Brussels corruption scandal: prosecutors accuse Huawei of bribing MEPs

Chinese technology giant Huawei is suspected of bribing members of the European Parliament to gain support within the European institutions, according to an article published yesterday by the website Follow the Money, which states that Brussels prosecutors have launched an investigation following a complaint from the Belgian secret services, targeting approximately fifteen current and former MEPs.

The aforementioned source, which cites the Belgian dailies Knack and Le Soir, indicates that yesterday, in the early hours of the morning, Belgian federal police carried out searches at Huawei's headquarters in Brussels, as well as in the homes of lobbyists associated with the Chinese company. According to sources close to the investigation, the raids targeted suspicions of bribery, forgery, money laundering and membership in a criminal organization. In total, 21 locations were searched in Belgium (Brussels, Flanders and Wallonia) and Portugal, and the authorities seized several documents and objects relevant to the investigation.

The sources cited claim that those targeted by the investigation include around 15 former and current MEPs. In the case of those still in office, Belgian prosecutors would have to request the lifting of their immunity in order to continue the investigation. So far, no such request has been made.

The Belgian Federal Prosecutor's Office confirmed to the sources cited that several people were questioned in connection with their alleged involvement in corruption practices in the European Parliament, as well as in the forgery and use of forged documents. According to the authorities, the acts investigated were allegedly committed within the framework of a criminal organization.

The investigation, called "Operation Generation", is reminiscent of the Qatargate corruption scandal, which broke out in December 2022, when police discovered bags of money in the homes of former MEPs suspected of receiving bribes from Qatar and Morocco to influence decisions in Brussels.

In the case of Huawei, investigators suspect that the company's lobbyists resorted to similar tactics, offering MEPs tickets to luxury football matches, expensive gifts, lavish trips to China and even cash to win their support. It seems that the payments to one or more legislators were made through a Portuguese company.

The sources cited recall that in recent years, several EU member states have adopted restrictive measures against "high-risk suppliers", including Huawei, banning or limiting the company's access to their 5G networks. These restrictions were motivated by warnings from the US and the European Commission that Huawei equipment could be used for espionage by Beijing - allegations vehemently denied by the Chinese company.

This investigation comes at a sensitive time for EU-China relations, with the potential to trigger significant geopolitical reactions. European Commission President Ursula von der Leyen recently suggested that EU-China trade relations could be expanded, but a possible indictment of Huawei could complicate this diplomatic direction.

We note that in recent years, Huawei has claimed to be independent of the Chinese government, but several journalistic investigations cited by Follow the Money have found that 99% of the company is owned by a trade union committee, and independent unions are not recognized in China. Huawei founder Ren Zhengfei was an officer in the Chinese army for 14 years before founding the company. Former Huawei employees, who spoke on condition of anonymity to speak to the source, said that over the past five years, the company has become increasingly closer to the Chinese government and more hostile to the West. Among the events that fueled this shift were the arrest of Ren's daughter, Meng Wanzhou (Huawei's chief financial officer), in Canada, the Chinese government's crackdown on companies deemed too independent, and the war in Ukraine. One of the key suspects in the investigation now underway in Brussels is Valerio Ottati, a 41-year-old Italian-Belgian lobbyist. The sources said Ottati joined Huawei in 2019, as the company stepped up its lobbying efforts in the face of US pressure on Europe to limit the use of 5G equipment produced by the Chinese giant. Before becoming Huawei's EU public affairs director, Ottati worked for ten years as an assistant to two Italian MEPs - one from the centre-right and one from the centre-left - both members of a European Parliament group specialising in relations with China.

The investigation into possible corruption in favour of Huawei is still in its early stages. Although the raids have led to the seizure of some importants assets, it remains to be seen whether Ottati or other suspects will be formally charged. The sources cited say that the prosecutor and the investigating judge leading the investigation are known for their discretion, which means that additional information about the case could emerge in the coming weeks.

If Huawei is proven to have been involved in corruption at the EU level, this scandal could significantly change European policy regarding the influence of Chinese companies and could have far-reaching diplomatic consequences.