Duo That Cost Apple $2.5 Million in Fraudulent iPhone Repair Scheme Get Prison Sentences
Two Maryland residents who defrauded Apple out of 6,000 iPhones worth over $2.5 million were sentenced to prison today, according to the United States Department of Justice. The duo devised a repair scheme where they sent in counterfeit iPhones in order to get genuine iPhones in exchange.
Chinese nationals Haotian Sun and Pengfei Xue will each spend more than four years in prison. Sun was sentenced to 57 months in prison, while Xue was given 54 months. Both will serve three years of supervised release after their prison terms, and will need to pay restitution to Apple. Sun has been ordered to pay $1,072,000, while Xue has been ordered to pay $397,800.
Between May 2017 and September 2019, Sun and Xue received shipments of inauthentic iPhones from Hong Kong, and used spoofed serial numbers and/or IMEI numbers to return them to Apple retail stores and Apple Authorized Service Providers. Over 6,000 iPhones were submitted to Apple during that two-year period, according to trial evidence. The intended loss was approximately $3.8 million, and actual loss exceeded $2.5 million.
Back in February, Sun and Xue were found guilty of mail fraud and conspiracy to commit mail fraud, charges that carried a maximum sentence of 20 years in prison.
Popular Stories
Apple has yet to reveal when the iPhone 18 Pro and iPhone Ultra will be announced and released, but the dates usually follow a familiar pattern.
Labor Day is September 7 this year. The last time the holiday fell on that day was in 2020, but the iPhone event that year was delayed until October due to the COVID-19 pandemic. So, the last time Labor Day was on September 7 in a normal year was in ...
Apple is developing an all-new operating system that is essentially a mix of tvOS, watchOS, and iOS, according to Bloomberg's Mark Gurman.
In a report this week, he said the operating system will feature a grid of icons, widgets, and apps, along with customizable clock faces.
The new software platform is intended for Apple's long-rumored smart home hub. With built-in facial recognition,...
We're less than two months out from the launch of Apple's premium next-generation smartphone lineup, and while we're not expecting a dramatic change in terms of functionality, there are still several enhancements rumored to be coming to the iPhone 18 Pro and iPhone 18 Pro Max.
One thing worth noting is that Apple is reportedly planning a major change to its iPhone release cycle this year,...
