Foxconn Manager Allegedly Stole iPhones Worth $1.5-2 Million From Testing Line, Facing 10 Year Imprisonment

First Posted: Dec 05, 2016 04:00 AM EST
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Prosecutors in Taiwan have levelled criminal charges against former senior level Foxconn manager for stealing over 5500+ iPhone handsets. These handsets were mostly iPhone 5 and iPhone 5S models. He allegedly stole these phones and sold them in the open market of China and earned anywhere between $1.56-2.2 million.

Thousands of these iPhones were stolen from the factory and smuggled out. The charges have been made against a Taiwanese manager by the name "Tsai" who worked in the handset testing area. The phones were allegedly stolen from the testing line itself. "Tsai" and his accomplices stole the handsets. These handheld devices were marked to not enter the retail market. They were to be marked as "Scrapped" once the testing concluded.

Tsai worked for Foxconn, which is currently the largest assembler of electronics in the world. The company works with the likes of Apple, Sony and other global giants. They assemble electronics and finally put them up on the shelves in retail stores. The alleged thieves were only caught after an internal audit was conducted by Foxconn.

As many as 8 employees helped the manager steal the handsets which were primarily iPhone 5 and iPhone 5S models. The handsets were then sold in the open market between 2013 and 2014. Tsai could face a 10 year long sentence in jail for the criminal breach of trust.

Foxconn employs over 1 million people globally and has faced several issues in past over HR issues. Many employees' suicides and mental harassment has been linked to the company recently. In 2014, five former Foxconn employees were charged with breach of trust in Taiwan for allegedly soliciting Tw$160 million in kickbacks from suppliers in exchange for clearing quality checks and buying their equipment. This incident has only further highlighted the issues prevalent in the Foxconn management. The other suspects are yet to be identified and charged.

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