Apple Manager Indicted on Wire Fraud, Money Laundering (AAPL)

A manager at Apple Inc. AAPL has been indicted by a federal grand jury in an alleged scheme involving fraud, money laundering, and illegal kick backs. The manager is accused of selling confidential information to suppliers of iPhone and iPod accessories. Authorities say Paul Shin Devine of Sunnyvale was arrested on Friday on charges of wire fraud, money laundering and kickbacks. The indictment had been filed under seal Wednesday. According to a Reuters report, "Devine, 37, is accused of accepting more than $1 million in exchange for providing confidential information to Apple suppliers in Asia. The suppliers allegedly used the information to negotiate favorable contracts with Apple, which is based in Cupertino." "Apple is committed to the highest ethical standards in the way we do business," Apple spokesman Steve Dowling said in a statement. "We have zero tolerance for dishonest behavior inside or outside the company." Shares of Apple lost more than 1% on Friday, to close at $249.10.