London (CNN Business)A Huawei executive has been arrested in Poland on charges of spying for China.
Poland’s counterintelligence service confirmed on Friday that a Chinese citizen suspected of spying had been arrested. Polish state media identified the suspect as Huawei’s sales director in the country.
Huawei is a Chinese telecommunications company that is viewed by US government officials as a national security risk. Other countries have concerns too: It has been prevented from supplying next-generation 5G equipment to Australia and New Zealand.
The company has attracted even greater scrutiny following the arrest of its chief financial officer last month in Canada.
Stanislaw Zaryn, a spokesman for Polish counterintelligence, said in a statement to the country’s official press agency that the Chinese citizen, identified as Weijing W., had been arrested along with a Polish citizen.
The homes of the suspects were searched on Tuesday, the statement said. A court has ordered the pair to be held for three months, and they face up to 10 years in prison if convicted.
Both have pleaded not guilty, according to Polish state broadcaster TVP.
Zaryn has not responded to CNN’s requests for comment.
The Chinese company in a statement that it is “aware of the situation, and we are looking into it.”
“Huawei complies with all applicable laws and regulations in the countries where it operates, and we require every employee to abide by the laws and regulations in the countries where they are based,” it added.
Huawei is one of China’s leading tech companies. It sells more smartphones than Apple (
) and builds telecommunications networks in countries around the world.
CFO Meng Wanzhou, who is the daughter of Huawei’s founder, was arrested in Canada in December. She has been released on bail, but faces a lengthy legal fight over extradition to the United States.
The US government alleges that Meng helped the company dodge sanctions on Iran. Huawei has repeatedly said it’s unaware of any wrongdoing by Meng.
The arrest has stoked tensions between the United States and China, which have been trying to negotiate an end to their bruising trade war.
It has already fueled a nationalist backlash against American products from some Chinese businesses. If the Huawei executive is extradited to the United States, experts warn US businesses in China could face retaliation.
Steven Jiang contributed reporting.