6-mn iPhone-iPad fraud: FBI indicts 14 members of a criminal gang

The FBI has busted and charged 14 alleged members of an international criminal gang in the US with fraud, conspiracy, identity theft and money laundering charges related to their counterfeit iPhone and iPad scheme that reportedly cost Apple over USD 6.1 million.

According to a federal grand jury indictment unsealed on Wednesday in San Diego, California, the gang was led by three brothers and they imported more than 10,000 counterfeit iPhones and iPads from China.

They then exchanged them for the real thing at Apple stores throughout the US and Canada, and then shipped the authentic devices back to China and other foreign countries to sell at a premium, according to the release from the US Attorney’s Office in the Southern District of California.