bribes
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Amazon looks into reports of staff leaking data to merchants
Bribery in tech companies or in their supply chains is nothing new (there are numerous stories of factory workers leaking unannounced products), but Amazon is grappling with some particularly serious concerns. The company has confirmed to the Wall Street Journal that it's investigating reports of employees in the US and China leaking data to merchants on the site in return for bribes. The shady resellers have paid as much as $2,000 to obtain internal sales data and reviewers' email addresses (to persuade them to alter or remove harsh reviews). In some cases, the merchants have paid Amazon employees to delete negative reviews outright.
Europe accuses Qualcomm of paying companies to use its chips
The European Commission has sent a sternly-worded letter to Qualcomm, accusing it of abusing its position in the local market. Regulators claim that the chipmaker made "illegal payments," to an as-yet unnamed smartphone manufacturer so that it would only use Qualcomm's 3-and-4G hardware. In addition, the outfit stands accused of intentionally selling gear well below its cost price in order to put a local rival, Icera, which is now owned by NVIDIA, out of business. Those two offenses are, if proven to be true, enough for Qualcomm to be given a hefty slap by Europe.
Former Global Operations manager Paul Devine sentenced to one year in prison for selling Apple secrets
Former Apple Global Operations manager Paul Devine was sentenced last week to one year in prison following his guilty plea on charges of money laundering, conspiracy and wire fraud. He also must repay $4.5 million for crimes against his employer Apple. In 2010, Devine was arrested and subsequently pleaded guilty to fraud, conspiracy and money laundering in a scheme that benefited Apple's Asian suppliers and manufacturers. From 2007 until 2010, Devine and partner Andrew Ang received lucrative kickbacks in exchange for confidential internal Apple information such as product specifications and pricing. This information allowed the suppliers to negotiate more favorable contracts with Apple. Devine will begin serving his sentence in February of 2015. An indictment against Ang in the US is still pending while Chua Kim Guan faces charges in his home country of Singapore.
The Soapbox: Six reasons MMOs should abandon raiding, part 2
In yesterday's Soapbox, I had some things to say about why it's time to dump raiding. I'm writing this before I've seen the comment responses, but I'm willing to bet that a fair amount of angry shouting was involved in the comments because that's what I usually expect. But I wasn't done, as suggested by the whole "part 1" thing in the title header. For those don't feel like reading the whole thing, the short version is that raiding is too expensive to develop for too small a portion of the players. This is a solid argument, but it's standard: You hear it every time this debate comes up. In some ways, it's the foundation of the argument against raiding beyond the reality that most people say they just don't like raiding. There's more to be said, though, and there are more serious issues up for discussion. Raiding isn't just expensive in terms of development. It's expensive in lots of ways.
German prosecution charges HP staff with bribing Russian officials to clinch PC contract
The legal system's engines can take awhile to get churning, but there's no questioning the impact when they're at full bore. German prosecutors have wrapped up an almost three-year investigation into allegations of HP managers' bribery by charging the executives involved. Hilmar Lorenz, Päivi Tiippana and Ken Willett, along with claimed accomplice Ralf Krippner, have all been indicted for supposedly funneling €7.5 million ($9.7 million) in bribes through a German subsidiary and far-flung shell accounts to land a €35 million ($45.3 million) PC supply deal with Russia's Prosecutor General Office early in the previous decade. While only the people directly attached to the scandal currently face any consequences if found guilty, German lawyers are motioning to have the PC builder attached to the case, and there's a chance the formal charges could fuel an ongoing US investigation. HP is cooperating even as it's trying to distance itself from the indictments as much as possible -- these are for old allegations and a "former HP company," it says. While we don't yet know the whole story, it may be a protracted tale knowing that at least Tiippana and Willett plan to fight the accusations.
Scarlet Legacy prepping mammoth beta update for September 1st
The open beta MMO that's not afraid to bribe players to come give it a try is gearing up for one of its biggest updates yet. Scarlet Legacy is counting down the hours until it uploads an elephant's worth of content onto the servers for testers to enjoy (and, hopefully, thoroughly vet). This September 1st content update includes, but is not limited to, an increase in level cap to 45, dozens of new skills, 12 additional stances, three more maps, 68 quests, 46 crafting recipes, 154 weapons and pieces of armor, eight pets, high-level events, and a partridge in a pear tree. Well, maybe not the partridge. It's hard to say which part of the content update is most enticing, although our money is on the three new maps with intriguing names like Hidden Evil Island and Ancient Grave. There's also a virgin dungeon that's ready to be plundered for its goodies: Soul Trapping Matrix. For story lovers, the tale of Princess Scarlet will be extended up through level 45 to match the level cap increase. GamesCampus vows to release similarly large updates "at least once a month" from here on out.
IBM settles with SEC, pays $10 million for accusations of bribery
Hey, look, it's a major international corporation getting in trouble for bribery, and it isn't Samsung! This time it's home grown Big Blue, choosing to settle with SEC over allegations that its employees have spent the last 15 years or so illegally bribing and wooing foreign officials to score themselves bigger contracts. This includes $207,000 in cash bribes paid to South Korean representatives between 1998 and 2003 plus more in the form of gifts and trips to those willing and able to sign over big contracts, even paying for the personal vacations of Chinese officials. Ultimately $10 million is little more than a slap on the wrist for a company the size of IBM, which has not admitted fault and now will never have to, but we were glad to see that Watson has not been implicated in any of these nefarious misdeeds. His record remains squeaky clean.
Former Apple employee convicted of money laundering, wire fraud
Former Apple employee Paul Devine pleaded guilty to 23 charges of wire fraud, conspiracy and money laundering following his arrest last August. Devine, a global supply manager, was accused of accepting kickbacks from six Asian suppliers. In return for cash and gifts, he supplied these suppliers with confidential information that gave them an advantage when negotiating lucrative contracts with Apple. Devine allegedly collected over US$1 million in this kickback scheme and deposited the money in various foreign and US banks using accounts setup in his name and his wife's name. Varying amounts of cash were also stored in safety deposit boxes and hidden in shoe boxes in his house. His activities reportedly cost Apple more than $2.4 million in losses. Devine is currently on pretrial release and will return to court on June 6 for his sentencing. He faces up to 20 years in prison for the wire fraud and money laundering charges. He also agreed to forfeit $2.28 million in cash and gifts worth $10,000, most of which were obtained as part of his elaborate kickback scheme. When the criminal trial ends, Devine still faces a civil trial filed by Apple.
Apple supply manager arrested for wire fraud, money laundering
Ever wonder why -- after years of secrecy -- camera-ready iPod cases began rolling out? The answer could possibly be Apple supply manager Paul Shin Devine, who was just fingered by the FBI and IRS as a fraudulent, money laundering mole. Devine was arrested Friday for allegedly receiving kickbacks from six accessory suppliers in exchange for confidential information, which apparently gave them an edge in negotiating Apple contracts. "The alleged scheme used an elaborate chain of U.S. and foreign bank accounts and one front company to receive payments," reports the San Jose Mercury News, "and code words like 'sample' were used to refer to the payments so that Apple co-workers wouldn't become suspicious." Though we're not yet sure what specific confidential information might have been passed along and we doubt the indictment will say, a separate civil suit filed by Apple claims Devine accepted over $1 million in "payments, kickbacks and bribes" over the course of several years.
Apple manager held on kickback charges
The Mercury News is reporting that Sunnyvale, CA resident Paul Shin Devine, a 37-year-old Apple manager in global supply, has been arrested and charged with accepting kickbacks from Asian suppliers. In return, he provided confidential information that allowed these suppliers to negotiate more advantageous contracts with Apple. Devine, and his alleged co-conspirator Andrew Ang of Singapore, have been indicted by a federal grand jury on 23 counts including wire fraud, money laundering and other charges. Devine is being held by the US Marshals Service. Apple's statement on the matter comes from PR lead Steve Dowling: "Apple is committed to the highest ethical standards in the way we do business... We have zero tolerance for dishonest behavior inside or outside the company." Devine is alleged to have collected over $1 million in funds from various suppliers in China, Taiwan, Singapore and South Korea during the scheme; the companies involved have not yet been named publicly. Devine opened bank accounts in several countries in his wife's name to disguise the bribes. [via Apple 2.0]
Samsung CEO charged with fraud, won't be arrested
Oh Lee Kun-hee -- if you keep this up, you're going to make the Enron CEOs look like choir boys. The latest episode in the unending shame-game that is Samsung's corporate improprieties comes in the form of a an actual indictment against the electronic-maker's top man... for fraud. According to a report out of Australia, prosecutors in Korea have formally charged Kun-hee (who has admitted guilt anyhow), but say they won't arrest him because it would cause "enormous disruption" in the company's operations. Authorities said instead they plan to send him to a week-long, all-expenses-paid trip to a luxurious spa, and hope that a deep tissue rub will rid him of his lawbreaking ways.[Thanks, Hussain]
