Two Maryland Residents Found Guilty of $3 Million + Scheme to Defraud Apple Inc. out of 5,000 iPhones

Haotian Sun (33, of Baltimore, MD) and Pengfei Xue (33, of Germantown, MD) both Chinese nationals, were found guilty today by a federal jury for participating in a sophisticated scheme to defraud Apple out of millions of dollars’ worth of iPhones, according to a news release by the the U.S. Attorney’s Office of DC.

According to the government’s evidence, between May 2017 and September 2019, Sun, Xue, and other conspirators defrauded Apple Inc. by submitting counterfeit iPhones to Apple for repair to get Apple to exchange them with genuine replacement iPhones. Sun and Xue received shipments of inauthentic iPhones from Hong Kong at UPS mailboxes throughout the D.C. Metropolitan area. They then submitted the fake iPhones, with spoofed serial numbers and/or IMEI numbers, to Apple retail stores and Apple Authorized Service Providers, including the Apple Store in Georgetown. Trial evidence showed that conspirators submitted more than 5,000 inauthentic phones to Apple during the conspiracy, intending to cause a loss of more than $3 million to Apple.

Sun and Xue used various aliases during the scheme. They were arrested on December 5, 2019. This case was investigated by the U.S. Postal Inspection Service and Homeland Security Investigations.

Sun, of Baltimore, and Xue, of Germantown, MD, were found guilty by a federal jury in U.S. District Court in the District of Columbia of conspiracy to commit mail fraud and mail fraud, which carry a statutory maximum sentence of 20 years in prison. U.S. District Court Judge Timothy J. Kelly scheduled sentencing for June 21, 2024.

It was announced U.S. Attorney Matthew M. Graves; Acting Assistant Attorney General Nicole M. Argentieri, of the Justice Department’s Criminal Division; Inspector in Charge Damon E. Wood, of the United States Postal Inspection Service (USPIS) Washington Division; and Special Agent in Charge Derek W. Gordon, of Homeland Security Investigations, Washington Field Office.

It is being prosecuted by Assistant U.S. Attorney Kondi J. Kleinman, with the U.S. Attorney’s Office for the District of Columbia, and Trial Attorney Ryan Dickey of the Criminal Division’s Computer Crime and Intellectual Property Section. Essential work was provided by Paralegal Specialists Sona Chaturvedi, Liliana Villamizar, Mariela Andrade, and Amanda Rohde, as well as former Paralegal Specialist Michon Tart, all of the U.S. Attorney’s Office.

Recent Stories

Warrior Canine Connection (WCC) held a ceremony in honor of the renovation of their 1938 barn in Boyds. and DAVISConstruction (DAVIS) hosted a closing-in ceremony and tour at the site…

A certificate of recognition will be presented to the Richard Montgomery High School’s 2024 State Champion Girls Swim Team at the Rockville Mayor and City Council meeting on Monday, April…

MoCo High School Sports Scores for Apr 12, 2024 (powered by 

The National Weather Service (NWS) has issued to wind advisory for most of the DMV and surrounding areas that will remain in effect until 6pm.

17th Annual Kensington Day of the Book Festival

Now in its 17th year, the Kensington Day of the Book Festival is a family-friendly street festival featuring 150+ renowned authors, poets, and literary organizations. Enjoy live music on five stages, special guest speakers, military veteran writers and comedians, poetry readings, cookbook demos, children's program, and much more.

Admission is free, and attendees will also be able to explore a marketplace of books and food offerings from local vendors.

Not your average book festival! This festival offers something for everyone!

17th Annual Kensington Day of the Book Festival

Sunday, April 21, 2024, 11am-4pm (held rain or shine!)

Howard Avenue, Kensington, MD 20895

Instagram: @kensingtonbookfestival

Contact: Elisenda Sola-Sole, Festival Director

[email protected]

301-949-9416 (text preferred)

FEST OF SPRING Caribbean Wine Food & Music Festival

Get ready to experience the vibrant colors, tantalizing flavors, and infectious rhythms of the Caribbean at the FEST OF SPRING Caribbean Wine Food & Music Festival! Hosted by RHU LLC, this exciting festival is set to take place on May 18, 2024, at the picturesque 16700 Barnesville Rd in Boyds, MD.

Step into a world where the Caribbean spirit comes alive! From 12:00 PM onwards, immerse yourself in a sensory journey that celebrates the unique culture, cuisine, and music of the Caribbean. Whether you're an African American, a Reggae or Soca music enthusiast, a wine lover, or part of the vibrant Caribbean diaspora, this festival promises to delight and captivate you in every way.

Let the enticing aromas of mouthwatering Caribbean dishes tantalize your taste buds. Feast on traditional delicacies prepared by expert chefs, showcasing the rich and diverse culinary heritage of the Caribbean. Indulge in flavorful jerk chicken, succulent seafood, and delectable plantain dishes that will transport you straight to the islands.

Accompanying the culinary extravaganza is a carefully curated selection of premium wines, ensuring the perfect pairing for your palate. Sip on fine wines from renowned vineyards, each sip a reflection of the Caribbean's vibrant spirit. Discover new flavors, expand your wine knowledge, and savor unforgettable moments with every glass.

As the sun sets, get ready to groove to the infectious rhythms of Caribbean music. Feel the pulsating beats of reggae, soca, dancehall, and calypso, moving your body to the lively melodies. Live performances by talented musicians and performers will keep the energy high, ensuring a night of unforgettable entertainment.

Don't miss this opportunity to embrace the Caribbean spirit and celebrate the arrival of spring in style! Tickets are available on AllEvents, so secure your spot today. Join us at the FEST OF SPRING Caribbean Wine Food & Music Festival, where cultures collide and unforgettable memories are made.



2 NIGHT Camping packages available: RV/CAMPER $200 | TENTS $150 Starting on Friday May 17 @ 5pm | 30 RV SPACES | 30+ TENT SPACES



Subscribe to our mailing list