Apple employee who defrauded company of millions sentenced to three years in prison
An employee of Apple's supplier defrauded the company and the IRS out of millions of dollars by double-billing for parts.
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Prosecutors said that a former Apple employee, who double-billed parts and cheated the company of over $17 million through a scheme to defraud it, was sentenced to 3 years in federal jail. He also had to pay almost $33 million.
Dhirendra Prasad has pleaded guilty of conspiracy to commit fraud as well as conspiracy to defraud United States in the year 2022.
Prasad of Mountain House in California worked for Apple as a buyer from 2008 until 2018 within the Global Service Supply Chain division. Prasad, along with two other co-conspirators who owned two Apple suppliers, conspired to charge Apple twice for parts that it already owned or purchased.
Prasad claimed that the scheme started in 2011. The scheme lasted eight years and netted him over $17 million. Prasad created "sham bills" which allowed Don Baker, one of Prasad's co-conspirators to claim unjustified tax deductions worth more than $1.8million.
In a statement released on Wednesday, federal prosecutors and Internal Revenue Service agents said that Prasad had been given considerable discretion to make autonomous choices to benefit his employer. "Prasad abused his authority to enrich himself and his employer at the expense of his employer."
Prasad, in addition to his prison term, will forfeit assets worth $5.5 million, pay an $8.1 million money judgment, and make restitutions of $17.4 millions to Apple, as well as $1.9 million to IRS.
Apple didn't immediately respond to our request for comment.