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China's Huawei Technologies Faces Racketeering Trial in New York
Prosecutors say Huawei hid its Iran ties and ran a 20-year trade secret theft scheme that could lead to forfeiture if convicted.
Jury selection begins Tuesday in New York for Huawei Technologies' criminal racketeering trial, where the company faces charges of stealing U.S. trade secrets, wire fraud, and bank fraud.
The U.S. initiated charges in early 2019, alleging Huawei used a Hong Kong shell company called Skycom to sell equipment to Iran in violation of sanctions.
Chief financial officer Meng Wanzhou faced fraud charges for allegedly misleading HSBC about Huawei's business in Iran; she was arrested in Canada in 2018 and returned to China in 2021.
Huawei's lawyers argued the case should be dismissed, claiming allegations are "impermissibly extraterritorial," while Chinese officials accused the U.S. of "economic bullying" and misusing national security as a pretext.
Facing bans from U.S. carriers, Huawei has struggled under sanctions limiting access to processor chips, though the company recently expanded into chipmaking to meet artificial intelligence demand.