In an astonishing development, Apple Inc. has dismissed around 185 employees from their positions. These terminations are the result of an investigation into alleged fraudulent activities associated with the company’s charitable Matching Grants programme.
According to reports, the alleged fraud involved employees conspiring with certain non-profit organisations to falsify donations and inflate their compensation.
The Matching Grants Program
The Matching Grants program is a corporate social responsibility (CSR) initiative by Apple, which was designed to double employees’ charitable contributions by matching their donations to eligible non-profits. However, it appears that some employees exploited this initiative for personal gain.
They allegedly collaborated with non-profits to fabricate donations, which were then matched by Apple. The employees reportedly received their original donations back from the charities, while appropriating the Apple’s matching contributions.
The fraud reportedly revolved around two non-profits: the American Chinese International Cultural Exchange (ACICE) and Hop4Kids. The scheme involved employees pretending to make donations, which were returned to them by the charities, with Apple’s matching funds being kept by the individuals involved. The fraud also extended to tax evasion, as the perpetrators reportedly claimed these fictitious donations on their tax returns, defrauding the state of California in the process.
Reports have also suggested that many of the fired employees are of Indian origin, with some allegedly connected to Telugu community organisations in the US, although this detail has not been confirmed by authorities.
