Huawei accused of stealing trade secrets, spying in Pakistan

FILE PHOTO: Huawei headquarters building is pictured in Reading, Britain July 14, 2020. (REUTERS)
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Updated 13 August 2021
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Huawei accused of stealing trade secrets, spying in Pakistan

  • Huawei subcontracted with Business Efficiency Solutions LLC in 2016 for $150 million bid to develop software for Pakistan government
  • BES said it created software for project that collects data from government, controls building access and social media and manages drones

Buena Park: California-based software company Business Efficiency Solutions LLC has sued Huawei in California federal court for allegedly stealing its trade secrets following their work together on a project for the Pakistani government.
BES also accused the Chinese tech giant in the Wednesday complaint of using its technology to create a “backdoor” that allowed it to collect sensitive data “important to Pakistan’s national security.”
Huawei didn’t immediately respond to a request for comment; neither did BES nor its lawyers Paul Tripodi and David Vondle of Akin Gump Strauss Hauer & Feld.
According to the complaint, Huawei subcontracted with BES in 2016 for its $150 million bid to develop software for a Pakistani government program providing new technology for police and law enforcement in Lahore. BES said it created software for the project that collects data from government agencies, controls access to buildings, monitors social media and manages drones, among other things.
The eight software systems BES developed for the project included proprietary code, designs, diagrams and other information that are “valuable trade secrets at the core of BES’s business,” the complaint said.
Huawei officials allegedly demanded that BES send this information to the company in China for testing, and BES said it agreed to the demand but terminated its authorization to use the technology after Huawei revoked its access to the testing laboratory.
The complaint said Huawei has yet to return any of the confidential software design tools or uninstall the software, as BES said it had agreed to.
BES said Huawei later demanded it install its data-aggregation software — used by Pakistani law enforcement to collect and analyze “sensitive data from different sources and government agencies” — in its Chinese lab, “this time not merely for testing purposes but with full access to data at the Lahore Safe City project.” BES said it agreed, under threat of termination and withheld payments, after Huawei said it had approval from the Pakistani government.
The complaint accused Huawei of using the software “as a backdoor from China into Lahore to gain access, manipulate, and extract sensitive data important to Pakistan’s national security.”
BES also said that Huawei never paid for some of its software, and that Huawei is misusing its trade secrets in similar “Safe City” projects in Pakistan and around the world.


Pakistani delegation to visit US, Europe in diplomatic push following India standoff — minister

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Pakistani delegation to visit US, Europe in diplomatic push following India standoff — minister

  • PM announced last week he was setting up diplomatic team headed by Pakistan Peoples Party Chairman Bilawal Bhutto Zardari
  • Team’s mandate is to highlight in world capitals “India’s disinformation campaign and attempts to destabilize regional peace”

ISLAMABAD: A high-level delegation set up by Prime Minister Shehbaz Sharif to present Pakistan’s position and advocate for the country in world capitals following a recent military conflict with India will start with visits to the United States and Europe, a federal minister who is a member of the team said on Tuesday.

Sharif announced last week he was setting up the diplomatic team, which is headed by Pakistan Peoples Party Chairman Bilawal Bhutto Zardari, who is a former foreign minister. 

“Our team … will visit Europe and US to represent our stance,” Climate Minister Dr. Musadik Malik, who is a member of the delegation, told a local Pakistani news channel, saying it would visit Washington, London, France and Brussels first and also Moscow at a later date. 

“We are trying that with a small team, we visit the big areas of the world who are influencers in creating an opinion for the world and also forming policies. This team’s focus will be the US and Europe.”

Last week, state media reported that the team had been set up “to highlight India’s disinformation campaign and its attempts to destabilize regional peace” as well as put the spotlight on “Pakistan’s sincere efforts for peace and stability in the region.”

The United States played a major role in de-escalating the worst fighting in decades between the two nuclear-armed South Asian rivals, who fired missiles and drones onto each other’s territory and fought with gunfire on their de facto border following weeks of tensions after a deadly April 22 attack on tourists in Indian-administered Kashmir that New Delhi blamed on Islamabad. 

Pakistan denies involvement.


Pakistani deputy PM in Beijing in aftermath of worst standoff in years with India

Updated 45 min 2 sec ago
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Pakistani deputy PM in Beijing in aftermath of worst standoff in years with India

  • Dar’s visit comes as Pakistan Air Force has hailed the use of Chinese J-10Cs to shoot down six Indian fighter jets
  • India and China are competing regional giants and nuclear powers and widely seen as long-term strategic rivals

ISLAMABAD: Pakistan’s Deputy Prime Minister Ishaq Dar began meetings today, Tuesday, with Chinese officials during a three-day visit to Beijing to discuss “the evolving regional situation in South Asia and its implications for peace and stability,” the foreign office said.

The Beijing visit comes as the Pakistan Air Force (PAF) has hailed the use of Chinese J-10Cs to shoot down six Indian fighter jets, including three French Rafales, during a flare-up in hostilities that saw the nuclear-armed neighbors pound each other with missiles, drones and artillery for four days until the United States brokered a ceasefire earlier this month. 

For China, Pakistan is a strategic and economic ally. It is investing over $60 billion to build infrastructure, energy and other projects in Pakistan as part of its China-Pakistan Economic Corridor. 

India and China, on the other hand, are competing regional giants and nuclear powers and widely seen as long-term strategic rivals, sharing a 3,800 Himalayan border that has been disputed since the 1950s and sparked a brief war in 1962. The most recent standoff — that started in 2020 — thawed in October as the two sides struck a patrolling agreement.

Starting a day of meetings on Tuesday, Dar, who is also the foreign minister of Pakistan, met with the Minister of International Department of the Communist Party of China (IDCPC), Liu Jianchao.

“The DPM/FM appreciated China’s firm support to Pakistan’s sovereignty and territorial integrity, and issues of its core interest,” the foreign office said in a statement. 

“Liu reiterated that as All-Weather Strategic Cooperative Partner and ironclad friend, China would continue to prioritize its relations with Pakistan.”

Pakistan’s Deputy Prime Minister Ishaq Dar (fouth from right) meets with the Minister of International Department of the Communist Party of China (IDCPC), Liu Jianchao, in Beijing on May 19, 2025. (Government of Pakistan)

In an earlier statement, the foreign office in Islamabad said Dar would discuss with Chinese leaders “the evolving regional situation in South Asia and its implications for peace and stability.”

“The two sides will also review the entire spectrum of Pakistan-China bilateral relations and exchange views on regional and global developments of mutual interest,” the statement added.

The conflict between India and Pakistan has offered the world a first real glimpse into how advanced Chinese military technology performs against proven Western hardware and Chinese defense stocks have already been surging as a result. 

A rising military superpower, China hasn’t fought a major war in more than four decades but has raced under President Xi Jinping to modernize its armed forces, pouring resources into developing sophisticated weaponry and cutting-edge technologies.

It has also extended that modernization drive to Pakistan, long hailed by Beijing as its “ironclad brother.”

Over the past five years, China has supplied 81 percent of Pakistan’s imported weapons, according to data from the Stockholm International Peace Research Institute (SIPRI).

Those exports include advanced fighter jets, missiles, radars and air-defense systems. Some Pakistan-made weapons have also been co-developed with Chinese firms or built with Chinese technology and expertise.


Pakistan regulator unveils new measures to strengthen Shariah-compliant market intermediaries

Updated 20 May 2025
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Pakistan regulator unveils new measures to strengthen Shariah-compliant market intermediaries

  • SECP has outlined phased approach encouraging institutional investors to engage with Shariah-compliant brokers
  • Islamic financial institutions being urged to channel takaful, investment activities through specialized intermediaries

KARACHI: The Securities and Exchange Commission of Pakistan (SECP) is proposing new measures aimed at strengthening the presence and operations of Shariah-compliant intermediaries within the capital market, the regulator said in a statement this week.

Pakistan’s Federal Shariat Court (FSC) directed the government in April 2022 to eliminate interest and align the country’s entire banking system with Islamic principles by 2027. Following the order, the government and the State Bank have taken several measures ranging from changing laws to issuing sukuk bonds to replace interest-based treasury bills and investment bonds.

However, documents seen by Arab News earlier this year showed Pakistan’s government had failed to achieve a target set by the central bank to increase the share of Islamic banking deposits in the country by 50 percent by January this year.

“The paper proposes a phase-wise approach for Shariah-compliant institutional investors to route their business through Shariah-compliant brokers based on a plan to be prepared by their respective boards of directors,” the SECP said about the latest proposal. 

“The paper encourages Islamic financial institutions, including providers of Islamic window services, to utilize Shariah-compliant intermediaries for takaful and investment purposes in situations where they are not obligated to do so.”
 
Other proposed measures include creating a specific category for Shariah-compliant intermediaries for greater visibility on the Centralized Gateway Portal and a dedicated list of Shariah-compliant asset management companies on EMLAAK Financials, Pakistan’s first digital mutual fund aggregator. The platform brings together multiple Asset Management Companies (AMCs) and their mutual funds under one roof. It is a venture of ITMinds Limited, a wholly owned subsidiary of the Central Depository Company of Pakistan (CDC).

In order to facilitate Roshan Digital Account (RDA) clients, creating a separate category of Shariah-compliant intermediaries on the websites and mobile apps of Islamic banks would also be explored in coordination with relevant stakeholders, the SECP said.


Pakistan navy thwarted Indian aircraft carrier threat during latest standoff — PM

Updated 20 May 2025
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Pakistan navy thwarted Indian aircraft carrier threat during latest standoff — PM

  • PM Shehbaz Sharif says Indian aircraft carrier Vikrant reached close to Pakistan by 400 nautical miles before retreating
  • During latest standoff, Indian navy had deployed at least 36 warships which included INS Vikrant-led Carrier Battle Group

ISLAMABAD: Prime Minister Shehbaz Sharif said on Monday an Indian aircraft carrier that had reached as close as 400 nautical miles to Pakistan retreated after realizing the country’s navy was prepared to “respond vigorously” during a military confrontation between the two nations earlier this month. 

The United States played a major role in de-escalating the worst fighting in decades between the two nuclear-armed South Asian rivals, who fired missiles and drones onto each other’s territory and fought with gunfire on their de facto border following weeks of tensions after a deadly April 22 attack on tourists in Indian-administered Kashmir that New Delhi blamed on Islamabad. Pakistan denies involvement.. 

On Monday, the Pakistani PM visited the Naval Dockyard in Karachi to pay tribute to the Pakistan navy for its role in Operation Bunyan-um Marsoos, the code-name given by the Pakistan army to what it calls a retaliatory strike launched in the early hours of May 10 after India attacked at least three of its air bases with missiles. 

“The Prime Minister particularly praised the Navy’s critical role in safeguarding sea lines of communication and ensuring the uninterrupted flow of maritime trade, while maintaining absolute maritime sovereignty through a layered and assured seaward defense,” state broadcaster Radio Pakistan reported.

In his address, Sharif said Indian aircraft carrier Vikrant had retreated after “sensing the preparedness” of the Pakistan Navy. 

Prime Minister Shehbaz Sharif (center) being briefed by Commander Pakistan Fleet about Pakistan Navy’s strategic orientation, operational preparedness and contributions during the ongoing operation, on board PNS TAIMUR at Naval Dockyard in Karachi. 19 May 2025. (Government of Pakistan)

During the latest standoff, the Indian navy had deployed at least 36 warships which included an INS Vikrant-led Carrier Battle Group including 8 to 10 warships

“Indian Navy’s [aircraft carrier] Vikrant had reached close to Pakistan by 400 nautical miles, but after suffering immense losses inflicted by Paki­stan Air Force and Pakistan Army [in May 10 retaliatory strikes], Vikrant retreated, sensing the preparedness of the Pakistan Navy to respond vigorously,” Sharif said. 

India’s navy is believed to hold significant advantage over Pakistan’s, boasting a larger fleet and more diverse capabilities. India’s navy includes aircraft carriers, destroyers, and a substantial submarine fleet, allowing it to project power beyond regional waters, whereas Pakistan’s navy is primarily focused on coastal defense in the Arabian Sea. 

India’s navy comprises over 293 vessels, including two aircraft carriers, 13 destroyers, and 18 submarines, making it a “blue-water” navy with the ability to operate in global maritime zones. INS Vikramaditya and INS Vikrant give India the capability for air power projection and anti-ship operations. 

Pakistan’s navy operates 121 ships, with no aircraft carriers or destroyers. 


Pakistan cenbank launches ‘cashless’ Eid Al-Adha campaign to promote digital payments

Updated 20 May 2025
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Pakistan cenbank launches ‘cashless’ Eid Al-Adha campaign to promote digital payments

  • Campaign aims to streamline sale and purchase of sacrificial animals in 54 designated cattle markets
  • Campaign aims to streamline sale and purchase of sacrificial animals in 54 designated cattle markets

KARACHI: Pakistan’s central bank this week announced it has launched a “Go Cashless” nationwide campaign aimed at promoting digital payments and reducing reliance on cash transactions within designated cattle markets in the days leading up to Eid Al-Adha.

The State Bank of Pakistan (SBP) has undertaken efforts recently to encourage digital transactions in line with Pakistan’s broader economic reforms, which are aimed at strengthening financial systems and increasing transparency in the country. 

Pakistan is a cash-dominated market where a significant portion of transactions, particularly in the informal sector, are conducted using cash. 

Millions of Pakistanis are expected to buy sacrificial animals this year at thousands of cattle markets across the country before the Eid Al-Adha festival in June. These cattle are bought mostly via cash each year. 

“The State Bank of Pakistan (SBP) has initiated a nationwide ‘Go Cashless’ campaign to promote digital payments and reduce reliance on cash transactions within cattle markets during the upcoming Eid-ul-Azha,” the SBP said in a statement on Monday. 

It said the initiative is in line with the central bank’s goal of fostering digital financial inclusion throughout Pakistan, and will run from May 20 until June 6 or the night of Eid Al-Adha.

“In partnership with the banking industry, the campaign aims to streamline the sale and purchase of sacrificial animals in 54 designated cattle markets across the country,” the statement said. 

The central bank said within these cattle markets, digital payment solutions can be utilized for various transactions, including the purchase of sacrificial animals, payment for necessities such as water and feed, and settlement of parking fees. 

The SBP said to support buyers and merchants, it has temporarily raised transaction limits effective from May 19 to June 15, 2025 for the following accounts:

For branchless banking level-1 accounts, Asaan Account/Asaan Digital Account and Merchant Accounts, the SBP said it has eliminated daily transaction limits and increased the per-month limit to Rs5,000,000 [$17,694].

“The public is strongly encouraged to take advantage of these convenient and secure digital financial services during the Eid-ul-Azha period,” the central bank said.

Pakistan has witnessed significant growth in digital transactions in recent years. The SBP said in a statement last month that its instant payment system, Raast, processed over 892 million transactions amounting to Rs20 trillion ($72 billion) since its launch in 2021. 

In the second quarter of fiscal year 2025 alone, Raast handled 795.7 million transactions worth Rs6.4 trillion ($23.04 billion)., it added.