Apple manager charged with taking over $1M in kickbacks

A midlevel manager at Apple was arrested Friday and charged with accepting more than $1 million in kickbacks from Asian firms supplying accessories for the iPod and iPhone, according to a report from the San Jose Mercury News.

Federal authorities named Apple global supply chain manager Paul Shin Devine and Andrew Ang of Singapore in a 23-count grand jury indictment for wire fraud, money laundering and kickbacks. Authorities allege Devine transmitted confidential information on Apple products to Ang and other Apple suppliers in return for deposits to a chain or U.S. and foreign bank accounts.

“Apple is committed to the highest ethical standards in the way we do business,” Apple spokesman Steve Dowling said in a statement. “We have zero tolerance for dishonest behavior inside or outside the company.”

The companies are not named in the indictment, but described as suppliers of materials designed for iPods and iPhones located in various Asian countries including China, South Korea, Taiwan and Singapore. Authorities say Devine opened bank accounts in several Asian countries and received bribes directly while traveling through the countries.

Apple has also filed a separate civil suit against Devine, saying he received more than $1 million in “payments, kickbacks and bribes” over several years.

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