Two individuals were convicted in a scheme involving the use of 5,000 counterfeit iPhones to defraud Apple out of more than $3 million. The scam entailed sending fake iPhones 'For Repair' to Apple in exchange for authentic phones, ultimately costing Apple $3 million. The perpetrators, identified as Chinese nationals, have been sentenced to up to 20 years in prison. The U.S. Department of Justice reported that the two Maryland residents were found guilty of this fraud.