Apple suffers from monetary loss due to fake iPhones

The global tech giant, Apple was recently scammed by a couple of students and the repercussions have turned out to be quite serious for the tech major. According to media reports two Chinese students at Oregon State University and Linn Benton Community college were involved in the import of smartphones from Hong Kong which were in fact counterfeits.

They tricked Apple by sending back the faulty counterfeits. In return, Apple sent them brand new legitimate iPhone as a part of its warranty process. Each of the new phones were shipped overseas for healthy profits. Since 2017, the scamsters had duped Apple with an amount of the value $895,800.

Surprisingly, Apple allowed fake iPhones to be replaced so easily. Employees at Apple were just following normal procedure and were assuming they were being given faulty handsets to process.

In total, Apple allowed 1,493 counterfeit iPhones to be exchanged with brand new ones however in total they attempted to exchange 3,069 sets. Eventually, Apple realized and sent a cease and desist order to the address where the culprits lived, but it was ignored.

The offenders are now facing charges of illegal trafficking of counterfeit goods, fraud and illegal exporting. However, both of the culprits are denying that they have sent counterfeit phones to Apple.

Source: in.pcmag.com