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Huawei's Meng Facilitated Deals with Iran, Says U.S.

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Friday, 7:04 PM   by Eric M. Zeman   @phonescooper

Huawei CFO Meng Wanzhou is facing extradition to the U.S. so she can face accusations that she hid connections with a company in order to sell sanctioned equipment to Iran. The U.S. first issued a warrant for Meng's arrest in August; she was arrested on Dec. 1 in Vancouver and has been held there since. The government alleges that Meng relied on Skycom Tech Co, based in Hong Kong, to sell HP computers to Iran in violation of U.S. and EU law. Skycom had an office in Tehran and was effective run by Huawei. She faces charges of conspiracy to defraud multiple financial institutions, which could carry a prison sentence of 30 years. Meng was denied bail in a hearing held today in Vancouver. The U.S. now has 60 days to formally request Meng's extradition. A Canadian judge will ascertain whether or not the case against Meng is strong enough. If deemed solid, Canada's justice minister will be responsible for making the decision to turn her over. The U.S. has long held that Huawei's ties to the Chinese government are too close, and that Huawei represents a security risk to the country. The government has already banned employees from using Huawei phones. Early this year, AT&T, Verizon Wireless, and others shelved plans to sell Huawei phones. Carriers are prohibited from using Huawei's telecommunication equipment, and the U.S. has advised carriers in other countries to also ban Huawei gear.

more info at Reuters »

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