Fine, we'll do it the Huawei, says Uncle Sam: CFO charged with fraud, faces extradition to US over Iran trade claims

Chinese telco box maker also accused of stealing trade secrets from T-Mobile USA


Huawei and its chief financial officer Meng Wanzhou were charged with fraud on Monday by US prosecutors over their alleged sanction-busting dealings with an Iranian subsidiary.

It's claimed Meng, the daughter of Huawei founder Ren Zhengfei, tried to cover up the Chinese tech giant's business operations in Iran. Huawei was also separately accused of stealing T-Mobile USA trade secrets, specifically details of a phone-testing robot called Tappy. Meng and Huawei deny any wrongdoing.

Meng, a Chinese citizen, was arrested in December in Canada at the request of US officials, who say she hid from Uncle Sam and a top bank multimillion-dollar transactions between Huawei's American and Iranian subsidiaries, Huawei Device USA and Skycom Tech, respectively.

The White House has imposed various economic sanctions against Iran, cracking down on the Mid-East nation's oil exports, banking, and so on. Meng, 46, has been charged with multiple counts of bank fraud, wire fraud, and conspiracies to commit bank and wire fraud, by allegedly busting the aforementioned US sanctions by conducting business in Iran via Huawei's American arm.

Documents filed in a New York federal district court allege that Meng and Skycom, which is registered in Hong Kong but operates in Iran, handled millions of dollars in deals and orders with the Iranians in violation of these sanctions. American prosecutors have called for her extradition from Canada to face trial in the US. Huawei and Huawei USA have also been charged with obstructing justice by allegedly misreporting their relationship with Skycom.

question_marks_648

Senior UK.gov ministers asked: So, are we going to ban Huawei or what?

READ MORE

In a separate legal challenge, in Washington state, Huawei is accused of stealing trade secrets from T-mobile USA. The Chinese titan, allegedly, used cash bonuses to encourage its own employees to steal information about T-Mob's smartphone-testing robot Tappy.

Huawei engineers, it is claimed, violated confidentiality and non-disclosure agreements with the American mobile carrier by secretly taking photos of the robot, and even stealing a piece of it so it could be replicated.

“For over a decade, Huawei employed a strategy of lies and deceit to conduct and grow its business. This Office will continue to hold accountable companies and their executives, whether here or abroad, that commit fraud against US financial institutions and their international counterparts and violate US laws designed to maintain our national security,” said Richard Donoghue, US attorney for the Eastern District of New York.

The indictments come at a time when relations between the US and China have been derailed by the ongoing tit-for-tat trade tariff spat between both countries. Huawei also faces claims its kit has been backdoored by Beijing's intelligence agencies to spy on other nations and their corporations. Huawei denies the accusations. Meanwhile, one of its sales directors was arrested by Polish authorities this month on suspicion of spying. ®

Similar topics


Other stories you might like

  • Yet again, Cream Finance skimmed by crooks: $130m in crypto assets stolen

    Third time's the unlucky charm for loan outfit

    Decentralized finance biz Cream Finance became further decentralized on Wednesday with the theft of $130m worth of crypto assets from its Ethereum lending protocol.

    Cream (cream.finance and not creamfinance.com) reported the loss via Twitter, the third such incident for the loan platform this year.

    "Our Ethereum C.R.E.A.M. v1 lending markets were exploited and liquidity was removed on October 27, 1354 UTC," the Taiwan-based biz said. "The attacker removed a total of ~$130m USD worth of tokens from these markets, using this address. No other markets were impacted."

    Continue reading
  • OpenID-based security features added to GitHub Actions as usage doubles

    Single-use tokens and reusable workflows explained at Universe event

    GitHub Universe GitHub Actions have new security based on OpenID, along with the ability to create reusable workflows, while usage has nearly doubled year on year, according to presentations at the Universe event.

    The Actions service was previewed three years ago at Universe 2018, and made generally available a year later. It was a huge feature, building automation into the GitHub platform for the first time (though rival GitLab already offered DevOps automation).

    It require compute resources, called runners, which can be GitHub-hosted or self-hosted. Actions are commands that execute on runners. Jobs are a sequence of steps that can be Actions or shell commands. Workflows are a set of jobs which can run in parallel or sequentially, with dependencies. For example, that deployment cannot take place unless build and test is successful. Actions make it relatively easy to set up continuous integration or continuous delivery, particularly since they are cloud-hosted and even a free plan offers 2,000 automation minutes per month, and more than that for public repositories.

    Continue reading
  • REvil gang member identified living luxury lifestyle in Russia, says German media

    Die Zeit: He's got a Beemer, a Bitcoin watch and a swimming pool

    German news outlets claim to have identified a member of the infamous REvil ransomware gang – who reportedly lives the life of Riley off his ill-gotten gains.

    The gang member, nicknamed Nikolay K by Die Zeit newspaper and the Bayerische Rundfunk radio station, reportedly owns a €70,000 watch with a Bitcoin address engraved on its face and rents yachts for €1,300 a day whenever he goes on holiday.

    "He seems to prefer T-shirts from Gucci, luxurious BMW sportscars and large sunglasses," reported Die Zeit, which partly identified him through social media videos posted by his wife.

    Continue reading

Biting the hand that feeds IT © 1998–2021