Huawei CFO leaves Canada after agreement with US over fraud charges, detained Canadians head home

Huawei CFO leaves Canada after agreement with US over fraud charges, detained Canadians head home
The years-long extradition drama has been a central source of discord in increasingly rocky ties between Beijing and Washington. (AFP)
Short Url
Updated 25 September 2021

Huawei CFO leaves Canada after agreement with US over fraud charges, detained Canadians head home

Huawei CFO leaves Canada after agreement with US over fraud charges, detained Canadians head home
  • Meng Wanzhou indicted on bank and wire fraud charges for allegedly misleading HSBC in 2013 about the telecommunications equipment giant’s business dealings in Iran.

Huawei Chief Financial Officer Meng Wanzhou flew home to China on Friday after reaching an agreement with US prosecutors to end the bank fraud case against her, relieving a point of tension between China and the United States.
Within hours of the news of the deal, two Canadians who were arrested shortly after Meng was taken into custody in December 2018 were released from Chinese jails and were on their way back to Canada. Beijing had denied that their arrests were linked.
The years-long extradition drama has been a central source of discord in increasingly rocky ties between Beijing and Washington, with Chinese officials signaling that the case needed to be dropped to help end a diplomatic stalemate between the world’s top two powers.
The deal also opens US President Joe Biden up to criticism from China hawks in Washington who argue his administration is capitulating to China and one of its top companies at the center of a global technology rivalry between the two countries.
Meng was arrested at Vancouver International Airport on a US warrant, and indicted on bank and wire fraud charges for allegedly misleading HSBC in 2013 about the telecommunications equipment giant’s business dealings in Iran.
In an exclusive on Friday, Reuters reported that the United States had reached a deferred prosecution agreement with Meng. Nicole Boeckmann, the acting US Attorney in Brooklyn, said that in entering into the agreement, “Meng has taken responsibility for her principal role in perpetrating a scheme to defraud a global financial institution.”
The agreement pertains only to Meng, and the US Justice Department said it is preparing for trial against Huawei and looks forward to proving its case in court.
A spokeswoman for Huawei declined to comment.
A person familiar with the matter said Meng — the daughter of Huawei founder, Ren Zhengfei — had left Canada on a flight to Shenzhen.
The two Canadians, businessman Michael Spavor and former diplomat Michael Kovrig, had been held in China for more than 1,000 days. In August, a Chinese court sentenced Spavor to 11 years in prison for espionage.
Prime Minister Justin Trudeau told reporters in brief remarks late on Friday the two men had left Chinese airspace just minutes before. He was not asked whether the two countries had struck a bilateral deal.
“I want to thank our allies and partners around the world in the international community who have stood steadfast in solidarity with Canada and with these two Canadians,” he said.
At a hearing in Brooklyn federal court on Friday, which Meng attended virtually from Canada, Assistant US Attorney David Kessler said the government would move to dismiss the charges against her if she complies with all of her obligations under the agreement, which ends in December 2022. He added that Meng will be released on a personal recognizance bond, and that the United States plans to withdraw its request to Canada for her extradition.
Meng pleaded not guilty to the charges in the hearing. When US District Court Judge Ann Donnelly later accepted the deferred prosecution agreement, Meng sighed audibly.
A Canadian judge later signed Meng’s order of discharge, vacating her bail conditions and allowing her to go free after nearly three years of house arrest.
She was emotional after the judge’s order, hugging and thanking her lawyers.
Speaking to supporters and reporters on the steps of the court afterward, Meng thanked the judge for her “fairness” and talked of how the case had turned her life “upside down.”
Meng was confined to her expensive Vancouver home at night and monitored 24/7 by private security that she paid for as part of her bail agreement. Referred to by Chinese state media as the “Princess of Huawei,” she was required to wear an electronic ankle bracelet to monitor her movements, which became fodder for the tabloids when it hung above her designer shoes.
Articles published by Reuters in 2012 and 2013 about Huawei, Hong Kong-registered company Skycom and Meng figured prominently in the US criminal case against her. Reuters reported that Skycom had offered to sell at least 1.3 million euros worth of embargoed Hewlett-Packard computer equipment to Iran’s largest mobile-phone operator in 2010.
Reuters also reported numerous financial and personnel links between Huawei and Skycom, including that Meng had served on Skycom’s board of directors between February 2008 and April 2009. The stories prompted HSBC to question Meng about Reuters findings.
Huawei was placed on a US trade blacklist in 2019 that restricts sales to the company for activities contrary to US national security and foreign policy interests. The restrictions have hobbled the company, which suffered its biggest revenue drop in the first half of 2021, after the US supply restrictions drove it to sell a chunk of its once-dominant handset business before new growth areas have matured.
The criminal case against Meng and Huawei is cited in the blacklisting. Huawei is charged with operating as a criminal enterprise, stealing trade secrets and defrauding financial institutions. It has pleaded not guilty.
A Canadian government official said Ottawa would not comment until the US court proceedings were over.
Huawei has become a dirty word in Washington, with China hawks in Congress quick to react to any news that could be construed as the United States being soft, despite Huawei’s struggles under the trade restrictions.
Then-President Donald Trump politicized the case when he told Reuters soon after Meng’s arrest that he would intervene if it would serve national security or help secure a trade deal. Meng’s lawyers have said she was a pawn in the political battle between the two super powers.
Republican China hard-liners in Congress called Friday’s deal a “capitulation.”
“Instead of standing firm against China’s hostage-taking and blackmail, President Biden folded,” Republican Senator Tom Cotton said in a statement.
Senior US officials have said that Meng’s case was being handled solely by the Justice Department and the case had no bearing on the US approach to strained ties with China.
During US Deputy Secretary of State Wendy Sherman’s July trip to China, Chinese Vice Foreign Minister Xie Feng insisted that the United States drop its extradition case against Meng.
US officials have acknowledged that Beijing had linked Meng’s case to the case of the two detained Canadians, but insisted that Washington would not be drawn into viewing them as bargaining chips.


President: Deadly blast in Ugandan capital a ‘terrorist act’

President: Deadly blast in Ugandan capital a ‘terrorist act’
Updated 51 min 38 sec ago

President: Deadly blast in Ugandan capital a ‘terrorist act’

President: Deadly blast in Ugandan capital a ‘terrorist act’
  • ‘It seems to be a terrorist act but we shall get the perpetrators’

KAMPALA:  Ugandan President Yoweri Museveni said Sunday that an explosion in the capital Kampala that killed one and injured five was “a terrorist act” and vowed to hunt down those responsible.

“It seems to be a terrorist act but we shall get the perpetrators,” Museveni said in a Twitter post about the explosion late Saturday in northern Kampala.

Police said the “serious blast” occurred at around 9:00 p.m. (1800 GMT) at a popular street side restaurant strip in Kawempe, a Kampala suburb.

Museveni said he had been briefed that three people “left a package” at the scene that later exploded, killing one person and injuring five others.

He said investigators were still combing the bomb site and more details would be released later, including advice for the public in “dealing with these possible terrorists.”

“The public should not fear, we shall defeat this criminality like we have defeated all the other criminality committed by the pigs who don’t respect life,” Museveni said.


Strong quake strikes northern Taiwan

Strong quake strikes northern Taiwan
Updated 24 October 2021

Strong quake strikes northern Taiwan

Strong quake strikes northern Taiwan
  • Taiwan’s central weather bureau said the quake was of magnitude 6.5 while the US Geological Survey gave a lower figure of 6.2

TAIPEI: A strong earthquake struck northeastern Taiwan on Sunday, with residents reporting violent shaking in the capital Taipei but there were no immediate reports of widespread damage.
Taiwan’s central weather bureau said the quake was of magnitude 6.5 while the US Geological Survey gave a lower figure of 6.2.
It hit northeastern Yilan county at 1:11 p.m. (0511 GMT) at a depth of 67 kilometers (42 miles).
An AFP reporter who lives in Yilan said the shaking seemed to last some 30 seconds.
“The walls of the house were shaking, both sideways and up and down, it felt quite strong,” the reporter said.
There was no damage in his neighborhood.
The main quake was followed by a 5.4-magnitude aftershock and Taipei’s MRT metro system shut down as a precaution for a little under an hour before service resumed.
Tom Parker, a British illustrator who lives in Taipei, said he was riding the subway when the quake hit.
“First time I’ve felt a quake on the MRT. Like a tame rollercoaster,” he tweeted, adding he and other commuters were told to shelter in place in the station for now.
Many others reported the tremor on social media.
“I was scared to death, I screamed in my room,” Yu Ting wrote on Facebook.
“This earthquake is really big, glass has shattered in my living room.”
Some grocery stores reported food and other goods were thrown from shelves by the shaking.
Taiwan is regularly hit by earthquakes as the island lies near the junction of two tectonic plates.
Some earthquakes of this magnitude can prove deadly, although much depends on where the quake strikes and at what depth.
Hualien, a scenic tourist hotspot, was struck by a 6.4-magnitude earthquake in 2018 that killed 17 people and injured nearly 300.
In September 1999, a 7.6-magnitude quake killed around 2,400 people in the deadliest natural disaster in the island’s history.
However, a 6.2 earthquake struck in December 2020 in Yilan with no major damage or injuries reported.


Myanmar says it’s committed to ASEAN peace plan, despite military leader’s snub

Myanmar says it’s committed to ASEAN peace plan, despite military leader’s snub
Updated 24 October 2021

Myanmar says it’s committed to ASEAN peace plan, despite military leader’s snub

Myanmar says it’s committed to ASEAN peace plan, despite military leader’s snub
  • Junta says it upholds the principal of peaceful coexistence with other countries and would cooperate with the ASEAN
  • Myanmar leadership accuses ASEAN of departing from its principals on consensus and non-interference

Myanmar’s military rulers pledged on Sunday to cooperate “as much as possible” with a peace plan agreed with ASEAN, despite a stern rebuke of the regional bloc for excluding the country’s top commander from a summit this week.
In an announcement in state media on Sunday, the junta said it upholds the principal of peaceful coexistence with other countries and would cooperate with the Association of Southeast Asian Nations (ASEAN) in following a five-point “consensus” agreed in April, a plan backed by the West and China.
ASEAN foreign ministers decided on Oct. 15 to sideline Min Aung Hlaing, leader of a Feb. 1 Myanmar coup, for his failure to implement that plan, which included ending hostilities, initiating dialogue, allowing humanitarian support and granting a special envoy full access in the country.
The junta struck back late on Friday, accusing ASEAN of departing from its principals on consensus and non-interference. It refused to agree to send a politically neutral Myanmar representative instead of Min Aung Hlaing.
ASEAN chair Brunei has not responded to Myanmar’s rejection.
A spokesman for Thailand’s foreign ministry declined to comment on Saturday, citing the sensitivity of the matter, while Indonesia’s foreign ministry spokesperson, Teuku Faizasyah, said ASEAN’s consensus on who would represent Myanmar at the summit was the “common guide for all ASEAN members.”
The exclusion is an unprecedented snub from a bloc long criticized for being tardy and ineffective at dealing with member governments accused of atrocities.
More than 1,000 civilians have been killed in a post-coup crackdown in Myanmar, with thousands more detained, many tortured or beaten, according to the United Nations, citing activists. The junta is accused of using excessive military force against civilian populations.
The junta has insisted many of those killed or detained were “terrorists” determined to destabilize the country. The junta chief last week said opposition forces were prolonging the unrest.
ASEAN’s special envoy, Erywan Yusof of Brunei, had sought a meeting with ousted leader Aung San Suu Kyi, but the military government said that was impossible because she was detained and charged with crimes.
The junta warned Erywan not to engage with opposition forces it has outlawed, including the shadow National Unity Government, an alliance of pro-democracy and armed ethnic groups, Japanese broadcaster NHK said, citing an unpublished report.
A Myanmar military spokesman and Erywan’s office did not immediately respond to separate requests for comment on Sunday on the reported warning.
In Sunday’s announcement, Myanmar’s rulers first reaffirmed their own five-point plan for restoring democracy, which they announced after the coup.
The military insists it is the legitimate authority in Myanmar and its takeover was not a coup, but a necessary and lawful intervention against a threat to sovereignty posed by Suu Kyi’s party, which it said won a fraudulent election last year.


US urges North Korea to stop missile tests

US urges North Korea to stop missile tests
Updated 24 October 2021

US urges North Korea to stop missile tests

US urges North Korea to stop missile tests
  • Tuesday’s launch was the latest in a series of recent weapons tests by Pyongyang

SEOUL: The US on Sunday urged North Korea to stop “counterproductive” missile tests, but expressed hope Pyongyang would respond positively to Washington’s call for dialogue.
It comes after North Korea fired a submarine-launched ballistic missile (SLBM) on Tuesday, prompting an emergency meeting of the UN Security Council.
US special representative on North Korea Sung Kim met his southern counterpart Noh Kyu-duk after a meeting with their Japanese counterpart in Washington.
He labelled Tuesday’s launch a “provocation,” and urged Pyongyang to stop “concerning and counterproductive” missile tests.
“We hope the DPRK will respond positively to our outreach,” Kim told reporters in Seoul, using the acronyms of North Korea’s official same.
Tuesday’s launch was the latest in a series of recent weapons tests by the country, including a long-range cruise missile, a train-launched weapon, and what it said was a hypersonic warhead.
Earlier this month, North Korean leader Kim Jong Un blamed the United States for sanctions, dismissing Washington’s assertions that it does not have hostile intentions.
Kim met three times with former president Donald Trump, who boasted of stopping a war but failed to reach a comprehensive agreement on ending the country’s nuclear program.
President Joe Biden has promised to keep seeking diplomacy but with a more low-key approach.


Melbourne to ease more COVID-19 curbs as 80 percent vaccination rate nears

Melbourne to ease more COVID-19 curbs as 80 percent vaccination rate nears
Updated 24 October 2021

Melbourne to ease more COVID-19 curbs as 80 percent vaccination rate nears

Melbourne to ease more COVID-19 curbs as 80 percent vaccination rate nears
  • Home to about five million people, Melbourne endured nearly nine months of stay-at-home restrictions

MELBOURNE: Melbourne, the world’s most locked-down city that emerged from its latest spate of COVID-19 restrictions on Friday, will see more curbs eased next week when Victoria state reaches an 80 percent full vaccination rate, officials said on Sunday.
Home to about five million people, Melbourne endured 262 days, or nearly nine months, of stay-at-home restrictions during six lockdowns since March 2020, longer than the 234-day continuous lockdown in Buenos Aires.
Starting on Friday, when 80 percent of people across Victoria — of which Melbourne is the capital — are expected to be fully vaccinated, Melburnians will be free to travel throughout the state and masks will no longer be required outdoors.
“There’s a fundamental agreement that we have reached with the Victorian community, we asked you to get vaccinated, you have done that in record time and record numbers,” Premier Daniel Andrews said.
With a once-sputtering vaccine rollout now at full speed, authorities across Australia no longer plan to rely on extended lockdowns to suppress the virus. Victoria recorded 1,935 new coronavirus cases and 11 deaths on Sunday.
As the state moves toward a “vaccinated economy” in which only fully inoculated people will be allowed into venues, a 90 percent percent rate is expected around Nov. 24, Andrews said.
He added that he wanted to see crowds in excess of 80,000 at the Melbourne Cricket Ground for the Boxing Day Test on Dec. 26 between Australia and England.
“It’s our approach to try and achieve life as close to normal as possible,” Andrews said.
Australians overwhelmingly support vaccinations, with research by the Melbourne Institute at the University of Melbourne, showing in October that only 6.9 percent of the population were unwilling to be inoculated.
New South Wales state, whose capital Sydney spent 100 days in a lockdown that ended earlier this month, recorded 296 new COVID-19 cases and four deaths. Nearly 85 percent of the state’s population have been fully vaccinated.
New Zealand, which is also learning to live with the virus through vaccinations, had 80 cases on Sunday, all in the North Island. On Saturday, it reported a first COVID-19 infection in nearly a year in the country’s South Island.