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.
Huawei CFO leaves Canada after agreement with US over fraud charges, detained Canadians head home
https://arab.news/mk7ga
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.
UK government says Chinese spying on the rise
Foreign minister David Lammy told parliament the Labour administration would invest £600 million ($818 million) in its intelligence services as a result of the findings.
Prime Minister Keir Starmer commissioned an “audit” of Britain’s relations with Beijing after he swept to power in landslide general election win last July.
The report, published on Tuesday, recommended high-level engagement with China for a “trade and investment relationship” but also building “resilience” against threats posed by Beijing.
“We understand that China is a sophisticated and persistent threat,” but “not engaging with China is therefore no choice at all,” Lammy told MPs.
“Like our closest allies, we will co-operate where we can and we will challenge where we must,” he said, vowing that meant “never compromising on our national security.”
Starmer has vowed to pursue a “consistent” relationship after the previous Conservative government first trumpeted a “golden era” of close diplomatic ties before relations became increasingly strained.
The British PM hopes Chinese investment can help him achieve his main mission of firing up Britain’s economy.
But differences over Russia’s war in Ukraine, Beijing’s treatment of Uyghurs and Hong Kong — including the imprisonment of media mogul Jimmy Lai — pose hurdles to repairing relations.
In a joint letter coordinated by Reporters Without Borders, 33 organizations around the globe wrote to Starmer on Tuesday asking him to meet Lai’s son Sebastian.
“As a British citizen facing an unthinkable ordeal, Sebastien Lai deserves to hear first-hand from the Prime Minister what the UK is doing to secure his father’s release,” said the letter, which was signed by groups including Amnesty International UK and Human Rights Foundation.
Espionage allegations have also blighted the relationship in recent years, including claims that a Chinese businessman used his links with Britain’s Prince Andrew to spy for the Communist Party.
The report noted that “instances of China’s espionage, interference in our democracy and the undermining of our economic security have increased in recent years.”
“Our national security response will therefore continue to be threat-driven, bolstering our defenses and responding with strong counter-measures,” the government said.
Starmer’s administration is due to rule on whether to approve Beijing’s controversial plans to open the biggest embassy in Britain at a new London location.
Residents, rights groups and China hawks oppose the development, fearing it could be used for the surveillance and harassment of dissidents.
Russian attacks kill 18 civilians in Ukraine as Zelensky seeks more Western help
- Zelensky is keen to lock in additional military support for Ukraine’s fight against Russia’s bigger army
- A Russian ballistic missile attack on Dnipro hit multiple civilian sites, killing nine people and injuring more than 100
KYIV: Russian drones, missiles and artillery killed at least 18 civilians and injured more than 100 others in Ukraine, officials said Tuesday, as Ukrainian President Volodymyr Zelensky sought guarantees of further Western military aid for his country’s efforts to repel Russia’s invasion.
Russian forces have relentlessly blasted civilian areas of Ukraine throughout the war, which is now in its fourth year. More than 12,000 Ukrainian civilians have been killed, according to the United Nations. Ukraine has also launched long-range drones against Russia, hitting residential areas.
Zelensky was set to meet Tuesday with Western leaders attending a NATO summit in The Hague, Netherlands. He is keen to lock in additional military support for Ukraine’s fight against Russia’s bigger army, as recent direct peace talks have delivered no progress on a possible settlement.
Key US military commitments to Ukraine left over from the Biden administration are expected to run out within months, according to analysts, and there is uncertainty over whether US President Donald Trump is willing to provide more.
A Russian ballistic missile attack on Dnipro hit multiple civilian sites in the central Ukrainian city around midday on Tuesday, killing nine people and injuring more than 100, local officials said.
In the nearby town of Samar, an attack killed two people and injured 11, Dnipro’s regional administration head Serhii Lysak wrote on Telegram.
The barrage damaged 19 schools, 10 kindergartens, a vocational school, a music school and a social welfare office, as well as eight medical facilities, according to Dnipro Mayor Borys Filatov. One of the blasts blew out the windows of a passenger train.
Russia also shelled residential neighborhoods and critical infrastructure across Ukraine’s southern Kherson region, killing four civilians and wounding at least eleven others, according to Oleksandr Prokudin, head of the regional military administration.
In the Sumy region of northeastern Ukraine, a drone attack late Monday killed three civilians, including a 5-year-old boy, and injured six others, local authorities said.
Among the injured were two 17-year-old girls and a 12-year-old boy, according to officials.
Russian air defense forces overnight shot down 20 Ukrainian drones, the Russian Defense Ministry reported on Tuesday morning. It said 14 were downed over the Kursk region, which borders Ukraine, while two had been flying over the Moscow province.
One drone slammed into a tower block on the outskirts of the Russian capital, sparking a fire on its 17th floor, local Gov. Andrei Vorobyov said Tuesday. He said a 34-year-old resident suffered shrapnel wounds to his arm and leg. Two other drones were shot down on the approach to Moscow, according to Mayor Sergei Sobyanin.
Air traffic was briefly halted as a precaution at two major Moscow airports, Vnukovo and Sheremetyevo, a representative of Russia’s aviation authority Rosaviatsiya said.
Merz says NATO spending boost to counter Russia — not please Trump
- Merz has been racing to build up Germany’s long-neglected armed forces, with the aim of turning them into the ‘strongest conventional army’ in Europe
BERLIN: German Chancellor Friedrich Merz insisted a pledge by NATO allies to boost defense spending at a “historic” summit starting on Tuesday would not just aim to please US President Donald Trump.
“We are not doing this, as some claim, to do the United States and its president a favor,” he told the German parliament before setting off for the gathering in The Hague.
“We are doing this based on our own observations and convictions. Russia, above all, is actively and aggressively threatening security and freedom” across Europe, he added.
“We have to fear that Russia will continue its war beyond Ukraine.”
The summit has been viewed as heavily focused on keeping Trump happy after he made comments that sparked concern about Washington’s commitment to NATO and insisted that other member states spend at least five percent of their GDP on defense.
NATO’s 32 countries have thrashed out a compromise deal to dedicate 3.5 percent to core military spending by 2035, and 1.5 percent to broader security-related areas such as cybersecurity and infrastructure.
On Monday, Europe’s biggest economy revealed plans to reach the 3.5 percent level for core spending six years early — in 2029 — with the vast extra outlays necessary made possible after Germany eased its rules on taking on debt.
Defense Minister Boris Pistorius said on Tuesday that he would head to the NATO summit with the message that “external security and defense capability are once again an absolute priority in (German) government policy.”
“We are bringing about a historic turnaround in defense spending.”
On the summit, he said there were “good signs” about “the broad consensus on how to proceed... I see no reason to assume that we will be given the cold shoulder.”
Since taking office in May, Merz has been racing to build up Germany’s long-neglected armed forces, with the aim of turning them into the “strongest conventional army” in Europe — a radical shift in a country with strong pacifist traditions due to its dark wartime past.
A drive has been launched to boost military personnel, which aims to attract 11,000 fresh recruits this year alone — and Pistorius has suggested conscription, which was halted in Germany in 2011, could be reintroduced if too few people sign up voluntarily.
Germany is also building up a permanent military brigade in Lithuania — the country’s first such overseas deployment since World War II — to bolster NATO’s eastern flank against Russia.
Vietnam aims to sign nuclear power plant deal with Russia in August
- The move follows Vietnam’s restart of plans to develop nuclear power plants
- It is expected to be online between 2030 and 2035
HANOI: Vietnam’s government said on Tuesday it aims to sign an agreement with its Russian counterpart in August to build the Southeast Asian country’s first nuclear power plant.
Site clearance for development of the plant in Ninh Thuan province is to be completed by the end of this year, the government said in a statement.
The move follows Vietnam’s restart of plans to develop nuclear power plants that were suspended nearly a decade ago, as part of its efforts to ramp up its power generation capacity to support its fast-growing economy.
The government has previously said it expected the first nuclear power plants with a combined capacity of up to 6.4 gigawatts to be online between 2030 and 2035.
The government said on Tuesday it has told the finance ministry, central bank, state energy firm Petrovietnam and utility firm EVN to work with related parties on loans for the project.
Indonesian researchers unearth 500,000-year-old elephant fossils in Java
- Researchers say found elephant fossils may be almost complete
- Central Java is also location of archaeological site Sangiran, where ‘Java Man’ was found
Jakarta: Indonesian researchers have discovered fossils of a prehistoric elephant in Central Java, which they estimate are around 500,000 years old.
The fossils were found in Patiayam, an archaeological site and mountainous area situated on the border of the Kudus and Pati regencies in Central Java, where, throughout the years, ancient animal fossils have been found.
In 2024, a collaborative team organized by the Center for Prehistory and Austronesian Studies, the Dharma Bakti Lestari Foundation and the National Research and Innovation Agency, known locally as BRIN, launched a research project at the site to explore fossil possibilities.
Though the initial discovery was made then, researchers postponed the project until this year and expanded the site of excavation, which is still ongoing.
“Based on the geological formation of the site where it was found, we estimate that the fossils are at least 500,000 years old, give or take. We have yet to conduct a direct dating of the fossils, so this is based on a relative dating of the soil layer,” Mohammad Ruly Fauzi, researcher at CPAS and BRIN, told Arab News.
“We have been able to identify that these belong to an elephas type, but not the specific species … What’s clear is that this is a very big elephant, nothing like elephants today …. It’s prehistoric, not early historic period.”
He said the excavation has made about 50 percent progress and that the elements found so far make up the front part of an elephant.
“It’s interesting because this is shaping up to be an almost complete fossil … They are all situated pretty closely.”
Once the excavation is completed, the fossils will be preserved as part of a collection at the Patiayam Archaeological Museum. The discovery might help Patiayam gain recognition as a cultural heritage site, Fauzi added.
“Every site has its own unique qualities, but Patiayam site is particularly interesting and very deserving to gain status as a national cultural heritage site in our opinion … This research can help serve as a foundation for officials to decide,” he said.
Central Java, where Patiayam is located, is also home to the Sangiran Early Man Site, a UNESCO World Heritage site renowned for its significant collection of Homo erectus fossils, dating from 1.1 million to 800,000 years ago, including the “Java Man.”
