Three crooks pulled off at least one incredible scam that allowed them to steal more than 5 million euros worth of devices from Apple. However, the technique used was far from sophisticated: they were content to steal iPhones and iPads from stores before replacing them with fakes. They have all just received a prison sentence.
It is quite common to see thefts of iPhones and other Apple devices exceed a million euros in loot. Each thief has his own scheme, from the most complicated to the most direct. Today’s crook falls between these two extremes. Zhiwei “Allen” Liao, in fact, did not beat around the bush: he and his accomplices went directly to the store to discreetly seize the merchandise. But where it gets tricky is the technique used to avoid getting caught.
Zhiwei Liao thus called on a Chinese counterfeit manufacturer who made perfect replicas of iPhones and iPads, pushing the vice to the point of reproducing the real serial number of the devices in question. The leader then sent his two accomplices, incidentally from his own family, with their hands full of these fake smartphones and tablets. The latter were then responsible for going around the country’s Apple Stores and making the change, neither seen nor known.
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These cheeky crooks stole millions from Apple
Once the real devices were in hand, the accomplices then sent them directly to China and sold them cheaply, thus generating a considerable profit. In total, the Liao family’s loot is estimated at $6.1 million, or 5.6 million euros, making it one of the most lucrative schemes discovered to date. For its part, Apple was content to replace the fakes with real ones once the deception was discovered.
Zhiwei Liao was sentenced to 51 months in prison. The courts also confiscated his two houses, $120,730 in cash and no less than 200 Apple devices. “This is a massive and sophisticated fraud that affected not only Apple, but thousands of Apple product owners across North America,” said United States Attorney Tara McGrath.