iran.

Reports appeared in April 2018 that federal prosecutors in NY had an open probe into whether Huawei had violated US restrictions against Iran.

Canadian authorities for their part are not providing any details beyond the arrest, and various US news organizations have been unable to get a comment from US Department of Justice officials.

The Chinese telecommunications giant is now in partnership with Canadian universities across the country as well as companies such as Telus, with whom it is developing 5G networks in Canada. Its devices have come under scrutiny from USA authorities over spying fears, and the arrest of its CFO has the potential to further inflame tensions between the two countries amid a mounting trade war.

The Wall Street Journal reported in April that US Department of Justice had opened an investigation into suspected violations of Iran sanctions by Huawei.

In addition to serving as CFO, Meng is the daughter of Huawei founder Ren Zhengfei and is the deputy board chair.

"The Chinese side has lodged stern representations with the United States and Canadian side, and urged them to immediately correct the wrongdoing and restore the personal freedom of Ms. Meng Wanzhou".

In 2017, ZTE pleaded guilty in US federal court to evading USA embargoes on Iran, by buying American tech parts, incorporating them into ZTE equipment, then illegally shipping them to Iran.

In May, the Pentagon banned the sale of Huawei phones on military bases.

Huawei overtook Apple earlier this year to move into the No. 2 spot, according to Business Insider.

The United States and Australian governments have long expressed concerns about the security implications of using telecommunications equipment from China.

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