Huawei CFO arrested in Canada for violating Iran sanctions

Huawei CFO arrested in Canada for violating Iran sanctions

Huawei CFO arrested in Canada for violating Iran sanctions

Prime Minister Justin Trudeau said Thursday his office got "a few days' notice that this was in the works" but he emphasized the actions of law enforcement officials are independent from politics.

Meng, the daughter of Huawei founder Ren Zhengfei, is facing extradition charges to the United States over accusations that she violated Iran sanctions.

"If you look at various reports from the USA government agencies, you can see that regulations have been tightened up significantly in past few months", added Mr Campling.

The comments come after China's embassy in Ottawa issued a statement Wednesday calling Meng's arrest a serious violation of human rights.

Foreign ministry spokesman Geng Shuang told reporters Thursday that the Chinese government also wants Canadian officials to reveal the reasoning behind Meng Wanzhou's arrest Saturday. The timing of her arrest, coinciding with trade negotiations between U.S. President Donald Trump and Chinese President Xi Jinping, has some observers speculating about a possible political motivation.

"The company has been provided very little information regarding the charges and is not aware of any wrongdoing by Ms. Meng", the statement said.

Huawei Technologies Ltd., the biggest global supplier of network gear used by phone and Internet companies, has previously been the target of USA security concerns.

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.

A Huawei spokesperson said Meng faces unspecified charges in the Eastern District of NY.

"China should be fully prepared for an escalation in the trade war with the US, as the USA will not ease its stance on China, and the recent arrest of the senior executive of Huawei is a vivid example", thundered the state-run Global Times in a tweet bearing an image of flag-emblazoned fists.

Huawei is the world's biggest maker of equipment for cellular towers and Internet networks, and the company is the world's second most popular smartphone brand. Either way, this is a huge escalation in the current turmoil between China and the US.

Top British and New Zealand telecom providers have banned Huawei from their 5G networks, as did the Australian government.

"This reminds the Chinese, and ourselves, that we are part of an worldwide order backed by the U.S".

Meng faces extradition to the USA, where investigators are probing Huawei's alleged non-compliance with sanctions on Iran.

Earlier this year, the United States said ZTE made false statements about disciplining some executives responsible for the violations and banned USA firms from selling parts and software to the company.

Meng "was arrested in Vancouver on December 1", a statement by Canada's ministry of justice said.

The arrest was made at Washington's request as part of a United States investigation of an alleged scheme to use the global banking system to evade U.S. sanctions against Iran, according to people familiar with the probe. The Justice Department is seeking Meng's extradition, according to a White House official.

"One thing that is undoubtedly true and proven is the U.S. is trying to do whatever it can to contain Huawei's expansion in the world simply because the company is the point man for China's competitive technology companies", the editorial said.

But suspicions persist. Concern now centres on the deployment of fifth-generation (5G) mobile networks, where Huawei is at the cutting edge.

"Forget the trade war, it is now all-out economic war with China apparently", Chris Rupkey, chief market economist at MUFG, wrote in a note.

There have been reports that Huawei has intelligence ties with the Chinese government, sometimes citing Ren's previous military service, but there is no proof, Jiang said.

Bolton told NPR that Huawei has represented "enormous concerns for years" for the USA over the theft of American intellectual property and forced technology transfers, two notable issues the administration is seeking to resolve as part of the trade negotiations.

"China has the means, opportunity, and motive to use telecommunications companies for malicious purposes", a government report said. "They will retaliate and China will take hostages", he said. Huawei has repeatedly insisted Beijing has no influence over it.

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