By Karen Freifeld

(Reuters) – U.S. prosecutors on Thursday requested a decide to dismiss financial institution fraud and different expenses towards Meng Wanzhou, the chief monetary officer of China’s Huawei Applied sciences whose 2018 arrest strained relations between the U.S. and China.

Meng struck a cope with the prosecutors final 12 months for the costs towards her to be dismissed on Dec. 1, 2022, 4 years from the date of her arrest in Canada on a U.S. warrant, as Reuters reported first.

With no data Meng violated the deal, “the federal government respectfully strikes to dismiss the third superseding indictment on this case as to defendant Wanzhou Meng,” Brooklyn U.S. Lawyer Carolyn Pokorny wrote in a Dec. 1 letter to U.S. District Decide Ann Donnelly.

Huawei, a telecommunications gear maker the U.S. views as a nationwide safety menace, remains to be charged within the case, which is pending in U.S. District Court docket in Brooklyn, New York. No trial date has but been set, and a standing convention is scheduled for Feb. seventh.

Whereas Thursday’s transfer was anticipated, it closes a chapter on a very fraught section of U.S.-China relations that additionally thrust Canada into the center of a broader conflict between the 2 superpowers.

Meng had been accused of financial institution fraud and different crimes for deceptive international financial institution HSBC Holdings Plc (LON:) concerning the firm’s enterprise in Iran to acquire banking providers in violation of U.S. sanctions.

As a part of her deal — a deferred prosecution settlement — she acknowledged that she had made false statements concerning the firm’s Iran enterprise in a 2013 assembly with a financial institution government.

Meng’s unfaithful statements had been in a press release of information that she agreed was correct and voluntary and wouldn’t contradict.

The costs towards Huawei embrace every little thing from financial institution fraud to sanctions busting to conspiracy to steal commerce secrets and techniques from U.S. know-how firms and obstructing justice. It has pleaded not responsible.

Within the wake of its alleged actions, Huawei was added to a U.S. commerce blacklist, limiting U.S. suppliers from doing enterprise with the corporate.

The US additionally waged a worldwide marketing campaign towards Huawei, warning that the Chinese language authorities may use the corporate’s gear to spy. Simply this week, the U.S. Federal Communications Fee adopted ultimate guidelines banning new telecommunications gear from Huawei.

Meng, the daughter of Huawei founder and CEO Ren Zhengfei, now serves as the corporate’s rotating chairwoman and deputy chairwoman in addition to its chief monetary officer.

She flew to China from Canada on Sept. 24, 2021, the day she struck the deal. Two Canadians arrested in China shortly after she was detained had been then launched, and two American siblings who had been prevented from leaving China had been allowed to fly dwelling.

A lawyer for Meng declined remark and a spokesperson for Huawei didn’t instantly reply to a request for remark.