Report: Foxconn Manager Steals $1.5M Worth of iPhones

...

A former manager at Apple manufacturer Foxconn apparently had a lucrative iPhone theft scheme going on for some time, but is now the one about to pay.

Citing Taiwanese prosecutors, AsiaOne reports that the man, who is identified by his family name Tsai, has been indicted for stealing thousands of iPhones in China. From 2013 to 2014, the man and his accomplices reportedly stole around 5,700 iPhones and sold them to stores, raking in nearly $2.2 million. Tsai alone reportedly pocketed $1.56 million in the scheme.

According to the report, he worked in the iPhone testing department and "instructed eight employees at Foxconn's factory in the southern mainland Chinese city of Shenzhen to smuggle out about thousands of iPhone 5 and iPhone 5s." They then sold the phones, which were supposed to be trashed, to stores in Shenzhen.

Foxconn discovered the scheme during an internal audit, and alerted Taiwanese authorities, according to AsiaOne. Tsai has been charged with "breach of trust" and is facing 10 years in jail.

Word has it that Foxconn has been studying the feasibility of moving iPhone production to the US. Japanese newspaper Nikkei last month reported Apple asked Foxconn and another Taiwanese iPhone assembler Pegatron earlier this year to look into making the handsets in the states.

Moving iPhone production to the US would undoubtedly be more costly for Cupertino. One source told the newspaper that production costs would more than double.

Foxconn, meanwhile, has faced some troubling times in recent years, between fires and a deadly explosion to worker suicides and allegations of slave-like working conditions.

Categories
APPLICATIONS
0 Comment

Leave a Reply

Captcha image


RELATED BY

  • 5300c769af79e

    5 Keys To Sell IT Projects To The Business Effectively

    Before you can build an IT project, you have to get funding and support from the business side of your organization.That means that, in virtually every case, IT must justify significant expenses (and entire budgets) to the overall business.
  • 5300c769af79e

    Samsung Says 85% of Recalled Galaxy Note 7s Replaced, Confirms Battery Limiting Update is Incoming

    This afternoon, Samsung provided new details on the status of the Galaxy Note 7 recall and also confirmed that they will push a software update to all remaining Note 7 devices that will limit their batteries and push additional pop-ups to users.According to a statement provided by Samsung, “nearly 85 percent” of recalled Note 7 devices have been handed in through the Note 7 Refund and Exchange Program.
  • 5300c769af79e

    Healthcare's Looming Disruption: How Can IT Prepare?

    Tech workers generally have an affinity for experimenting with new technology that could shape their future.Before her six years at Gartner, Craft's career included work in data management, analytics, and application delivery at hospitals and universities.
  • 5300c769af79e

    Report: Typo Led to Podesta Email Hack

    The hack of Hillary Clinton campaign chair John Podesta's Gmail account—which introduced us to his risotto recipe, among other things—was reportedly triggered by a typo.After breaching the Democratic National Committee and Democratic Congressional Campaign Committee, Russian cybercriminals turned their attention to other major party players—including Podesta.