A subsidiary of a Hong Kong conglomerate, which is embroiled in U.S.-China tensions over its Panama Canal port assets has denied allegations that it had failed to pay about $1.2 billion to the Central

The controller general of Panama said CK Hutchison, a Hong Kong conglomerate, did not properly renew its license to operate two ports that are part of a $19 billion deal involving BlackRock.

The Hong Kong firm in charge of two ports at either end of the Panama Canal -- which sparked US President Donald Trump's threats to seize the waterway -- has flouted the terms of its contract, according to Panamanian audit results released Monday.