Chinese telecoms giant Huawei said on Thursday it was unaware of any wrongdoing by its chief financial officer, who was arrested in Canada and faces extradition to the United States.

"She is sought for extradition by the United States, and a bail hearing has been set for Friday", Justice Canada spokesperson Ian McLeod told the News via email.

Back in April of this year, multiple reports described how USA authorities were investigating the possibility that Huawei had sold telecommunications equipment to Iran in violation of trade sanctions.

Huawei has recently been embroiled in reports of security concerns by western nations, who have recently become increasingly wary of what they say is possible Chinese government involvement in 5G mobile networks and other communications networks.

The US began an investigation in 2016 to ascertain whether or not Huawei has violated American sanctions against Iran.

Canadian authorities for their part are not providing any details beyond the arrest, and various US news organizations have been unable to get a comment from US Department of Justice officials. "The ban was sought by Ms. Meng", McLeod said.

The statement added the embassy was closely following developments in the case and would "take all measures to resolutely protect the legitimate rights and interests of Chinese citizens".

"The company believes the Canadian and USA legal systems will ultimately reach a just conclusion".

The news of the arrest broke today.

News of the arrest came on the same day that BT announced it would be removing Huawei-manufactured equipment from its 3G and 4G mobile networks. Despite being essentially barred from the critical United States market, Huawei surpassed Apple to become the world's number two smartphone maker in the second quarter of this year and has market leader Samsung in its sights.

As of August 2018, US federal government agencies are barred from purchasing Huawei equipment.

The U.S.is anxious about the extent to which Chinese-made equipment is used in the telecommunications sectors of countries that host American military bases. Huawei has denied the links.

Fellow Chinese technology giant ZTE had similarly been removed from the US trading blacklist at the start of a year ago by the US Department of Commerce's Bureau of Industry and Security following the company's guilty plea to illegally exporting products to Iran.