Chinese man guilty of defrauding Apple out of 1,500 iPhones

SALEM, Ore. — Over the span of two years, a Chinese national in Oregon sent devices that looked like iPhones to Apple, saying they wouldn’t turn on and should be replaced under warranty. He didn’t just submit a couple of the devices — he delivered in person or shipped to Apple around 3,000 of them.Apple responded by sending almost 1,500 replacement iPhones, each with an approximate resale value of $600.But the devices that Quan Jiang sent Apple were fake.Jiang, 30, a former engineering student at a community college in Albany, Oregon, pleaded guilty in federal court Wednesday to trafficking in counterfeit goods, the U.S. Attorney’s office in Portland announced.The presence of fake iPhones and other high-tech gadgets has become an issue in global resale markets, with some counterfeit versions operating so well it’s hard for users to tell the difference between them and the genuine products. But in the Oregon case, the makers of the thousands of fake phones apparently didn’t even have to bother with having working operating systems.An Apple official quoted by a Homeland Security Investigations Special Agent Thomas Duffy in a court document exposed a vulnerability that Jiang exploited.“Submission of an iPhone that will not power on is critical to perpetuating iPhone warranty fraud, as the phone will not be able to be immediately examined or repaired by Apple technicians, triggering the Apple iPhone replacement process as part of its product warranty policy,” Duffy wrote, quoting Apple brand protection representative Adrian Punderson.The U.S. Attorney’s office in Portland said Jiang would import the counterfeit devices from Hong Kong and submit them to Apple using various assumed names. The genuine replacement phones Jiang received would be sold in China. Jiang’s associate would pay Jiang’s mother, who lives in China, who would then deposit the money into Jiang’s bank account.Jiang received packages containing between 20 and 30 counterfeit iPhones from associates in Hong Kong between Jan. 1, 2016, and Feb. 1, 2018, according to court documents.Apple realized something was amiss as early as June 30, 2017, when its legal counsel sent Jiang a “cease and desist” letter to an address in Corvallis where 150 warranty claims emanated. The lawyers said the company knew he was importing counterfeit Apple products, according to Duffy’s affidavit. Jiang didn’t respond, so the Apple lawyers sent a second letter.Apple did not immediately respond to requests for comment on the case.Apple rejected 1,576 warranty claims associated with Jiang, Duffy said. The 1,493 claims that resulted in replacement iPhones being delivered by Apple represented an $895,000 loss to the Cupertino, California-based company, Duffy wrote.Brad Bench, who heads the Homeland Security Investigations office in Seattle, said in a statement that trafficking in counterfeit goods hurts the economy, legitimate businesses, and impact consumers directly.Jiang faces a maximum sentence of 10 years in prison, a $2 million fine or twice his proceeds, whichever is greater, when he is sentenced on Aug. 28. Under a plea agreement, the U.S. Attorney’s office will recommend a prison sentence of three years, at least $200,000 in restitution to Apple.And Jiang must forfeit his black 2015 Mercedes-Benz CLA 250 coupe.___Follow Andrew Selsky on Twitter at https://twitter.com/andrewselskyAndrew Selsky, The Associated Press read more

CounterPath Continues Journey to Full Collaboration

The primary new feature added with Bria Teams Pro is the ability to assign a dedicated virtual meeting room to each user account, Carothers said. This capability is indicative of a trend the company has seen among small and medium-sized enterprises (SME) — and is manifest in other industry moves, such as cloud video provider Zoom’s decision to beef up its video conferencing service with enterprise voice and other collaboration functions. “SMEs want collaboration, but they don’t want to switch from outbound calling straightaway because they have contracts in place. … They have this quest for a single solution, but still have this third-party issue,” he explained. See All in UCaaS » CounterPath’s Bria Teams Pro.png Bria Teams Pro will be generally available later this month, and SMEs can start with a 30-day free trial if they’d like. Those companies that want to jump right in can select between an annual billing plan at $9.95 per user, per month or monthly billing at $14.95 per user, per month, Carothers said. Bria Teams Pro also supports HD audio conferencing for up to 200 participants, integrated screen sharing and messaging within meeting rooms, Web browser viewing and audio for users without Bria Teams, and server-based secure conference recording with cloud storage. Meeting hosting and presenter capabilities are available on any device running Bria Teams Pro. In addition to the virtual meeting rooms, Bria Teams Pro supports HD video conferencing — 1080p for desktop and 720p for mobile — for up to 200 internal or external participants, Carothers said. Video settings are adjustable, allowing use of a grid view for team meetings, a focused view for customer calls, and townhall presentation for all-hands events, for example. And hosts have a range of management functions at their disposals, including the ability to view and manage participant capabilities, assign presenter control, trigger muting for participants, and assign PIN access to a session. If you haven’t registered for Enterprise Connect, it’s not too late — and as a No Jitter reader you can even still get $200 off your pass by using the code NJPOSTS at checkout. Tags:News & ViewsSoftphoneVirtual Meeting Roomteam collaborationEnterprise VoiceCloud PBXCounterPathBria Teams ProUCaaSCloud CommunicationsEnterprise ConnectMeetingsProduct NewsReal-Time Communications Articles You Might Like Can Mitel and TDS Telecom Own the UCaaS Market? John Malone July 31, 2019 New promotions, rebates, and prices are influencing UCaaS purchases, according to the Eastern Management Group. CounterPath, a 2019 Overall Best of Enterprise Connect Award finalist for its Bria Teams cloud UC and collaboration service, this week introduced a Pro version as well updates for the standard package.With Bria Teams Pro, CounterPath continues its repositioning from softphone to UC as-a-service (UCaaS) provider, Todd Carothers, the company’s EVP of sales, marketing and product, told me during a No Jitter briefing. It follows on the Bria Teams debut of late last year, which introduced secure team messaging, integrated file sharing, screen sharing, team voice and video calls, and presence on desktops and mobile devices. Hosted VoIP Is About More Than Cost-Savings Robert Oscanyan June 24, 2019 Look beyond the bottom line when evaluating whether to migrate from legacy systems to the cloud. Selling UCaaS: Never Been Easier, or Harder Jon Arnold October 01, 2019 As UCaaS demand increases, providers are split on how best to deliver their service, either by channel partners or directly selling to end users. 5 UCaaS MQ Mysteries Examined Marty Parker August 22, 2019 Gartner estimates that 40% of new enterprise telephone purchases will be based on a cloud office suite – either Microsoft Office 365 or Google G Suite – by 2023 — but what does that mean? Taking a People-First Approach to Unified Communications Brian Mahoney July 01, 2019 Successful adoption requires understanding user personas and use cases, on top of formal change management processes. And that’s OK by CounterPath, since the Bria Teams solutions integrate with SIP services and corporate PBXs. The Bria Teams solutions overlay virtual and cloud PBX services, for example, meaning customers can use collaboration features within Bria Teams and their existing telephony for outbound calling, Carothers said. (While internal team calls rely on the Bria Teams functionality.) If you’re attending Enterprise Connect, which takes place next week in Orlando, Fla., be sure to attend our Tuesday morning Best of Enterprise Connect Award presentation to see if Bria Teams wins, and check out the solutions for yourself at CounterPath’s booth, 1205. Log in or register to post comments read more