A U.S. judge is of the opinion that the Chinese company ZTE has violated the agreements it had made with the United States. In so doing, the company has violated the conditions of the probationary period and this has led to a further two years of additional checks on the company.
That’s what American judge Ed Kinkeade says in Dallas. According to Kinkeade, ZTE did exactly what it was punished for last April. According to the U.S. Department of Commerce, ZTE lied about the sentences it would have handed out to 35 employees who had supplied American goods to Iran and North Korea.
For this reason, Kinkeade decided to extend the monitor set up to monitor ZTE’s compliance with the agreements made by two years. This period was originally intended to end in 2020, but has now been extended to 2022.
Earlier this year, ZTE almost went bankrupt. Then the American government forbade its hardware manufacturers from doing business with the Chinese company. The ban was imposed because ZTE had supplied certain goods produced by American companies to countries subject to a trade embargo. This should not be dealt with when American products are involved. That was what ZTE had done and a complete trade ban was imposed on it.
After several months of negotiations, including between the senior Chinese and American officials, the embargo was lifted again. ZTE had to pay a fine of 1 billion dollars and set aside 400 million dollars for any additional compensation. In addition, the entire management of the company was replaced.This news article was automatically translated from Dutch to give Techzine.eu a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.