Ex-Apple manager admits $2m conspiracy

Chris Davies - Mar 1, 2011, 4:56 am CST
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Ex-Apple manager admits $2m conspiracy

A former Apple employee who worked on the iPhone has admitted he accepted bribes from Asian suppliers and leaked confidential information, in a conspiracy believed to have cost the company more than $2m. Paul Devine was arrested back in August 2010, after emails were discovered in which he negotiated the trade of inside information for cash funnelled through a front company and several bank accounts.

Devine had worked as global supply manager on Apple’s iPhone project between 2005 and 2010, passing information to co-conspirator Andrew Ang which was then sold to various supply firms. That data allowed them to negotiate better deals with Apple.

Among the charges brought to the San Jose court were counts of wire fraud, conspiracy and money laundering, to which Devine pleaded guilty; he also agreed to give up $2.28m in money and property. Apple has declined to comment on the case, perhaps because it is independently suing the ex-employee.


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