Two Chinese men face up to 20 years in prison after being accused of trying to defraud Appleby asking to replace 5,000 fake iPhones (worth more than $3 million) with genuine devices.
Apple offers warranty on new iPhones, allowing customers to return defective devices for replacement. Additionally, Apple offers insurance protection programs, allowing customers to extend the warranty period.
The company provides several methods for submitting defective iPhones for repairs or replacements: sending the phone to Apple for free via United Parcel Service (UPS), visiting an Apple retail store, or going to an authorized service provider.
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Between July 2017 and December 2019, two Chinese men, Haotian Sun and Pengfei Xue, attempted to defraud Apple by requesting replacements for supposedly faulty iPhones, which were actually fake.
According to the indictment, the Chinese wanted to fraudulently obtain genuine iPhones from Apple.
Fake iPhones with fake IMEIs and serial numbers
Throughout their malicious campaign , the Chinese sent fake devices from Hong Kong to commercial mail receiving agency (CMRA) mailboxes at UPS stores, which they opened using their real driver's licenses and university ID cards.
They then submitted the fake iPhones with misleading serial numbers and IMEI numbers to stores and Apple authorized service providers and received new genuine iPhones.
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The authentic devices were sent to the fraudsters in Hong Kong, who sold them to split the illicit funds between themselves and two of their associates.
Sun and Xue were arrested in December 2019 and charged with mail fraud and conspiracy to commit mail fraud.
Each faces a maximum sentence of 20 years in prison and is scheduled to be sentenced on June 21, 2024.
What are the most common methods of fraud with fake iPhones?
In this case, the scammers are deceiving Apple itself with fake iPhones, but most often they target users. One of the most common scam methods is selling iPhones with modified software. The scammers change the device's software to look like Apple's operating system, but in reality, the device is not authentic.
Scammers also often sell fake iPhones as 'locked' or 'deactivated'. This means the device cannot be connected to any network or used, and the buyer must pay extra to 'unlock' it, which is often impossible.
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Another common scam method is selling fake iPhones at extremely low prices. Scammers try to convince buyers that this is a deal they shouldn't miss, but in reality, the iPhone is fake.
Finally, scammers may use photos and descriptions product to convince buyers that these are genuine iPhones. Often, these photos and descriptions are copied from genuine ads, making it even more difficult to identify the scam.
Source: www.bleepingcomputer.com
