Apple Exec Charged With Fraud

By Lisa Johnston On Aug 30 2010 - 4:01am

San Jose, Calif. — Paul Shin Devine, a global supply manager for Apple, was recently arrested for allegedly providing company secrets in exchange for kickbacks from Asian suppliers.

According to the 23-count indictment obtained and posted by SFWeekly. com, Devine is accused of using “his position at Apple to obtain confidential Apple information, which he then transmitted to suppliers and manufactures of Apple parts,” including Andrew Ang, an employee of an Apple headset manufacturer in Singapore, who is also named in the indictment.

Devine had pleaded not guilty to the charges.

The indictment, which was filed in the Northern District of California, claims that Devine had the kickbacks wired to various bank accounts, including some in his wife’s name. He also allegedly opened bank accounts in the business name CPK Engineering Corporation for the purpose of receiving and disguising kickback payments.

The indictment lists some of the alleged wire transfers, and they range from $6,000 to $129,970. Devine is also being charged with money laundering.

Apple did not respond to TWICE’s request for comment as of press time. Apple has reportedly filed its own civil suit against Devine, charging that he “abused his position, violated Apple policies, and [broke] the law by stealing Apple’s proprietary, trade secret and other confidential information and converting it to his own benefit.”

Prosecutors have reportedly said that Devine had $15,000 stored in shoeboxes at his house.

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