A B.C. Supreme Court judge has signed off on a discharge order for Huawei executive Meng Wanzhou, withdrawing a U.S. extradition order and allowing her freedom.

Associate Chief Justice Heather Holmes thanked Meng for her behaviour during the hearing and released her from bail conditions.

The development comes as Meng pleaded not guilty to all charges in a New York courtroom and a judge signed off on a deferred prosecution agreement that all but ends the 34 month saga of her detention in Canada.

Assistant U.S. attorney David Kessler told court that the agreement would allow for the charges against Meng to be dismissed after Dec. 1, 2022, four years from the date of her arrest, provided that she ``complies with all her obligations'' under the terms of the deal.

Meng has been out on bail during the extradition proceedings, living with an ankle monitor in her Vancouver home under court-ordered conditions.

The U.S. accused her of bank and wire fraud, alleging she misrepresented the ownership of the company Skycom in order to get around American sanctions against Iran.