What you need to know
- A former Apple employee has been charged after they allegedly defrauded Apple out of more than $10 million.
- Dhirendra Prasad was previously employed as a buyer at Apple.
- Prasad now faces five criminal counts including mail fraud, money laundering, and tax evasion.
A former Apple employee has been charged by United States prosecutors after allegedly using the company's supply chain to defraud it out of more than $10 million.
Prosecutors say that Dhirendra Prasad will now face five criminal counts after exploiting his "position of trust" to collect kickbacks and more from supply chain vendors. Reuters reports that filings made with the federal court in San Jose, California, also say that Prasad evaded taxes on their ill-gotten gains. The money was also laundered before Apple fired them in December of 2018.
Prosecutors said that as an Apple buyer, Prasad negotiated with vendors and placed orders, with Apple making payments based on invoice amounts he entered into its purchasing system.Prasad allegedly defrauded Apple by taking kickbacks, stealing parts using false repair orders, and causing Apple to pay for items and services it never received.
Two owners of the companies that Prasad worked with to defraud Apple have already pleaded guilty to charges related to the situation. Prasad now faces "charges including conspiring to commit wire and mail fraud, commit money laundering and defraud the United States, as well as tax evasion."
Reuters notes that Prasad's arraignment is set for March 24. It's expected that Prasad will also need to hand over cash and property that was bought using the proceeds of the scheme.
