Start Asia Prosecutors accuse Meng Wanzhou of fraud by subsidiary SkyCom in Iran deals

Prosecutors accuse Meng Wanzhou of fraud by subsidiary SkyCom in Iran deals

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High voltage in a courtroom in Vancouver: The first hearing was held following the arrest of Huawei top manager Meng Wanzhou on December 1 at Vancouver International Airport (Canada).

The court has to decide if the daughter of the legendary founder of one of the most powerful companies in China has to stay in detention pending a US extradition request.

Meng, one of China’s most famous businesswomen, wore a green pullover and looked surprisingly relaxed in the courtroom during the hours-long hearings.

In court, first explosive details and background were made known about the case, which caused stock market shakes around the world and has led to a new ice age between the US and China:

A US judge in New York had issued a warrant for fraud against Meng on August 22, 2018, the prosecutor announced.
The background is allegations that Huawei, through a subsidiary called „SkyCom“, has engaged in illegal business with Iran and other states under international sanction – with the alleged knowledge and connivance of Huawei’s top management.
In 2013, Meng personally assured US banks suspected of SkyCom’s activities that Huawei and SkyCom had no connections.
Meng would not have made trips to the US after April 2017 after grand jury investigations against a Huawei subsidiary were initiated. She said she „avoided“ the US, even though she used to visit the country regularly and study her son in Boston.
Prosecutor John ML Gibb-Carsley said in court, „The main allegation is that SkyCom is synonymous with Huawei, that’s cheating.“
Gibb-Carsley dismissed her lawyers‘ request that she be released on bail of $ 1 million, given the $ 3.2 billion in her father Ren’s private fortune, and it would be like $ 136 for a simple citizen Deposit required.
In addition, there is a substantial risk of escape given their „extensive financial resources,“ according to Canada Justice.
Her defense lawyer, David Martin, however, argued that she would stay in Vancouver during the extradition process, since she owns two houses here. Her husband also lives in Vancouver.
Using PowerPoint presentations, their lawyers also tried to show that there are no business connections between Huawei and SkyCom. An audit by KPMG would have confirmed that as well.
It also became known that Meng was from Hong Kong on the way to Mexico when she was arrested while changing trains in Vancouver.
The hearing was postponed to Monday in the late afternoon. Meng remains in detention for the time being.