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Chinese company pushes back on Canada’s espionage concerns following court order – Global News

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The Liberal government has directed a state-owned Chinese telecommunications firm to divest its stake in a Canadian subsidiary over national security concerns, prompting a court challenge of the order.

China Mobile International Canada is asking the Federal Court to set aside the recent decision, saying the government has no grounds to believe the company would compromise security or engage in espionage on behalf of Beijing.

Read more:
China and Russia ‘aggressively’ targeting Canadians, CSIS director warns

CMI Canada says the Trudeau government was motivated, at least in part, by “the current political socioeconomic climate and the general biases against Chinese state-owned companies.”

The case unfolds amid high tensions between Ottawa and Beijing over China’s prolonged detention of Canadian citizens Michael Kovrig and Michael Spavor for alleged spying.

China’s actions against Spavor and Kovrig are widely seen in the West as retaliation for the late 2018 arrest by Canadian authorities of Meng Wanzhou, an executive with Chinese firm Huawei Technologies, so she can be extradited to the U.S. to face fraud charges.


Click to play video: 'Canada’s Michael Spavor sentenced to 11 years in prison by Chinese court'



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Canada’s Michael Spavor sentenced to 11 years in prison by Chinese court


Canada’s Michael Spavor sentenced to 11 years in prison by Chinese court – Aug 11, 2021

CMI Canada’s application filed this week in Federal Court reveals details of an investment screening case that has quietly unfolded outside the public eye over the last year.

The company, established in 2015, provides mobile communication services, including prepaid call plans, but does not itself own or operate any telecommunications network facilities. Instead, it has partnered with Telus Communications Inc. for provision of wireless services through the Telus network.

CMI Canada says it inadvertently neglected to inform the federal government of its presence as a new Canadian business until October of last year. A series of requests for information from federal officials soon followed.

The Investment Canada Act and the National Security Review of Investments Regulations allow the federal government to scrutinize an investment in Canada by a foreign enterprise.

Read more:
Public safety minister details China’s foreign interference efforts in letter to MPs

In January, the government informed CMI Canada of a review on security grounds, saying the investment could result in the Canadian business being leveraged by the Chinese state “for non-commercial purposes, such as the compromise of critical infrastructure and foreign interference, to the detriment of Canada’s national security.”

Following additional information exchanges, the government issued an Aug. 9 order directing China Mobile to either divest itself entirely of or wind up the Canadian business within 90 days.

CMI Canada contends the conclusion was “tantamount to speculation about what the Canadian business may do,” such as using its supposed access to sensitive information for “military applications or espionage.”


Click to play video: 'Why CSIS believes Canada is ‘permissive target’ for China’s interference'



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Why CSIS believes Canada is ‘permissive target’ for China’s interference


Why CSIS believes Canada is ‘permissive target’ for China’s interference – Jun 24, 2020

The company argues Ottawa could not reasonably have concluded, based on the information available, that the investment would be harmful to Canada’s national security.

It says the company does not own nor operate any transmission facilities in Canada, lacks privileged or direct access to any critical infrastructure, and does not have access to any sensitive telecommunications data or personal information, other than basic contact details.

CMI Canada is asking the court to quash the federal decision or, in the alternative, to send the matter back to the government for reconsideration. It also wants the order put on hold pending outcome of the case and any appeals.

If the decision is not stayed, the company will be forced to leave “the Canadian landscape entirely. This would require the termination of its client base and operations,” the application says.

The federal government has not yet filed a response and no date has been set for a hearing.

© 2021 The Canadian Press

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My Boy Prince to race against older horses in $1-million Woodbine Mile

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TORONTO – He’s firmly among Canada’s top three-year-olds but My Boy Prince faces a stiff test Saturday at Woodbine Racetrack.

The ’24 King’s Plate runner-up will be part of a global field in the $1-million Woodbine Mile turf event. Not only will it be My Boy Prince’s first race against older competition but among the seven other starters will be such horses as Naval Power (Great Britain), Big Rock (France) and Filo Di Arianna (Brazil).

My Boy Prince will race for the first time since finishing second to filly Caitlinhergrtness in the Plate on Aug. 23.

“It’s his first try against older horses and it’s hard to say where he fits in,” said trainer Mark Casse. “This time of year running a three-year-old against older horses, it’s like running a teenager against college athletes.

“We’re doing it because we believe a mile on the turf is his preferred surface … we wanted to give him a shot at this. (American owner Gary Barber) is someone who likes to think outside the box and take calculated risks so we’re going to see where he fits in.”

Casse, 16 times Canada’s top trainer, is a Hall of Famer both here and in the U.S. He’s also a two-time Woodbine Mile winner with filly Tepin (2016) and World Approval (2017).

Sahin Civaci will again ride My Boy Prince, Canada’s top two-year-old male who has six wins and 10 money finishes (6-3-1) in 11 career starts. The horse will be one of three Casse trainees in the race with Filo Di Arianna (ridden by Sovereign Award winner Kazushi Kimura) and Win for the Money (veteran Woodbine jockey Patrick Husbands aboard).

Naval Power, a four-year-old, has finished in the money in eight of nine starts (six wins, twice second) and will race in Canada for the first time. He comes to Woodbine with second-place finishes in two Grade 1 turf races.

Big Rock, another four-year-old, makes his North American debut Saturday. The horse has five wins and five second-place finishes in 14 starts but has struggled in ’24, finishing sixth, 10th and fifth in three races.

Filo Di Arianna is a four-time graded stakes winner with nine victories, three seconds and a third from 17 starts. It was Canada’s ’22 top male sprinter and champion male turf horse.

Other starters include Playmea Tune, Niagara Skyline and Secret Reserve.

Playmea Tune, a four-year-old, is trained by Josie Carrol. The gelding has made three starts, winning twice and finishing second in the Grade 3 Bold Venture on Aug. 23.

Woodbine-based Niagara Skyline is a six-year-old with 13 money finishes (six wins, five seconds, twice third) in 24-lifetime starts. The John Charlambous trainee has reached the podium (1-1-1) in all three races this year.

Secret Reserve, also a six-year-old, has finished in the money in 15-of-26 starts (six wins, one second, eight thirds). The horse, at 44-1, was third in the Grade 2 King Edward Stakes over a mile on the E.P. Taylor turf course.

The Mile highlights a stellar card featuring six graded stakes races. Also on tap are the $750,000 E.P. Taylor Stakes (fillies and mares), $500,000 bet365 Summer Stakes (two-year-olds) and $500,000 Johnnie Walker Natalma Stakes (two-year-old fillies), all Grade 1 turf events.

The Mile, Natalma and Summer winners earn automatic entries into the Breeders’ Cup at Del Mar in November.

Casse has won all four races, earning his first E.P. Taylor title last year with filly Fev Rover, Canada’s horse of the year and champion female turf horse. Fev Rover will defend her title Saturday against a field that includes Moira, the ’22 King’s Plate winner and Canada’s horse of the year trained by Woodbine’s Kevin Attard.

“It (E.P. Taylor) was definitely on my bucket list because it had eluded us,” Casse said. “But I honestly hadn’t realized I’d won all four of them, hadn’t really thought about it.”

Casse will have horses in all four turf races Saturday. Arguably the most intriguing matchup will be between Moira and Fev Rover, who ran 1-2, respectively, in a photo finish Aug. 11 in the Grade 2 Beverly D. Stakes, a 1 3/16-mile turf race, at Virginia’s Colonial Downs.

“What’s funny is the two of them went all the way to Virginia and she beat us by a nose,” Casse said. “We could’ve done that at Woodbine.

“There’s two of the best fillies in the world both from Toronto and they’re going to be competing Saturday.”

Some question having so many solid races on a single card but Casse likes the strategy.

“I think it’s a good thing,” he said. “On Saturday, the main focus on horse racing in the world will be on Woodbine and that’s because it’s such a great card.

“It’s an international day, there’s horses coming from everywhere and we’re going to do our best to represent Canada.”

This report by The Canadian Press was first published Sept. 13, 2024.



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Former world No. 1 Sharapova wins fan vote for International Tennis Hall of Fame

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NEWPORT, R.I. (AP) — Maria Sharapova, a five-time Grand Slam singles champion, led the International Tennis Hall of Fame’s fan vote her first year on the ballot — an important part to possible selection to the hall’s next class.

The organization released the voting results Friday. American doubles team Bob and Mike Bryan finished second with Canada’s Daniel Nestor third.

The Hall of Fame said tens of thousands of fans from 120 countries cast ballots. Fan voting is one of two steps in the hall’s selection process. The second is an official group of journalists, historians, and Hall of Famers from the sport who vote on the ballot for the hall’s class of 2025.

“I am incredibly grateful to the fans all around the world who supported me during the International Tennis Hall of Fame’s fan votes,” Sharapova said in a statement. “It is a tremendous honor to be considered for the Hall of Fame, and having the fans’ support makes it all the more special.”

Sharapova became the first Russian woman to reach No. 1 in the world. She won Wimbledon in 2004, the U.S. Open in 2006 and the Australian Open in 2008. She also won the French Open twice, in 2012 and 2014.

Sharapova was also part of Russia’s championship Fed Cup team in 2008 and won a silver medal at the London Olympics in 2012.

To make the hall, candidates must receive 75% or higher on combined results of the official voting group and additional percentage from the fan vote. Sharapova will have an additional three percentage points from winning the fan vote.

The Bryans, who won 16 Grand Slam doubles titles, will have two additional percentage points and Nestor, who won eight Grand Slam doubles titles, will get one extra percentage point.

The hall’s next class will be announced late next month.

___

AP tennis:

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Roots sees room for expansion in activewear, reports $5.2M Q2 loss and sales drop

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TORONTO – Roots Corp. may have built its brand on all things comfy and cosy, but its CEO says activewear is now “really becoming a core part” of the brand.

The category, which at Roots spans leggings, tracksuits, sports bras and bike shorts, has seen such sustained double-digit growth that Meghan Roach plans to make it a key part of the business’ future.

“It’s an area … you will see us continue to expand upon,” she told analysts on a Friday call.

The Toronto-based retailer’s push into activewear has taken shape over many years and included several turns as the official designer and supplier of Team Canada’s Olympic uniform.

But consumers have had plenty of choice when it comes to workout gear and other apparel suited to their sporting needs. On top of the slew of athletic brands like Nike and Adidas, shoppers have also gravitated toward Lululemon Athletica Inc., Alo and Vuori, ramping up competition in the activewear category.

Roach feels Roots’ toehold in the category stems from the fit, feel and following its merchandise has cultivated.

“Our product really resonates with (shoppers) because you can wear it through multiple different use cases and occasions,” she said.

“We’ve been seeing customers come back again and again for some of these core products in our activewear collection.”

Her remarks came the same day as Roots revealed it lost $5.2 million in its latest quarter compared with a loss of $5.3 million in the same quarter last year.

The company said the second-quarter loss amounted to 13 cents per diluted share for the quarter ended Aug. 3, the same as a year earlier.

In presenting the results, Roach reminded analysts that the first half of the year is usually “seasonally small,” representing just 30 per cent of the company’s annual sales.

Sales for the second quarter totalled $47.7 million, down from $49.4 million in the same quarter last year.

The move lower came as direct-to-consumer sales amounted to $36.4 million, down from $37.1 million a year earlier, as comparable sales edged down 0.2 per cent.

The numbers reflect the fact that Roots continued to grapple with inventory challenges in the company’s Cooper fleece line that first cropped up in its previous quarter.

Roots recently began to use artificial intelligence to assist with daily inventory replenishments and said more tools helping with allocation will go live in the next quarter.

Beyond that time period, the company intends to keep exploring AI and renovate more of its stores.

It will also re-evaluate its design ranks.

Roots announced Friday that chief product officer Karuna Scheinfeld has stepped down.

Rather than fill the role, the company plans to hire senior level design talent with international experience in the outdoor and activewear sectors who will take on tasks previously done by the chief product officer.

This report by The Canadian Press was first published Sept. 13, 2024.

Companies in this story: (TSX:ROOT)

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