Former Apple employees allegedly stole $152k through donation matching scam

AppleInsider

An alleged donation theft scheme involving six former Apple employees, tax fraud, and an inside man funneling money away from charities robbed Apple of about $152k over three years.

Apple Park

Like many big companies, Apple matches donations made by employees to various organizations. Somehow, a group of employees (now former) allegedly figured out a loophole that would let them keep their money, take the matched donation, and make a claim on their taxes.

According to a report from CBS based on a release from The County of Santa Clara, the six people defrauded the State of California and Apple's Matching Gifts Program. The report states that ringleader Siu Kei Kwan directed five employees to make donations to two organizations he had access to.

Kwan was CEO of Hop4Kids and an accountant for the American Chinese International Cultural Exchange, so he had privileged access to both organizations' donations. So, when Yathei Yuen, Yat C Ng, Wentao Li, Lichao Ni, and Zheng Chang made thousands in donations, Apple would match it, they would be refunded, and Kwan would pocket Apple's matched amount.

Apple's program will match 100% or 200% of a donation made to select programs. And to ensure all parties involved profited, Kwan offered services to defraud tax returns to ensure they'd still get credit for their refunded donations.

The charges being levied by Santa Clara County include grand theft, conspiracy to commit felony, grand theft, perjury, and tax fraud. Punishments include possible jail time, restitution, and fees.

"This case underscores our unwavering commitment to rigorously prosecuting individuals who defraud the tech community and misuse vital charitable programs and state resources," District Attorney Jeff Rosen said in the release. "We commend Apple for coming forward and actively collaborating with our Office to uncover this elaborate fraud. We encourage others in the tech community to do the same. It's the holidays. Give - legally - to help the needy, not to help yourself."

Everything documented here is alleged crime committed by the accused. Trial dates haven't been set for the about $152,000 in theft and $100,000 in misreported charitable contributions from 2018 to 2021.



Read on AppleInsider

lordjohnwhorfin

Stealing from charities really is the lowest of the low. These morons are going to jail. I just wonder why Shitler, who has done exactly the same thing but worse, is headed for the White House instead of Riker’s Island.

blastdoor

A donation has been made in your name to The Human Fund.

https://m.youtube.com/watch?v=IkX1WP9RDZo

ronn

The lowest of the low. If convicted, they should get substantial fines and jail time.

SmittyW

Maybe Apple should stop hiring Chinese spies.

Alex_V

SmittyW said:

Maybe Apple should stop hiring Chinese spies.

Sen. McCarthy, is that you?

danox

ronn said:

The lowest of the low. If convicted, they should get substantial fines and jail time.

This is a white collar-crime in short a gentleman‘s crime. The only thing they will get is a slap on the wrist, and maybe if they’re not citizens they might be deported that’s about it.
The American system due to English influence is only capable of hard punishment of blue-collar criminals as codified by enforcement of crime in the Eastend of London in the 1840s.

ronn

danox said:

ronn said:

The lowest of the low. If convicted, they should get substantial fines and jail time.

This is a white collar-crime in short a gentleman‘s crime. The only thing they will get is a slap on the wrist, and maybe if they’re not citizens they might be deported that’s about it.
The American system due to English influence is only capable of hard punishment of blue-collar criminals as codified by enforcement of crime in the Eastend of London in the 1840s.

The past decade or so has seen several fraudsters get jail time for crimes against Apple. At least two for fraud within Apple's car project, a procurement officer (?) and an administrative worker. Some less than a year, but others 3+ years of jail time, years of supervised release (with the threat of additional jail time for any violations) and restitution, often substantial sums beyond what was purloined.