Apple fires 185 employees over fraudulent donations scheme, including several Indians: Report

Tech giant Apple has reportedly terminated 185 employees from its headquarters in Cupertino, following an investigation into fraudulent activity involving the company’s charitable Matching Grants programme.

According to India Today, the fraud allegedly involved employees collaborating with certain non-profit organisations, including some with links to the Indian community, allowed individuals to falsify donations in order to boost their compensation.

NBC, citing the district attorney’s office in Los Angeles, reported that several employees were fired for misusing Apple’s Matching Grants programme, a corporate social responsibility (CSR) initiative designed to amplify employees' charitable contributions by matching their donations to eligible non-profits.

According to allegations, some employees worked with non-profits to falsify donations, which were then matched by Apple. The employees reportedly received their original donations back from the charities, while keeping Apple’s matching contributions for themselves.

Of the terminated employees, six individuals have been named by authorities in the Bay Area. These include Siu Kei (Alex) Kwan, 37, from Castro Valley; Yathei (Hayson) Yuen, 34, from San Jose; Yat C (Sunny) Ng, 35, from Milpitas; Wentao (Victor) Li, 38, from Hayward; Lichao Ni, 39, from Sunnyvale; and Zheng Chang, 31, from Union City, added the report. The Santa Clara County district attorney’s office has stated that these individuals defrauded Apple of approximately $152,000 over a three-year period.

Reportedly, the fraud centred around two non-profits: the American Chinese International Cultural Exchange (ACICE) and Hop4Kids. Kwan, identified as the ringleader, was both the. CEO of Hop4Kids and the accountant for ACICE. The scheme reportedly involved employees pretending to make donations, which were returned to them by the charities, with Apple’s matching funds being kept by the individuals involved. The fraud also extended to tax evasion, as the perpetrators reportedly claimed these fictitious donations on their tax returns, defrauding the state of California in the process.

Although Apple has not issued an official statement, the district attorney’s office is continuing its investigation. Reports from Great Andhra suggest that many of the fired employees are of Indian origin, with some allegedly connected to Telugu community organisations in the US, although this detail has not been confirmed by authorities.