Prosecutors in Santa Clara County have charged six former Apple employees for allegedly exploiting the tech giant’s gift-matching program for charitable donations, in a scheme that took place from 2018 to 2021.
The six employees are facing multiple felony charges, including grand theft, conspiracy to commit felony grand theft, perjury, and tax fraud, as well as an aggravated white-collar crime enhancement due to the substantial sums involved.
The suspects, identified as Siu Kei (Alex) Kwan, Yathei (Hayson) Yuen, Yat C (Sunny) Ng, Wentao (Victor) Li, Lichao Ni, and Zheng Chang, are accused of illegally exploiting the gift-matching system by making donations to two charities—American Chinese International Cultural Exchange (ACICE) and Hop4Kids, both associated with Kwan. Kwan was the CEO of Hop4Kids and the accountant for ACICE.
Prosecutors claim that the employees used the third-party platform Benevity to make donations, which Apple matched at a rate of 100% to 200%. Afterward, Kwan allegedly reimbursed the employees and kept the matching funds for himself. The employees are also accused of falsely claiming the donations as tax deductions.
The fraudulent operation resulted in the theft of $152,000 from Apple’s gift-matching program and the false reporting of over $100,000 in tax deductions.
The suspects are facing potential jail time and may be required to pay restitution, fines, and fees if convicted. Arrest warrants have been issued, and their arraignment dates are yet to be set.
District Attorney Jeff Rosen emphasized the county’s commitment to prosecuting white-collar criminals who abuse systems meant for charitable donations, praising Apple’s collaboration in uncovering the fraud.