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It looks like Apple has been scammed by a few students, but that does not seem to be happening to them.
As The Oregonian reports, Yangyang Zhou and Quan Jiang are Chinese students studying engineering at Oregon State University and Linn Benton Community College on a student visa. However, outside of class, they were busy importing smartphones from Hong Kong, which turned out to be fake iPhones.
The duo then returned each fake iPhone to Apple, either by mail or in person, stating that it was faulty and that it would not turn on. Apple sent them a new legitimate iPhone as part of its warranty process. Each of these new phones was then shipped overseas and sold at a sizeable profit. One part was sent to Jiang's mother, who then transferred it to Jiang's bank account. According to The Verge, both students were so successful that this scam, which began in 2017, cost Apple $ 895,800 in new iPhones. $ 999.99 at Verizon Wireless.
What is unusual here is that Apple has made it possible to replace fake iPhones so easily. Apparently, not being able to turn on the iPhone meant that authenticity could not be verified. Combine this without any proof of purchase being required for the warranty claim and it seems that Apple employees were just following the procedure and assuming that they were being asked to do so. genuine defective handsets.
In total, Apple authorized 1,493 fake iPhones to be exchanged by new computers, but in total, they attempted to trade 3,069. Eventually, Apple made and sent a ban order to To abstain from the address where Zhou and Jiang lived, but this order was ignored.
Now, the duo is facing criminal charges, but is in custody. Jiang faces charges of illegal trafficking of counterfeit and fraudulent products, while Zhou is accused of illegally exporting products. Both deny that the phones sent to Apple were counterfeit.
This article was originally published on PCMag
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