Huawei to contest FCC ruling on government subsidy program

CFO Meng Wanzhou doesn't want the extradition case broadcast, fears Trump will try to meddle


China-based telecommunications giant Huawei is contesting a U.S. Federal Communications Commission decision that bars U.S. rural carriers from purchasing its equipment.

Most recently, the FCC is disallowing carriers from tapping into an $8.5 billion USD (about $11.29 billion CAD) government fund that would let them use Huawei’s equipment in rural parts of the country.

The regulator asked these carriers to replace the equipment, a move that could severely damage Huawei’s business in the U.S.

Reuters reported that Huawei is planning to file the lawsuit next week in the Fifth Circuit Court of appeals in New Orleans. Huawei also plans to make an announcement on the matter next week in China.

However, a Huawei spokesperson told Reuters: “We don’t comment on speculation.” Huawei has 30 days to appeal the order, which was voted on November 22nd.

Meanwhile, the National Post reports that the company’s CFO Meng Wanzhou does not want her extradition proceedings to be broadcast in Canada fearing that U.S. President Donald Trump could muddy her case.

Meng was arrested in December in Vancouver and later, her, Huawei and its subsidiary Skycom, were charged with 13 counts of bank and wire fraud. These allegations are yet to be proven in court and Huawei denies them.

Meng is currently on bail living in Vancouver awaiting for her extradition case to begin in January.

The article indicated that a British Columbia Supreme Court is deciding whether or not the proceeding will be broadcasted.

Meng’s lawyers argued that broadcasting the hearing would amplify “the risk that the President of the United States will once again intervene in the Respondent’s case, or harbour resentments, that are both threatening and intimidating.”

Daniel Coles, the lawyer representing 13 domestic and international media outlets argued that broadcasting it would “engage with the very meaning of open and accessible justice in the modern era.”

Source: Reuters, National Post