Huawei CFO and U.S. reach agreement to resolve bank fraud charges

Huawei Chief Financial Officer Meng Wanzhou has reached an agreement with U.S. prosecutors to resolve the bank fraud case against her, according to sources familiar with the matter, in a process that should allow her to leave Canada and relieve a point of tension between the world’s two super powers.

The U.S. government said it will appear in Brooklyn federal court to discuss a resolution of charges against Meng, according to a Friday court filing.

Meng was arrested here at Vancouver International Airport in December 2018 on a U.S. warrant, and was indicted on bank and wire fraud charges for allegedly misleading HSBC about the telecommunications equipment giant’s business dealings in Iran.

The deferred prosecution agreement, pertains only to Meng and U.S. charges remain against the company, according to two other people familiar with the matter.

Beyond solving a dispute between the United States and China, the agreement could also pave the way for the release of two Canadians, businessman Michael Spavor and former diplomat Michael Kovrig, who are held in China after being arrested shortly after Meng was taken in custody in 2018.

Meng, who has also used the English first names “Cathy” and “Sabrina,” has said she is innocent and has been fighting extradition to the United States from Canada. She is confined to Vancouver and monitored 24/7 by private security that she pays for as part of her bail agreement.