ZTE slapped with export restrictions by US Commerce Department

Share
ZTE slapped with export restrictions by US Commerce Department

The U.S. blocked Chinese telecommunications-gear maker ZTE Corp. from exporting sensitive technology from America, alleging the company made false statements to U.S. officials.

The Chinese company, which sells smartphones in the United States, pleaded guilty previous year in federal court in Texas for conspiring to violate US sanctions by illegally shipping USA goods and technology to Iran. As part of the initial agreement, ZTE was allowed to continue to work with US companies, assuming it adhered to the rules laid out in the agreement.

These false statements covered up the fact that ZTE paid full bonuses to employees that had engaged in illegal conduct, and failed to issue letters of reprimand.

The Department of Commerce has now determined ZTE made false statements to BIS in 2016, during settlement negotiations, and 2017, during the probationary period, related to senior employee disciplinary actions the company said it was taking or had already taken.

"ZTE misled the Department of Commerce.Instead of reprimanding ZTE staff and senior management, ZTE rewarded them.This egregious behaviour can not be ignored", Ross said. Instead of reprimanding ZTE staff and senior management, ZTE rewarded them.

"ZTE made false statements to the US Government when they were originally caught and.made false statements during the reprieve it was given, and made false statements again during its probation", Commerce Secretary Wilbur Ross said in a statement. "That was in response to the US asking for the information".

A senior official with the Commerce Department Bureau of Industry and Security told reporters that the ZTE decision was unrelated to the administration's threats to impose tariffs on Chinese imports, saying the actions against the Chinese company are part of an investigation.

Douglas Jacobson, an exports control lawyer who represents suppliers to ZTE, called the ban highly unusual and said it would severely affect the company.

Chinese smartphone maker ZTE has been hit with United States export restrictions related to charges that it illegally shipped telecom equipment to Iran and North Korea.

ZTE officials did not immediately respond to requests for comment. Today, though, the United States government has banned U.S. companies from selling to the Chinese company.

The five-year United States government investigation into ZTE's actions was first revealed in March 2016.

Share

Advertisement

Related Posts

Gayle King Grills Paul Ryan on Lack of Diversity in GOP
But a Republican leader built in Trump's own image - a political bomb-thrower, ruled by impulse - is unlikely, Green said. The speaker reflects on Donald Trump and fatherhood in an interview hours after his surprise retirement announcement .

Inmates Killed, 17 More Injured, in South Carolina Prison Violence
Several fights broke out among inmates in three separate housing units at the Lee Correctional Institution around 7:15 p.m. In March, inmates at the prison held an officer hostage after taking control of a dorm room, The State reported.

Russian Federation to Block Telegram Over Encryption Battle
The popular app is used by many around the world to communicate without the fear of being monitored by repressive governments. The watchdog's chief, Aleksandr Zharov, told Russian media he plans on cutting off access to Telegram "soon".

New Kingdom Hearts III Trailer Shows Off Playable Disney-Themed Mini-Games
If you have participated in discussions about Kingdom Hearts 3 , you must've at least viewed a couple of fan-made endings. The games of course take inspiration from classic LCD games from the 80s, much like Game & Watch.

Trader's Portfolio of Effective Stock: Exxon Mobil Corporation (XOM)
The formula is calculated by looking at companies that have a high earnings yield as well as a high return on invested capital. On Tuesday, March 13 ROBERTS BRIAN L sold $25.24 million worth of Comcast Corporation (NASDAQ:CMCSA) or 691,105 shares.

John Stamos and Wife Caitlin McHugh Welcome Their First Child
Their pregnancy news was announced just two months after they announced their engagement . "I've been practicing for a long time". Stamos first announced he was going to be a father this past December, telling People magazine, "I will be a fun dad".

Cetera Investment Advisers Has $1.74 Million Holdings in Bank of America (BAC)
On 1/31/2018 announced a Quarterly dividend of $0.12 1.6% with an ex dividend date of 3/1/2018 which will be payable on 3/2/2018. Keefe Bruyette & Woods maintained Bank of America Corporation (NYSE:BAC) on Tuesday, October 3 with "Buy" rating.

Beyonce's wardrobe malfunction didn't stop her from performing at Coachella
Fans who had noticed the wardrobe malfunction lauded Beyonce's professionalism and praised her on social media. Like her outfits, Beyonce's performance was vivid, with the singer crooning to Say My Name , and other hits.

JD Wetherspoon shuts down social media accounts following 'trolling' of MPs
Wetherspoon's founder Tim Martin said on Monday that all its accounts would be shut down, effective immediately. The chairman today said his company "will still be as vocal as ever" through its Wetherspoon News magazine.

Dozens injured in Armenia rallies against ex-president
On April 14, Armenia's ruling Republican Party nominated Serzh Sargsyan for the post of prime minister. Some protesters began to build barricades with trash bins and benches.

© 2015 ExpressNewsline. All Rights reserved.