Thaindian News

SAN JOSE, CALIFORNIA (BNO NEWS) — Apple Inc. employee and agent for parts suppliers on Monday pleaded not guilty on charges of wire fraud and conspiracy charges that allege he received over $1 million in kickbacks, prosecutors said.

Paul Shin Devine, 37, of Sunnyvale, Caliornia, allegedly obtained confidential information from Apple, which was allegedly sold to suppliers of iPhone and iPod accessories, helping them to negotiate more favorable contracts with Apple.

In his role as an Apple Global Supply Manager, Devine was responsible for selecting suppliers of enclosure materials for headsets designed for Apple’s iPhone and iPod products. Devine had access to confidential company information, including Apple product forecasts and product development plans (known as “roadmaps”), pricing targets, and product specifications.

Andrew Ang, 35, of the Republic of Singapore, worked for several companies that supplied parts for Apple products.

Devine allegedly transmitted confidential internal Apple information to the suppliers, located in China, Singapore, South Korea, and Taiwan. In return, the suppliers agreed to pay Devine kickbacks, including payments determined as a percentage of the business they did with Apple.

Devine allegedly then shared a portion of those kickbacks with Ang.

Between early 2007 and the present, Devine and Ang are alleged to have received more than $2.5 million dollars in kickbacks. Devine is alleged to have used bank accounts in several foreign countries to receive kickback payments and to have used a business bank account in the United States to launder the wire fraud proceeds.

Devine’s next hearing is scheduled for Wednesday.