The fraudster who cost Apple $6 million was imprisoned for more than four years

The fraudster, who cost Apple more than $6 million, was sentenced to 51 months in prison, reports 9to5Mac.

This is Zhiwei Liao, who was the organizer and leader of the fraudulent group. His criminal actions were uncovered through the cooperation of the FBI and the San Diego Police Department.

“Mr. Liao’s sentencing closes a major chapter in a multi-year investigation that exposed an international, elaborate scheme to sell counterfeit goods worldwide,” said FBI San Diego Special Agent in Charge Stacey Moy.

Liao and two other co-conspirators, who were his brothers, bought non-working but convincingly counterfeit iPhones and iPads in China. The devices were given serial numbers of products sold in the United States.

The fraudsters then hired people to return the devices to the Apple Store, allegedly because of a malfunction. After verifying the products and serial numbers, the company issued replacement devices that were later shipped back to China for sale.

The two brothers were sentenced to 41 months in prison each in 2023. They also had their property and cash worth more than $4 million confiscated.