Supreme court justice ‘reserves judgment’ in case of Meng Wanzhou, whom the US is trying to extradite on charges of fraud

This article is more than 7 months old

This article is more than 7 months old

The Canadian court tussle over the arrest of a Huawei telecoms executive has been put in limbo after a judge adjourned the case that pits the United States against China.

Washington is seeking extradition of Huawei’s chief financial officer, Meng Wanzhou, who was arrested in December 2018 during a flight stopover in Vancouver.

“I’m reserving judgement,” British Columbia supreme court Justice Heather Holmes said at the end of a four-day hearing.

Further hearings are scheduled for later this year on allegations of a conspiracy to arrest Meng – the eldest daughter of Huawei founder Ren Zhengfei.

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If extradited, Meng would face US prosecution on charges of fraud linked to violations of sanctions against Iran.

Four days of legal arguments this week focused on whether the US charges would stand up in Canada, a key test for extradition.

Appeals by either side could also drag out the case – which has strained relations between the world’s two largest economies – for years.

Each morning of the hearing, Meng walked out of one of her two luxury homes where she is staying, dressed in black business attire, with her tracking ankle-bracelet clearly visible.

Authorities allege that Meng lied to HSBC about Huawei’s relationship with its Iran-based affiliate Skycom, putting the bank at risk of violating US sanctions.

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Meng’s defense lawyers argued that her misrepresentations, if they occurred, do not amount to fraud, and that Canada repudiated the US sanctions against Iran.

“The international community has rejected the very sanctions that ground the accusations in this case,” said defense lawyer Eric Gottardi.

He accused the US of abusing its treaty with Canada by asking it to arrest Meng as part of a campaign against China’s largest international company.

As the case played out before a packed courtroom, a spy row between Canada and China has raged on.

Nine days after Meng was taken into custody, China arrested two Canadians on allegations of espionage. The detention of former diplomat Michael Kovrig and businessman Michael Spavor has been widely interpreted as retribution by Beijing.

China’s ambassador to Canada, Cong Peiwu, has said Meng’s release was a “precondition” for improved bilateral ties.

On Tuesday, however, Justin Trudeau rejected domestic calls to free Meng in a “prisoner swap” for Kovrig and Spavor.