A former Apple Global Supply Manager was sentenced in a San Jose federal court earlier this week nearly 3 years after being convicted of wire fraud, conspiracy and money laundering in relation to selling Apple iPhone and component secrets to Apple’s suppliers. AP notes that Paul Shin Devine was up to no good:
“The scheme funneled millions in kickbacks to Devine for passing along confidential information to Apple Inc. suppliers and manufacturers who used the secrets to negotiate more favorable deals.”
When the case was tried in 2010, Apple spokesman Steve Dowling said, “Apple is committed to the highest ethical standards in the way we do business. We have zero tolerance for dishonest behavior inside or outside the company.”
“The original indictment described a scheme in which Devine used his position at Apple to obtain confidential information, which he transmitted to Apple suppliers, including Ang. In return, the suppliers and manufacturers paid Devine kickbacks, which he shared with Ang. The information enabled the suppliers to negotiate favorable contracts with Apple, according to the indictment. The companies were not named in the indictment, but they were described as suppliers of materials designed for Apple’s iPhone and iPod products. They are located in “various countries in Asia,” the indictment said, including China, South Korea, Taiwan and Singapore.”
At the time Apple was hoping to recover $1 million from Devine, so it isn’t clear why the amount rose so significantly in the 3 years since the conviction. It also isn’t certain why Devine’s sentencing took so long or was so much shorter that the 20 years he faced.
We can speculate that he probably helped convict some of the people who bribed him and were sentenced last week. During those investigations, the bribery amount was probably found to be much higher than originally reported.
Devine’s LinkedIn account still lists himself an Apple employee.
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Treachery! Off with his head!
Finally something (wire fraud, conspiracy and money laundering ) where Samsung has been leading for decades¡
Let me guess – you saw the words “Apple” “Prison” & “Fine” in a headline, assumed it was an article critical about Apple (it’s not), and decided to try and deflect the perceived criticism by mentioning Samsung. Am I right?
Of course I am. It’s the only reason you mentioned them.
Typical asians. Remember the iPhone 4 stolen phone that happened? Yup, also an asian.
Hang this racist to death, before you decide on Paul Devine.
Don’t hang me, hang the ones who are thieves and copiers.
I always thought of Danish people to be educated, tolerant and ope minded. This form of racism really hurts any sensible human being. First of all, to blame ” the Asians” meaning 3/4th of the worlds population is pretty specific. more accurate would be to blame the Chinese( about a billion people) which are supposed to be all gangsters and copy cats. while there are indeed some chriminals in China who do not respect intellectual property and make money by illegal means, our Danish friend can only maintain his high living standart, because hundreds of million Asians work for ridiculous small amounts of money. the iPhones quality , production quantity and pricing wouldn’t be possible without them. Btw in many Asian cultures , like the Japanese, honesty is considered a virtue and is likely more prevalent than in most western countries!
@andyschroeter,
How can it be racist to point out that its typically asians to steal/copy, when we have evidence of this happening?
(Speaking in Apple related context)
I’d think it’d be more prudent of you to try to “fix the problem” by addressing this, instead of pointing fingers:
“Oh look, the evil racist”
Please stop with the racism card. Its old and tired. There is no racism here. I just pointed out that its typically asians that steal/copy Apple designs.
Has the world become so politically correct that truth is to be avoided at all costs. I think not.
And with regards to them working for such a low salary/children working at factories…….guess who’s fault that is? Yep, asians again! They do that to their own kind. Its not my fault, nor any westerners fault.
Do I feel for them? Yes, sure, SOME of them. The ones caught in that, but yet again, this has NOTHING to do with copying/stealing Apple property.
So by default are you saying that asians are typically thieves? Bit of a general statement when you consider that practically every single piece of tech you own has been manufactured by the hands of those very people.
Samsung copies Apple (and others)
Most China tech is off the innovation of other western companies (and some Russian)
I rest my case.
Typical Danish people. Remember that cartoon that offended Muslims? Yup, also a Dane..
Yes and that was a good thing, but apart from that – Danes didn’t copy/steal Apple designs.
Racist, for sure.
For what it’s worth – I’m Danish too and I am appalled to see a fellow Dane write this racist crap about Asians! Mr. Hedegaard, you should be ashamed of yourself! PS: Unfortunately we have a convicted public racist in Denmark by the name of Lars Hedegaard. You wouldn’t happen to be related to him, by any chance?
@Lars,
Nope, no relation.
Your first name is Lars, would that by any chance make you related to him?
(You hear how stupid that sounds?)
Would you like a shovel so that you can continue digging a bigger hole for yourself?
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Is this the kind of business practices they teach at Sloan School of Management? I would expect this behavior from a Harvard man, but Sloan? /s idiot!!!