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U.S. Government Working On A Deal With Huawei’s Meng Wanzhou

The U.S. government is discussing a deal with Huawei’s Chief Finance Officer (CFO) Meng Wanzhou, that would see her sent back to China from Canada if she admits wrongdoing in the case against her.

Lawyers for Meng have spoken to officials at the U.S. Department of Justice in recent weeks about entering a so-called "deferred prosecution agreement." More discussions are scheduled for this week with the aim of striking a deal before the end of the Trump administration.

Meng was arrested in Vancouver in December 2018 and has been held in Canadian custody ever since. The U.S. charged Meng and Huawei with bank and wire fraud in violation of American sanctions on Iran and has been seeking her extradition to America to stand trial.

The U.S. alleges that Meng lied to major banks, including HSBC, about Huawei’s relationship with a subsidiary in Iran called Skycom in order to obtain banking services. Huawei and Meng deny any wrongdoing.

Under the agreement being discussed, the U.S. would agree to defer or drop charges against Meng if she admits to some of the allegations against her. She would also be able to return to China from Canada, where she is currently on bail and living in her own house in Vancouver.

The arrest of Meng, who is a daughter of Huawei founder Ren Zhengfei, caused political and diplomatic tension between the U.S. and China. The U.S. maintains that Huawei represents a national security threat and has tried to persuade other countries to block the company from their next-generation 5G mobile networks.

The arrest of Meng also sparked tensions between Ottawa and Beijing, with Chinese authorities retaliating and arresting several Canadians in China, as well as taking retaliatory action against Canadian agriculture imports. A number of hearings have already taken place this year in Vancouver as part of Meng’s extradition trial, which is expected to continue for several more months.