June 28, 2022

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A person will get 26 months in jail for tricking Apple of $1 million in iPhones

A Chinese language nationwide was sentenced to 26 months in jail for tricking Apple out of greater than $1 million in iPhones by sending fakes to Cupertino’s guarantee alternative program.

In 2013, Haiteng Wu, 32, moved to McLean, Virginia, to pursue engineering levels. He earned his Grasp’s diploma in 2015 and was capable of finding authorized work two years later. In response to the Division of Justice, Wu then launched into a three-year conspiracy to defraud Apple.

Wu’s technique comprised buying shipments of pretend iPhones from Hong Kong that had faked IMEI numbers and serial numbers akin to real iPhones nonetheless underneath guarantee. Wu and his accomplices mailed these telephones to Apple underneath phony names, saying they have been genuine units nonetheless underneath guarantee however not working. The plan was for tricking Apple and ship out real replacements, which they did.

The real alternative iPhones have been transferred to conspirators in different international locations, together with Hong Kong after Wu and the others acquired them from Apple.

Jiahong Cai, Wu’s spouse, joined the rip-off. He additionally received phony IDs, used aliases, opened numerous industrial mail receiving company mailboxes, and organized for conspiracy members to journey across the US.

Wu admitted to tricking Apple of roughly $1 million and said that he meant to proceed the scheme. He and his confederate have been arrested in December 2019 and have been in detention since then.

Wu pleaded responsible to 1 depend of conspiracy to conduct mail fraud in Could 2020. Decide Emmet G. Sullivan gave him a sentence of 26 months in jail. Wu was additionally ordered to pay $987,000 in reparations and a forfeiture cash judgment of the identical quantity.

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Wu’s rights in two condominium flats, one in McLean, Virginia, and the opposite in Arlington, Virginia, have been additionally forfeited by Decide Sullivan, which was bought for money throughout the conspiracy.

Cai pleaded responsible to mail fraud as nicely. She was sentenced to nearly 5 months of neighborhood service by the decide.

If the circumstances of this case sound acquainted, it’s as a result of Quan Jiang, a Chinese language engineering pupil, used the identical technique to defraud Apple for $1 million in iPhones in 2017. For his half within the rip-off, he was sentenced to 3 years and one month in jail.