Apple employee arrested for selling iPhone/iPod secrets

Apple employee arrested for selling iPhone/iPod secrets
U.S. Marshals on Friday arrested Apple's worldwide supply manager, 37 year-old Paul Shin Devine, after he allegedly sold secret information about the iPhone and iPod to accessory makers. The charges against Devine include money laundering and wire fraud both relating to the secret, internal data he sold for more than $1 million to firms located in China, Taiwan, South Korea and Singapore. The disgraced former Apple employee is being accused of selling the information so that the companies involved could negotiate better terms with Apple.

Besides facing the criminal charges, Apple is also suing Devine for damages. Apple spokesman Steve Dowling said, "Apple is committed to the highest ethical standards in the way we do business," he added, "We have zero tolerance for dishonest behavior inside or outside the company." The iPhone 4 was one of the most heavily leaked Apple products thanks to a prototype of the phone that was found on the floor of a bar. Other leaks came from phone dealers in Vietnam who received protoypes from part suppliers. Devine's activities have not been connected to any information about the iPhone or iPod that was leaked to the public.

Using multiple bank accounts in Asia, some opened in his Wife's name, using code-words such as "sample" to throw-off co-workers, the former supply manager was able to sneak information to the firms that have been described as suppliers of materials for the iPhone and iPod. Only one person involved with the companies, Andrew Ang from Singapore, has been named as a recipient of the information.

source: SanJoseMercuryNews via iPodnn

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10 Comments

1. JPrice

Posts: 34; Member since: Jun 30, 2010

What an idiot

2. hawk62

Posts: 320; Member since: Nov 21, 2009

He should have leaked the verizon iphone WTF!!!

9. really??!!! unregistered

THERE IS NO VERIZON IPHONE!!!!! GET OVER IT!!!

3. phoneguru173

Posts: 54; Member since: Apr 09, 2008

Dear Paul, Take your $1M and go hang out in whichever oneof your new friend's country doesn't have an Extradition policy and have a cocktail or two! You won't need your Unemployment, since your won't be eligible!

4. Anonymous666 unregistered

Wow, Apple completely honest? How about the fact that many of the companies parts suppliers were found to be committing human rights violations with their meager pay and terrible working conditions comparable to that of a sweat-shop. Apple knew about this same as most corporations do. It's called capitalism. I'm not demonizing it in this post just stating that things like this happen all the time within corporations things that include insider trading things that the spokesperson probably takes part in. To demonize this guy for trading secrets to encourage more competetive pricing on the parts supply side or even with competitors is just demonizing our core model of economy. NDAs are BS and everyone knows it.

5. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Are you really this much of an idiot? "I'm not demonizing it"-yes, yes you are.

8. Anonymous666 unregistered

Stating the truth about something is not demonizing it. Capitalism is based nearly 100% on exploitation which in reality is a numerical figure that describes your profit to payroll percentages. For example: In slavery the profit is 100% while the payroll is 0%. Capitalism is based on making high profit while spending as little as possble on expenses such as work force and maintaining up to code work conditions. Any capitalist who makes any sort of money off of the system will tell you the same thing he/she will also tell you that as a result those who control that corporation make oodles of cash while still maintaining the slight upkeep cost and it's because of those unchecked factories etc. in other countries. That's not demonizing it; it's explaining how the process works and why it works. If you think what I posted is at all demonizing it then it's your subconcious associating my words with something bad. Regardless the discussion is not about whether or not capitalism is good or bad or what I meant in my post. The discussion is about how apple is just as dishonest as anyother corporation and in turn just as dishonest as this guy who sold their secrets. In all probability working for Apple probably trained him to be as he is, hell they probably encourage it.

10. Dood

Posts: 269; Member since: Mar 23, 2009

tl;dr

6. miggy man unregistered

have to agree with 666 he knows what he is talking bout

7. ;kmdm unregistered

wow..funny but it aint pretty! now whos gonna be the buyer for apple..ahahaha

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