(The Canadian Press)

(The Canadian Press)

China charges ‘two Michaels’ with spying in Huawei-linked case

The charges were announced by China’s highest prosecutor’s office in brief social media posts

China has charged two detained Canadians with spying, escalating tensions between the two countries following the arrest in Vancouver 18 months ago of a senior Huawei executive wanted on U.S. charges.

Chinese prosecutors said Friday that Michael Kovrig was charged in Beijing on suspicion of spying for state secrets and intelligence.

Michael Spavor was charged in Dandong city near the North Korean border on suspicion of spying for a foreign entity and illegally providing state secrets.

The charges were announced by China’s highest prosecutor’s office in brief social media posts.

Both men have been held since December 2018 in a move seen as an apparent attempt to pressure Canada to release Meng Wanzhou, a top executive at Chinese tech giant Huawei.

China has denied any explicit link between her case and the lengthy detention of the two Canadian men, but outside experts see them as tied and Chinese diplomats have strongly implied a connection.

The daughter of Huawei’s founder was arrested at Vancouver’s airport on Dec. 1, 2018, at the request of U.S. authorities who want her on fraud charges, which she and the company have denied.

Meng is out on bail as hearings are ongoing in B.C. Supreme Court after a judge rejected the first set of arguments from her lawyers late last month in a bid to set her free.

Associate Chief Justice Heather Holmes ruled Meng’s alleged offences would constitute a crime in Canada and the case should proceed.

The next round of legal arguments is set to focus on whether Meng’s arrest was unlawful and whether the U.S. records of the case contain misstatements or omissions.

The Chinese embassy in Ottawa denounced Holmes’s decision and called once more for Meng’s immediate release.

Foreign Affairs Minister Francois-Philippe Champagne responded in turn by calling for the release of the two “arbitrarily detained” Canadian men.

Kovrig is an ex-diplomat who was working for the International Crisis Group and Spavor is an entrepreneur who did business in North Korea.

They have been in Chinese prisons since they were arrested nine days after Meng’s arrest.

The conditions under which the two Canadians are being held has been the subject of scrutiny.

Kovrig and Spavor had no access to lawyers or their families as of May, with the exception of a phone call the Chinese embassy said Kovrig was allowed to make to his sick father in mid-March.

At the same time, the embassy said Kovrig and Spavor were being provided with better food to strengthen their immunity against the novel coronavirus.

It said detention centres were closed due to the epidemic, so Kovrig and Spavor were receiving more frequent letters and parcels to ensure their contact with Canadian diplomats in China.

The allegations against Meng, who is Huawei’s chief financial officer, date back to 2013.

The U.S. is seeking to extradite Meng on fraud charges based on allegations she lied to HSBC about Huawei’s relationship with Skycom, a telecommunications company in Iran, putting the bank at risk of violating American sanctions against that country.

But in a case management memo dated June 12, Meng’s lawyers assert their client delivered a presentation to an HSBC banker in Hong Kong that included statements about Huawei’s business activities in Iran, but the statements were omitted from U.S. records of the case.

They argue Meng’s statements provided the bank with “the material facts it needed to know in order to assess whether there was any risk to HSBC in continuing to provide banking services to Huawei, including processing U.S. dollar transactions related to Huawei’s commerce in Iran.”

The tensions between Canada and China have spilled over into trade between the two countries including canola exports from Canadian farmers.

Earlier this month, Huawei’s ambitions to be a player in Canada’s 5G network were very much cast in doubt after two of the country’s three largest telecom companies announced partnerships with the Chinese company’s European rivals.

Bell Canada announced on June 2 that Sweden-based Ericsson will be its second supplier of the radio access network equipment — a major component in fifth-generation wireless networks — following its choice of Finland’s Nokia in February.

Later in the day, Telus Corp., which uses Huawei equipment extensively in its current network, announced that it too had selected Ericsson and Nokia for its 5G network needs.

Huawei is the world’s biggest supplier of network gear used by phone and internet companies.

The announcements come as Ottawa continues its review of Huawei’s role in Canada’s 5G networks over security concerns due to suspicions about the company’s relationship with China’s government.

The United States has warned Canada, the United Kingdom and other allies that it will limit intelligence sharing with countries that have Huawei equipment in their 5G networks — citing its potential use for spying by China, an allegation Huawei denies.

The Associated Press

Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

B.C. Finance Minister Selina Robinson outlines the province’s three-year budget in Victoria, April 20, 2021. (B.C. government video)
B.C. deficit to grow by $19 billion for COVID-19 recovery spending

Pandemic-year deficit $5 billion lower than forecast

Nanaimo-Ladysmith school district teachers’ union, and its counterparts from Mount Arrowsmith district, seek stricter COVID-19 rules. (News Bulletin file)
Nanaimo-Ladysmith teachers’ union asks for stricter COVID-19 measures

Teachers ask for vaccine, more online learning, mask mandate for primary students

Red Seal Chef and Registered Holistic Nutritionist, Christina Acevedo’s new book Two Little F Words hopes to inspire readers to eat healthier diets. (Submitted photo)
Local nutritionist’s book aims to promote health through feasting, fasting, and a whole food diet

Christina Acevedo was inspired to write Two Little F Words after her mother’s Alzheimer’s diagnosis

Chakalaka Bar & Grill remains open in defiance of orders from Island Health to close. (Cole Schisler photo)
Island Health seeks injunction against restaurant defying COVID-19 orders

VIHA says Chakalaka Bar and Grill also violating water and sewer regulations with RV hook-ups

B.C. provincial health officer Dr. Bonnie Henry speaks at a press conference Monday, April 18. (B.C. Government image)
New COVID-19 cases tick down on the central Island

New cases held to single digits three days in a row

A large crowd protested against COVID-19 measures at Sunset Beach in Vancouver on Tuesday, April 20, 2021. (Snapchat)
VIDEO: Large, police-patrolled crowds gather at Vancouver beach for COVID protests

Vancouver police said they patrolled the area and monitored all gatherings

Canadian driver Paul Tracy pulls out of the pits during the morning session at the Molson Indy in Vancouver, B.C., Saturday, July 26, 2003 (CP/Richard Lam)
Vancouver is considering hosting a Formula E race using electric cars

The race would be part of a three-day event focused on climate and sustainability

Chart from the April 20 B.C. budget shows sharp dip in real estate sales early in the COVID-19 pandemic and the even steeper climb since late 2020. (B.C. government)
Hot B.C. housing market drives property transfer tax gains

B.C. budget boosts tobacco, sweet drinks, carbon taxes

President Joe Biden holds a virtual bilateral meeting with Canadian Prime Minister Justin Trudeau. (AP Photo/Evan Vucci)
U.S. to help Canada with more COVID-19 vaccine supply, Biden says

The U.S. has already provided Canada with about 1.5 million doses of the AstraZeneca vaccine

B.C.’s 2021 budget is trending in the right direction to support farmers, says the BC Fruit Growers’ Association. (Phil McLachlan - Capital News)
BC Fruit Growers’ Association gives thumbs up to provincial budget

BCFGA general manager said budgetary investments put farming industry on a good trajectory for recovery

Some Saanich firefighters have expressed concerns about first responders in the Island Health Region not being prioritized to receive the COVID-19 vaccine as an outbreak at a fire station would make service delivery a challenge. (Devon Bidal/News Staff)
Some Island firefighters not prioritized for COVID-19 vaccine despite working on frontlines

Saanich members express frustration, department calls on Island Health to take action

B.C. Finance Minister Selina Robinson leaves the assembly with Premier John Horgan after the budget speech Tuesday, April 20, 2021. THE CANADIAN PRESS/Chad Hipolito
Paid sick leave for ‘hard-hit’ workers left out of provincial budget: BCGEU

‘For recovery to be equitable it requires supports for workers, not just business,’ says union president Laird Cronk

In this image from video, former Minneapolis police Officer Derek Chauvin, center, is taken into custody as his attorney, Eric Nelson, left, looks on, after the verdicts were read at Chauvin’s trial for the 2020 death of George Floyd, Tuesday, April 20, 2021, at the Hennepin County Courthouse in Minneapolis, Minn. THE CANADIAN PRESS/Court TV via AP, Pool
George Floyd’s death was ‘wake-up call’ about systemic racism: Trudeau

Derek Chauvin was found guilty Tuesday on all three charges against him

Most Read