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[BUSINESS] · United States, China, Iran, North Korea, Canada · 31 sources

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Huawei faces criminal racketeering trial in New York

Huawei Technologies has begun a criminal racketeering trial in a Brooklyn federal court. U.S. prosecutors allege the Chinese telecommunications giant engaged in a two-decade-long scheme to steal trade secrets from five American technology companies and abuse the U.S. financial system.

A central component of the indictment involves Huawei’s alleged use of Skycom, a Hong Kong-based shell company, to conduct business in Iran in violation of U.S. sanctions. Prosecutors claim this allowed the company to move significant funds through the global banking system. Additionally, the company faces accusations of conducting business in North Korea despite sanctions and providing surveillance equipment used by the Iranian government to monitor protesters in 2009.

Huawei has pleaded not guilty to all charges, including bank fraud, wire fraud, and racketeering. Defense attorneys argue that the allegations are overly broad and that any misconduct was the result of individual employees rather than a corporate conspiracy. The company maintains that its success is driven by innovation and respect for intellectual property, calling the prosecution’s narrative “demonstrably false.”

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Ann Donnelly · Ann M. Donnelly · HSBC · Huawei Technologies · Meng Wanzhou · New York · Skycom · T-Mobile · United States · United States Department of Justice

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