Chinese Tech Giant Huawei is seriously facing the heat in the US as the American government is bringing another charge against the company. The U.S. Justice Department recently included more criminal charges against Huawei and some subsidiaries of the company, according to reports.
The Federal prosecutors announced yesterday that it has found Huawei guilty of stealing trade secrets from American competitors. Moreover, according to the prosecutors, the company was secretly doing business in North Korea even after economic sanctions were placed on the country.
Also, the prosecutors indicted Huawei of providing surveillance equipment to Iran which helped the Middle East country monitor protests at the Tehran anti-government demonstrations in 2009.
More indictment charges against Huawei
There are several other similar indictments accusing Huawei of recurring some of its employees to spy and steal trade secrets from some companies in the U.S.
According to the prosecutors, Huawei offered incentives and bonuses to the employees who could steal information about their businesses from competitors and other companies. It also made use of proxies, some of whom are professors at research institutions, to siphon valuable ideas the company could use to enhance its business operations and wade off competition.
Huawei disputes allegation
Yesterday, Huawei disputed all the allegations and said the accusations do not hold any merit, pointing out that the allegations are all part of the U.S. government’s plans to continue with the trade war it is currently engaged with China.
President Donald Trump is still serious with the U.S. plans to raise its ban against Huawei, as he has previously cited national security concerns if the Chinese company keeps operating in the country. The U.S. government is currently lobbying with other western allies to bar Huawei from offering 5G wireless services in their countries.
The recent charges add to the problems Huawei is currently facing, which started ever since the U.S.-China trade war began. It adds to the racketing conspiracy charges labeled against the company to a previous criminal case against it in New York.
Individuals also indicted
In a related development, Seattle Federal prosecutors have brought an indictment charge against a senior executive of Huawei, Meng Wanzhou, for stealing trade secrets from American companies.
The daughter of the founder of the company was also accused of making false claims to banks about the company’s relationship with its affiliates in Iran. She is yet to be taken to the U.S. after her arrest in British Colombia.
Some of the stolen information and technology include internet router manuals, robot testing technology, as well as an antenna. The prosecutors said Huawei want to use the stolen information save on the cost of research and development. According to prosecutors, Huawei has stolen from different companies. In one of the cases the prosecutors mentioned, it stated that a Huawei engineer pulled out an arm of a robot of another rival firm in Washington and hide the stolen item in his laptop bag.
Subsequently, the culprit sent photos of the stolen item via email to Huawei. However, the company discovered the theft and caught the engineer.
The prosecutors said this is one of the several cases it has discovered from more than six companies.