Senior Huawei Spends Weekend Behind Bars

Senior Huawei Spends Weekend Behind Bars

VANCOUVER - A senior executive of Chinese tech giant Huawei is spending the weekend in a B.C. jail after a judge said he needed more time to weigh her proposed bail conditions.

A Canadian lawyer told a bail hearing for Meng Wanzhou yesterday that she's wanted in the U.S. on allegations she committed fraud by using a subsidiary to violate trade sanctions against Iran.

John Gibb-Carsley says the U.S. alleges Huawei used its unofficial subsidiary Skycom to do business with Iranian telecommunications companies between 2009 and 2014.

He says Reuters reported in 2013 that Huawei was operating Skycom, causing concern among banks that did international business with Huawei.

He alleges Meng assured an executive of a bank that the two companies were separate.

Gibb-Carsley says she committed fraud because Skycom and Huawei were in fact the same company.

But Meng's lawyer David Martin says Huawei sold its shares in Skycom and Meng stepped down from the Skycom board in 2009 - a year before the sanctions were imposed.

Martin says the allegation that Meng committed fraud is ``preposterous.''

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