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Jobs' Mob settles with Norfolk Council

by on18 March 2024

Pays €460 million

Fruity cargo cult Apple has waved the white flag to Norfolk County Council, forking over a jaw-dropping €460 million (about £385 million) after being slammed with accusations of duping shareholders.

The Norfolk Council-led legal onslaught charged the CEO of Jobs' Mob, Tim Cook, with pulling the wool over investors' eyes by hiding the nosedive in iPhone cravings in China, sparking a financial fiasco for the stockholders.

The Norfolk Pension Fund, under the council's watchful eye, was one of the victims of what has been branded Cook's con job.

Following the hefty payout, the Norfolk Pension Fund issued a statement, crowing about the victory and vowing to defend the nest eggs of countless people who depend on their pensions.

Cook's comments during a November 2018 financial chinwag were at the heart of the legal squabble.

He was fingered for spouting dodgy claims about iPhone demand and Jobs' Mob's prospects in China, a no-no under the Securities Exchange Act of 1934.

A mere two months post-chatter, Jobs' Mob backpedalled on its cash predictions, blaming the dip on the mounting squabble between China and Uncle Sam.

This bombshell sent Jobs' Mob's shares tumbling 10 per cent, wiping out over $70 billion in shareholder wealth.

In the thick of this mess, it was leaked that Jobs' Mob had told its phone makers to pump the brakes on extra production lines for the iPhone XR, stoking the fire of demand doubts.

Shareholders who snagged Jobs' Mob stock between November 2018 and January 2019 cried foul, claiming Cook's fishy statements left them out of pocket.

The lawsuit, which was initiated by the US city of Roseville, gained momentum in 2020 when Norfolk County Council became the lead plaintiff.

Despite Jobs' Mob's protests of innocence, insisting they hadn't stepped over any legal lines or hoodwinked investors, the shadow of a courtroom showdown loomed until a settlement was hashed out on 1 March.

The truce was struck with the understanding that dragging this through the courts would be a long, taxing, and pricey affair for all parties.

The legal documents blared: "Defendants have categorically rejected and continue to reject any breach of federal securities laws or any other laws, or any bamboozling of investors as claimed in this Action. However, acknowledging that a drawn-out legal battle would be lengthy, overly burdensome, expensive, and distracting, they've decided it's in their best interest to settle this dispute."

The settlement, now in the hands of the US District Court in Oakland, California, is waiting for the judge's approval before proceeding.

The loot is poised to be divided among investors who were seeking payback for Jobs' Mob's alleged shenanigans.

How much of the settlement pie Norfolk County Council will get its mitts on is still hush-hush.

For Jobs' Mob, coughing up €460 million is chump change, barely less than two days' net earnings. The tech behemoth raked in a cool $97 billion net income last fiscal year. However, Apple is famous for never admitting it has done anything wrong and taking cases to the highest level possible before giving up.

Last modified on 18 March 2024
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