Morris/Bloomberg
Some of the traded tips resulted from info regarding confidential Apple sales forecasts and new product features for the iPhone. Related News
- Google accuses Apple of trying to corner ad market on iPhones, iPads
- Apple CEO Steve Jobs: Idea for iPad actually came before iPhone
- Move over Apple! Google's Android snags #2 spot from iPhone
- Meow! Steve Jobs attacks Adobe, quips that it's unfit for iPhone, iPad
- Apple's revenue of $13.5B exceeds Wall Street's estimate
- Apple shares leap to record high after iPhone announcement
The latest busts boosted to six the number of arrests in a wide-ranging Wall Street insider trading probe.
A criminal complaint filed in Manhattan said some of the tips resulted from inside info about confidential Apple sales forecasts, new product features for the iPhone and a top-secret project known internally at Apple as "K48" - which became the iPad.
U.S. Attorney Preet Bharara said the charges allege that a "corrupt network of insiders at some of the world's leading technology companies served as so-called consultants who sold out their employers by stealing, and then peddling their valuable inside information."
The complaint also detailed improper business relationships between execs at Apple suppliers, including Flextronics and AMD Global Communications. Further, it said conspirators illegally provided info that had been given to employees about sales forecasts and new product features for the iPhone.
One arrested exec was secretly recorded saying: "At Apple, you can get fired for saying K48 outside of a meeting that doesn't have K48 people in it. That's how crazy they are about it."
Two of the men charged live in California, one lives in Texas and the other in Massachusetts.
The prosecution is an offshoot of a probe of Galleon Funds founder Raj Rajaratnam and 22 others in which prosecutors made extensive use of wiretaps, typically used in drug and organized crime investigations.
Read more: http://www.nydailynews.com/money/2010/12/17/2010-12-17_iphone_info_leaks_part_of_insiders_bust.html#ixzz18N2O8K34
No Response to "iPhone secrets traded between tech execs lead to three arrests"
Post a Comment