A former Apple employee who worked as a buyer in iGiant’s supply chain division has pleaded guilty to charges of mail and wire fraud that spanned several years and ultimately cost the company $17 million.
Dhirendra Prasad, 52, from Mountain House, California, worked at Apple from 2008 to 2018, most of that time in the Global Service Supply Chain. He was tasked with buying parts and services for Apple from various vendors.
According to the U.S. Attorney’s Office for the Northern District of California, Prasad admitted in a written statement that he began defrauding Apple as early as 2011 by “accepting kickbacks, bloating bills, stealing parts and directing Apple, never for items and services.” get paid.”
The former Apple employee ran these fraudulent schemes up until 2018 and “ultimately resulted in a loss of more than $17 million for Apple,” the bureau said.
Co-conspirators included Robert Gary Hansen and Don M Baker, both of whom live in the Central District of California. The two each owned vendor companies and worked with Apple. Both admitted that earlier this year they “conspired with Prasad to commit fraud and money laundering”.
In one of several scams concocted by Prasad, he shipped motherboards from Apple’s inventory to CTrends, Baker’s company. Baker was to harvest the board’s components, and Prasad placed buy orders for those products. Baker shipped the components back to Apple and CTrends submitted an invoice. The couple then split the proceeds of the crime.
In a separate example from 2016, Prasad arranged for parts to be shipped from Apple’s inventory at a Nevada warehouse to Hansen’s business, Quality Electronics Distributors Inc. Hansen then intercepted the components, removed their packaging, placed them in new packaging, and shipped them back to Apple’s warehouse. Prasad placed an order and Hansen submitted an invoice to bill Apple for parts it already owns. The duo shared the additional payment.
Prosecutors added, “In addition to the many fraud schemes, Prasad admitted that he was involved in tax fraud by funneling illegal payments from Hansen directly to Prasad’s creditors and to enable Baker to pay hundreds of thousands of dollars to unjustified payments.” to claim tax deductions, resulting in an IRS loss of more than $1.8 million.
“The United States also initiated a civil foreclosure action to forfeit assets Prasad acquired with the proceeds of the fraud, including several properties he purchased and numerous financial accounts containing funds traced to Prasad’s crimes. These assets have a combined value of approximately $5 million. Today Prasad agreed to forfeit all assets to the United States.”
Prasad pleaded guilty to one charge of conspiracy to commit mail fraud and wire fraud, with a maximum sentence of 20 years, and he also admitted one charge of conspiracy to defraud the US “in violation of 18 USC § 371.” This carries a maximum sentence of five years. The length of the sentence is of course decided by the court. ®
https://www.theregister.com/2022/11/02/apple_buyer_wire_money_fraud/ Former Apple worker pleads guilty to $17 million fraud charges • The Register