HSBC Monitor Flagged Suspicious Huawei Transactions to Prosecutors
07 December 2018 - 6:26AM
Dow Jones News
By Rachel Louise Ensign
A federally appointed overseer at HSBC Holdings PLC flagged
suspicious transactions in the accounts of Huawei Technologies Co.
to prosecutors seeking the extradition of the Chinese company's
finance chief, people familiar with the matter said.
A monitor charged with evaluating HSBC's anti-money-laundering
and sanctions controls in recent years relayed information about
the Huawei transactions to federal prosecutors in the Eastern
District of New York, the people said.
Canadian authorities on Dec. 1 arrested Huawei Chief Financial
Officer Meng Wanzhou in Vancouver at the request of the U.S. for
alleged violations of Iran sanctions, the latest move by Washington
against the Chinese cellular-technology giant. The U.S. is seeking
Ms. Meng's extradition so she can appear in federal court in the
Eastern District, The Wall Street Journal has reported.
HSBC, one of several banks that did business with Huawei, is
cooperating with investigators and isn't a target in the Huawei
probe, some of the people said. The British bank until recently was
being formally monitored for its controls meant to catch money
laundering and sanctions violations under a 2012 agreement with
U.S. prosecutors.
The Journal reported in April that the Justice Department had
launched a criminal probe into Huawei's dealings in Iran, following
administrative subpoenas on sanctions-related issues from both the
Commerce Department and the Treasury Department's Office of Foreign
Assets Control.
Write to Rachel Louise Ensign at rachel.ensign@wsj.com
(END) Dow Jones Newswires
December 06, 2018 14:11 ET (19:11 GMT)
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