Huawei's CFO crisis ends after an American deal
Huawei's CFO crisis ends after an American deal

Huawei's chief financial officer Meng Wanzhou has returned to China after reaching an agreement with US prosecutors to end bank fraud proceedings against it and ease tensions between China and the United States.

Hours after the deal was announced, two Canadians arrested shortly after Meng's December 2018 arrest were released from a Chinese prison on their way back to Canada.

The long-running issue of Wanzhou's extradition has been the main sticking point in the increasingly tense relations between Beijing and Washington, and Chinese officials have said it is necessary to withdraw the case again to end the diplomatic standoff.

The deal could lead US President Joe Biden to draw criticism from Washington hawks who believe his administration is capitulating to China and one of the big companies at the heart of the global technology competition between the two countries.

Wanzhou was arrested at Vancouver International Airport on a US court order and charged with bank and electronic fraud in 2013 for misleading HSBC regarding the telecommunications giant's business dealings in Iran.

Reuters reported that the United States reached an agreement with Wenzhou to postpone the indictment. He assumed primary responsibility for the implementation of the fraud scheme for global financial institutions.

The deal affects only Wenzhou, and the US Department of Justice has announced that it is preparing to file a lawsuit against Huawei and hopes to take legal action.

China welcomes the return of the president of Huawei

He attended the hearing in federal court in Brooklyn, Wanzhou, Canada. The assistant US attorney said that if the government fulfilled all of its obligations under the agreement, the government would drop those claims. Expires in December 2022.

He added that Wanzhou was released on a personal promise and that the United States plans to withdraw the extradition request from Canada.

When U.S. District Judge Ann Donnelly later approved the deferred trial agreement. A Canadian judge signed his release order and waived the bail requirement. After nearly three years of house arrest, she was allowed to move around freely.

The prosecutor gave an account that he allegedly told financial institutions in 2013 that Iran's Skycom was a partner of Huawei. Although it is aware that Xingtong is owned and controlled by Huawei as an agent in the region.

Wenzhou approved the four-page fact sheet. Lists this intentional misrepresentation towards the financial institution.

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