United States charges Huawei with stealing trade secrets and violating sanctions

United States charges Huawei with stealing trade secrets and violating sanctions

Two Huawei affiliates were accused of ten crimes over an alleged attempt to steal information about a robot used to test mobile phones at the American firm T-Mobile, the U.S. justice department said. "As a country we have to carefully consider the risks a company like Huawei will impose on our national security", he said.

Engadget has contacted Huawei for comment.

Meng was arrested in Vancouver on December 1, 2018, while she was transferring flights at YVR. "They wilfully conducted millions of dollars in transactions that were in direct violation of the Iranian Transactions and Sanctions Regulations, and such behaviour will not be tolerated".

Specifically, Huawei and Skycom are charged with bank fraud and conspiracy to commit bank fraud, wire fraud and conspiracy to commit wire fraud, violations of the International Emergency Economic Powers Act (IEEPA) and conspiracy to violate IEEPA, and conspiracy to commit money laundering, according to the DOJ. She is the CFO and deputy chairwoman of Huawei Technologies as well as the daughter of the company's founder, Ren Zhengfei. She has been detained in Vancouver since then.

Speaking together with Justice Department officials announcing the indictments, Secretary of Commerce Wilbur Ross said they were "wholly separate from our trade negotiations with China".

A 10-count indictment alleges Huawei stole trade secrets from T-Mobile beginning in 2012.

According the indictment, Huawei began stealing information about a phone-testing robot from T-Mobile called Tappy. Huawei has said that the two companies settled their disputes in 2017.




This indictment shines a bright light on Huawei's flagrant abuse of the law - especially its efforts to steal valuable intellectual property from T-Mobile to gain unfair advantage in the global marketplace.

AT&T and Verizon reportedly dropped plans to offer Huawei's Mate 10 smartphone past year after being pressured by the USA government.

The charges in both cases add to us pressure on Huawei, the world's biggest telecommunications equipment maker. In one instance, Huawei USA allegedly sent an email to its employees acknowledging that its actions would be illegal in the United States.

Meng faces charges of bank fraud, wire fraud and conspiracy to commit both bank fraud and wire fraud. US include theft of trade secrets, conspiracy, attempted theft of trade secrets, seven counts of wire fraud, and one count of obstruction of justice.

Separately, China's Vice Premier Liu He is scheduled to hold two days of trade talks in Washington, D.C. starting on January 30.

He reaffirmed that the U.S.is seeking extradition of Meng and would formally file for the extradition by Tuesday, Canada's deadline.

He referred to security threats posed by Huawei, which were reiterated by Wray during the January 28 press conference. "So that's why it creates the national-security implications that we're concerned about". US security experts are concerned that the equipment could be used to spy on the United States.

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