Canada, US show no signs of releasing Huawei CFO Meng Wanzhou

A Canadian flag flies outside of the Alouette Correctional Centre for Women where Huawei CFO Meng Wanzhou is being held on an extradition warrant in Maple Ridge British Columbia Canada

China Slams Treatment of Huawei Executive Held in Canada as'Inhumane REUTERS David Ryder

Meng has contended that Huawei sold Skycom in 2009.

On Friday, the US began a market-shaking case against the Chinese telecoms giant in a Vancouver courtroom, alleging that Meng had hidden ties between Huawei and a company called Skycom that did business in Iran, said a lawyer representing Canada during the court hearing.

A Canadian prosecutor told a Vancouver court on Friday that the United States asked Canada to arrest Meng because the us alleges she violated sanctions on Iran.

As details of American allegations against a Chinese executive were revealed Friday in a Vancouver court, Foreign Affairs Minister Chrystia Freeland said Canada's ambassador in Beijing had briefed the Chinese foreign ministry on her arrest.

The hearing will resume on Tuesday 10:00 a.m. PST (1 p.m. EDT/ 1800 GMT), the judge said. Pacific Time (1800 GMT).

Vice Foreign Minister Le Yucheng lodged a "strong protest" on the detention of Meng Wanzhou, 46, during a meeting with Terry Branstad, the USA ambassador to China.

But President Donald Trump undercut that message in an interview Tuesday with Reuters, where he said he would consider intervening in the case against Meng if it would be in the interest of US national security or help forge a trade deal with Beijing.

The Global Times' editor-in-chief, Hu Xijin, took a conciliatory tone in a speech at the newspaper's annual forum on Saturday, arguing that foreign brands, including USA phone maker Apple, should not become a target of nationalist anger in the wake of Meng's arrest.

Vancouver prosecutor John Gibb-Carsley said in a court hearing on Friday that an arrest warrant had been issued for Meng's detention in NY on August 22.

Canada must ensure that Ms Meng is not deported without due process and full scrutiny of the charges against her.

Meng's lawyer, David Martin, said her prominence made it unlikely she would breach any court orders.

"The threat from these companies lies in their access to critical internet backbone infrastructure", she said. Fleeing "would humiliate and embarrass her father, whom she loves", he argued.

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Canada has a longstanding extradition treaty with the United States, requiring it to cooperate with US Department of Justice requests to hand over suspects.

China's Huawei will spend $2 billion as part of efforts to address security issues raised in a British government report earlier this year, sources with knowledge of the matter said on Friday.

Huawei has said it complies with all applicable export control and sanctions laws and other regulations.

In her dealings with the banks, Meng hid ties between Huawei and Skycom, when in fact Skycom employees worked for the Chinese telecom-equipment giant, Gibb-Carsley added. That was about six years after the company was founded to sell phone switches.

In 2007, a management company controlled by Huawei's parent company held all of Skycom's shares.

Meng has risen up the ranks as the company has grown.

Australia, New Zealand and Britain are among the countries that have moved to limit the Chinese companies' involvement in their next-generation telecoms networks. The Globe and Mail newspaper, citing law enforcement sources, reported she is suspected of trying to evade USA sanctions on Iran.

Rubio was a strong critic of China's ZTE Corp, which pleaded guilty in 2017 to violating US laws that restrict the sale of American-made technology to Iran.

Meng said she was taken to a hospital for treatment for hypertension after being detained. USA prosecutors argue that Meng fraudulently said there was no link, the court heard on Friday.

The media report also said, citing the Canadian court documents, that a certain financial institution and its subsidiary office in the USA cleared more than $100 million of transactions related to Skycom through the United States between 2010 and 2014. HSBC is not under investigation, according to a person familiar with the matter.

"We have lodged solemn representations and strong protests with Ambassador Terry Branstad against the detention of Huawei's chief financial officer, Meng Wanzhou". No evidence has been produced publicly and the firm has repeatedly denied the claims.

Other nations are increasingly being forced to choose between Chinese and US suppliers for next-generation 5G wireless technology. ZTE paid a $892 million penalty.

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