Duo That Cost Apple $2.5 Million in Fraudulent iPhone Repair Scheme Get Prison Sentences
Two Maryland residents who defrauded Apple out of 6,000 iPhones worth over $2.5 million were sentenced to prison today, according to the United States Department of Justice. The duo devised a repair scheme where they sent in counterfeit iPhones in order to get genuine iPhones in exchange.
Chinese nationals Haotian Sun and Pengfei Xue will each spend more than four years in prison. Sun was sentenced to 57 months in prison, while Xue was given 54 months. Both will serve three years of supervised release after their prison terms, and will need to pay restitution to Apple. Sun has been ordered to pay $1,072,000, while Xue has been ordered to pay $397,800.
Between May 2017 and September 2019, Sun and Xue received shipments of inauthentic iPhones from Hong Kong, and used spoofed serial numbers and/or IMEI numbers to return them to Apple retail stores and Apple Authorized Service Providers. Over 6,000 iPhones were submitted to Apple during that two-year period, according to trial evidence. The intended loss was approximately $3.8 million, and actual loss exceeded $2.5 million.
Back in February, Sun and Xue were found guilty of mail fraud and conspiracy to commit mail fraud, charges that carried a maximum sentence of 20 years in prison.
Popular Stories
Apple is expected to unveil iOS 27 during its WWDC 2026 keynote on June 8, and there are already many rumored features and changes for iPhones.
The first developer beta of iOS 27 will likely be available immediately following the keynote, and a public beta typically follows in July. Following beta testing, the software update should be released to all users with a compatible iPhone in...
Apple refreshed the 14-inch and 16-inch MacBook Pro with M5 Pro and M5 Max models in March 2026, but depending on your needs and interests, you might want to skip this generation because there's something better in the works.
The M5 Pro and M5 Max MacBook Pro models have faster chips, but the same design that Apple has used since 2021. An updated design with new display technology and faster ...
Apple today released a new Pride Edition Sport Loop for the Apple Watch. The band features a rainbow design with 11 colors of woven nylon yarns.
The new Pride Edition Sport Loop is available to order now on Apple.com and in the Apple Store app in 40mm, 42mm, and 46mm sizes, and it will be available at Apple Store locations starting later this week. In the U.S., the band costs $49.
There...
