USA 
United Kingdom
Six ex-Apple employees are facing a string of felony charges, including grand theft, perjury, and tax fraud, for allegedly exploiting the tech giant’s donation-matching charity program.
Prosecutors in Santa Clara County, California, allege that the accused conspired to embezzle funds intended for charitable donations, pocketing the money themselves.
District Attorney Jeff Rosen said the case harmed not only the company but also the nonprofit organizations and communities the funds were meant to support.
“This is a situation where everybody loses,” Rosen said. “Apple loses, the community loses, and the charities lose—all because six individuals decided to take advantage of their employer’s generosity to enrich themselves.”
According to investigators, the scheme operated from July 2018 to April 2021. It allegedly centered on a ringleader with ties to two nonprofit organizations: Hop4Kids, which supports impoverished children and teens, and the American Chinese International Cultural Exchange Council (ACICEC), which focuses on cultural and humanitarian causes.
Rosen claims the mastermind leveraged his position within those nonprofits to siphon money away from Apple’s donation-matching program. The scheme reportedly involved employees making fake contributions to the nonprofits through a third-party platform, which Apple matched at a rate of 100% or 200%. The charities then funnelled the matched donations back to the ringleader and refunded the employees’ initial contributions.
Violation of trust
Authorities say the suspects collectively stole $152,000 in fraudulent donations and falsely claimed about $100,000 in charitable tax deductions.
“This was not just an Apple fraud,” Rosen said. “It was a violation of trust that exploited charities and took resources away from the people who needed them most.”
The investigation has raised alarms about potential vulnerabilities in corporate giving programs. Rosen urged businesses to conduct internal audits to ensure their philanthropic contributions are properly directed.
“This should serve as a wake-up call for companies during this season of giving,” he said. “If you’re donating, make sure your money is reaching the intended recipients.”
The six suspects, whose names have not been released pending arraignment, face up to five years in prison and could be ordered to pay restitution if convicted.
Investigators are also probing whether similar scams may have been carried out at other corporations.
Charity scheme compliance
The case serves as a stark reminder to implement robust oversight of employee benefit and incentive programs, collaborating closely with compliance teams to conduct regular audits, ensure transparency in donation-matching schemes, and educate employees on ethical conduct.
By cultivating a culture of accountability and vigilance, organizations can mitigate risks, safeguard their reputation, and ensure that donations reach the intended recipients.
