Huawei CFO to appear in Canada court in US extradition case

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An illustration shows a journalist reading a news page about tech giant Huawei in The Globe and Mail in Montreal, Canada, Thursday. The arrest of a top executive of Huawei at the request of US authorities signals a toughening stand in Washington on dealing with Chinese tech firms amid longstanding concerns over cyberespionage. Meng Wanzhou (pictured on the news page), Huawei's chief financial officer, was detained this week in Canada and faces an extradition request from US authorities over an investigation into suspected Iran sanctions violations by the Chinese technology giant. — AFP

VANCOUVER/TORONTO — A top executive of China's Huawei Technologies Co Ltd who is under arrest in Canada is set to appear in a Vancouver court on Friday for a bail hearing as she awaits possible extradition to the United States.

Huawei CFO Meng Wanzhou, 46, who is also the daughter of the company founder, was arrested on Dec. 1 at the request of the United States. The arrest, revealed by Canadian authorities late on Wednesday, was part of a US investigation into an alleged scheme to use the global banking system to evade US sanctions against Iran, people familiar with the probe told Reuters.

The news roiled global stock markets on fears the move could escalate a trade war between the United States and China after a truce was agreed on Saturday between President Donald Trump and Xi Jinping in Argentina.

Details of the case against Meng, to be heard in the Supreme Court of British Columbia, remain sparse.

Canada's Justice Department has declined to provide details of the case and Meng has secured a publication ban, which curbs the media's ability to report on the evidence or documents presented in court.

The bail hearing could be just a preliminary session to set out a schedule, lawyers said. The Crown counsel is expected to argue that Meng poses a flight risk and should be kept in a detention facility, legal experts said. The onus will be on Meng's lawyer to provide evidence that she will not flee, they added.

Huawei, which has confirmed Meng was arrested, said on Wednesday that "the company has been provided very little information regarding the charges and is not aware of any wrongdoing by Ms. Meng."

A Huawei spokesman declined to comment on Thursday and said that Wednesday’s statement still stands.

If granted bail, Meng will likely have to post bail with "a surety of several million dollars", Vancouver lawyer Gary Botting, who has experience with extradition cases, said. She would also have to give up her passport, he said.

Meng could also be fitted with electronic monitoring equipment, and the court could go so far as to order security to monitor her while she awaits a decision on extradition, lawyers said.

If Meng fights extradition, her case could go on for years, lawyers said, pointing to examples like Lai Changxing, a Chinese businessman who fled to Canada after he was implicated in a bribery case and fought extradition to China for 12 years. If she chooses not to fight, she could be in the United States within weeks, experts said.

"You need massive material and evidence to support detention release," said Richard Kurland, a Vancouver-based immigration lawyer. He said Meng would likely be returned to detention if there was no decision on bail.

It is unclear where Meng is being held in Vancouver. Several lawyers have noted that detention facilities in the region are spartan and she would likely be sharing her quarters with other inmates.

Huawei, which employs about 1,000 people in Canada, faces intense scrutiny from many Western nations over its ties to the Chinese government, driven by concerns it could be used by Beijing for spying. — Reuters


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