A major case of Apple employee fraud has been uncovered, with a former supply chain buyer costing the company $10 million.
Dhirendra Prasad, who worked for 10 years as a buyer in Apple’s Global Service Supply Chain division, faces five federal charges…
SCS SF reports.
A former Apple employee faces federal charges after he allegedly defrauded the tech giant out of millions of dollars over several years, prosecutors said. […]
Prosecutors said Prasad allegedly engaged in “several different schemes to defraud Apple,” including accepting bribes, stealing parts and forcing Apple to pay for items and services he didn’t. never received. Apple Losses Were Over $10 Million, Court Filing Shows […]
Prasad is accused of conspiring with two vendors who did business with Apple to commit fraud and money laundering. The alleged co-conspirators, identified as Robert Gary Hansen and Don M. Baker, have been charged in separate federal cases.
It looks like Apple can recover about half of the lost money. In addition to the criminal charges, the government is working to seize some $5 million in property and cash from Prasad – who is also charged with conspiracy to defraud the US government over unreported income.
Employee fraud is a huge problem, with startling numbers involved.
- Fraud causes companies to lose approximately 5% of their revenue each year. (Source)
- An average fraud case costs a business $1,509,000. (Source)
- Fraud cases most often occur in these four areas: operations, accounting, management and senior management, or sales. (Source)
- Billing and payroll fraud is twice as common in small businesses than in large businesses. (Source)
- 85% of embezzlement cases are perpetrated by a manager, with a fifth of cases by a C-level executive. (Source)
- 79% of cases involved more than one person committing the crime. (Source)
Photo: Celyn Kang/Unsplash
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