$6.1M Apple Store Scam Ends in Prison Sentences for Culprits – Discover More!

In general, getting your damaged iPhone fixed at Apple’s Genius Bar under your AppleCare membership is rather simple. However, two siblings discovered a method to rig the system by exchanging fake iPhones for authentic ones. Sadly, they got caught in 2019 trying to trade 10,000 counterfeit Apple items over the period of eight years. According to the Times of San Diego, they were sentenced to federal prison this week.

Zhimin and Zhiting Liao, also known as Jimmy and Allen Liao, are residents of San Diego. They made over $6.1 million selling authentic Apple items, such as iPads and iPhones, to customers abroad. The brothers were sentenced to 41 months in federal prison along with the seizure of five San Diego properties, $250,000 they made from the fraud, and 200 iPhones connected to the scheme.

The wives of the brothers pleaded guilty as well in the scam case and received three-year probation sentences. Zhiwei Liao, the third brother, will be sentenced later this month. Eight other co-conspirators also pleaded guilty.

Not only have the Liaos operated a phony-for-real exchange operation, but in 2019 an Oregon college student was found guilty of scamming Apple Stores. The student would enter Apple Stores with counterfeit iPhones bearing serial numbers indicating they were still under warranty.

On the other hand, Liao’s plan was far more expansive. According to the prosecutors, Zhimin Liao had personally visited 105 Apple Stores across 22 states in an attempt to exchange over 720 phony iPads and iPhones, a source reported. In at least 200 Apple Stores throughout 18 US states and Canada, Zhiting Liao’s search included around 718 device swap attempts.

Also read:

Apple’s Upcoming Fix: Troubleshooting iPhone 15 Pro Overheating

 

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