US Department of Justice Takes Major Action Against iPhone Repair Fraud

Thursday, 3 October 2024, 20:28

US Department of Justice has taken significant action against iPhone repair fraud, sentencing two Chinese nationals for their role in a scheme involving counterfeit iPhones. This case reveals the depths of deception within the tech industry, costing Apple millions. The fraudulent act, spanning several years, has been addressed with substantial prison sentences, reflecting the serious nature of these crimes.
Indiatimes
US Department of Justice Takes Major Action Against iPhone Repair Fraud

US Department of Justice's Initiative Against iPhone Repair Fraud

The US Department of Justice recently prosecuted two individuals, Haotian Sun and Pengfei Xue, for defrauding Apple through a counterfeit iPhone scheme. These individuals were sentenced to substantial prison terms and face significant restitution payments.

The Fraudulent Scheme Uncovered

Between May 2017 and September 2019, Sun and Xue orchestrated a scam that involved submitting fake iPhones for repair, resulting in an intended loss estimated at $3.8 million. They exploited Apple’s warranty system by replacing inauthentic devices with genuine ones.

  • Haotian Sun: Sentenced to 57 months in prison and $1,072,200 in restitution.
  • Pengfei Xue: Sentenced to 54 months in prison and $397,800 in restitution.
  • Both were convicted of conspiracy to commit mail fraud.

Impact of the Sentencing

The outcomes signify the US Department of Justice's commitment to combatting fraud in the tech industry, alongside protecting consumers and companies like Apple from counterfeiting schemes. This crackdown serves as a warning against fraudulent activities.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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