Huawei Hid Business Operation in Iran after Reuters Reported Links to CFO

June 3, 2020

Author: 

Steve Stecklow and Babak Dehghanpisheh

Publication: 

Reuters

Related Country: 

  • Canada
  • China

China's Huawei Technologies effectively controlled Iran-based Skycom Tech Co and acted to cover up its relationship, according to internal Huawei and Skycom documents. This counters Huawei's claim that the Iranian firm was just a business partner. Huawei dissolved Skycom in 2013 after Western banks expressed concerns that Huawei's relationship with the Iranian company violated economic sanctions on Iran. Huawei then transferred Skycom's past contracts to a new Iranian company under its control, Huawei Technologies Service. These revelations may support a case in which the United States is seeking to extradite the Huawei executive Meng Wanzhou from Canada for violating sanctions on Iran. Canadian authorities arrested Meng in December 2018 and a judge recently rejected an argument that the U.S. charges against her do not constitute a crime in Canada.