Huawei CFO arrested in Canada for reportedly violating US sanctions against Iran

• Wanzhou Meng, Huawei’s chief financial officer, was arrested in Vancouver, British Columbia, Canada today.
• The arrest was made reportedly at the request of U.S. law enforcement officials.
• The report states that Meng is accused of violating the current U.S. trade embargo against Iran.

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One of Huawei’s top executives was arrested in Canada today, but the move was reportedly made at the request of the US government. The Globe and Mail states that Wanzhou Meng, Huawei’s chief financial officer, was arrested in Vancouver, British Columbia. A bail hearing for her has been set for Friday, Dec. 7.

According to an official statement from a Canadian Justice Department spokesperson, the U.S. government is seeking to extradite Meng from Canada to the United States. The report adds, via an unnamed source, that the U.S. believes Meng was trying to circumvent the current U.S. trade embargo with Iran, although details about this alleged violation were not revealed.

So far, Huawei has not yet commented on the arrest of Meng, who is also the daughter of Huawei’s founder, Ren Zhengfei.

Huawei has reportedly been under investigation by the U.S. government since April for reportedly shipping products with parts owned by U.S.-based companies to countries that are under a U.S. trade embargo, including Iran. Federal lawmakers and departments have been critical of the China-based Huawei in the past, claiming that the company’s phones and telecommunications products could be used to spy on citizens by the government of China. Huawei has repeatedly denied these accusations in the past. 

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The U.S. government banned another China-based smartphone company, ZTE, from using U.S.-based parts in its phones earlier in 2018 due to a similar trade embargo issue. However, that supply ban was later lifted, due in part to intervention by U.S. President Donald Trump. ZTE did still have to pay a $1 billion fine.

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