Huawei's Meng faces charges over alleged conspiracy to defraud banks

Huawei's Meng faces charges over alleged conspiracy to defraud banks

This is also believed to have helped Huawei "circumvent United States sanctions by telling financial institutions that a Huawei subsidiary was a separate company".

A Chinese telecommunications executive who was arrested after an extradition request from the United States is scheduled to appear in a Vancouver court for a bail hearing today.

Chinese telecom giant Huawei's chief financial officer faces USA fraud charges related to sanctions-breaking business dealings with Iran, a Canadian court heard Friday, a week after she was detained on an American extradition request.

He added that Ms Meng should not be granted bail because she could be a flight risk due to her wealth and connections overseas.

According to Canadian counsel John Gibb-Carsley, the Huawei executive misrepresented her firm's relationship with a subsidiary, Skycom, which was allegedly conducting business with Iranian firms in violation of United States sanctions.

Meng is accused of fraud.

The lawyer said that Meng had personally denied to American bankers any direct connections between Huawei and the subsidiary, SkyCom, when in fact "SkyCom is Huawei".

Freeland highlighted McCallum's elevated diplomatic status as a former Liberal cabinet minister, and characterized his conversation with the Chinese as positive.

The chief financial officer of China’s Huawei Technologies was arrested in Canada on Saturday Dec. 1 2018
The chief financial officer of China’s Huawei Technologies was arrested in Canada on Saturday Dec. 1 2018

"China plays rough. We need to be on our guard and need to be aware that we're going into a very hard period with China", said David Mulroney, Canada's former ambassador to China.

Meng was arrested Saturday while in transit at Vancouver's airport. "She would not embarrass China itself", he said, adding that her husband and daughter were in Vancouver. "They have had a good conversation with John". A Canadian official authorized her arrest in November. They also argued that Iranian sanctions are complex and SkyCom's civilian telecommunications equipment sales likely weren't in violation of any rules.

Huawei was founded to sell phone switches but it is now the world's biggest supplier of network gear for phone and internet companies. But the company has faced widespread allegations that is it is an espionage organ of the Chinese military and security services - an accusation the company strongly denies.

The law enforcement action has also led to questions as to the involvement of high-level government officials in the Trump and Trudeau administrations.

Australian and New Zealand have already said that they will not use Huawei for 5G. "I'm talking about areas such as A.I., quantum technology, 5G, biopharma, and clean tech".

Gibb-Carsley told the hearing that Reuters reported in 2013 that Huawei was operating Skycom, triggering Huawei executives including Meng to allegedly make a series of misrepresentations.

"These are organizations, ultimately, tightly tied to the Chinese security apparatus, and we think there are some real, serious issues there", Harper said. "The United States is encouraging western allies to essentially push Huawei out of the emerging 5G network, and my personal view is that is something western countries should be doing in terms of our own long-term security issues".

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