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Iranian Authorities Crack Down on iPhone Ban Violators, Uncover Massive Scam

Reports indicate that the company made approximately 20 trillion rials (around $35 million) within a few months.
PUBLISHED FEB 19, 2024
Cover Image Source: Iranian authorities crack down on iPhone ban violators (representative image) | Pexels | C. I SO
Cover Image Source: Iranian authorities crack down on iPhone ban violators (representative image) | Pexels | C. I SO

The Iranian authorities have intensified their crackdown on violators of the ban on iPhones in the country, uncovering a massive scam network that duped individuals out of tens of millions of dollars. The case revolves around Kourosh Company, which promised cheap iPhones to customers despite the ban imposed on these devices in Iran, per AlJazeera.

According to reports from Iranian law enforcement agencies specializing in economic crimes, significant progress has been made in apprehending individuals involved in the scam. While the main suspect has reportedly fled the country, one key member of the company has been arrested and the police are still looking for two more individuals. In a coordinated effort with the judiciary, the assets of the main suspect have been confiscated although the exact value of these assets remains undisclosed.

Image Source: Apple
iphones | Apple website

The ban on iPhones in Iran, which began last year and was extended to cover all iPhone 15 models, has led to a surge in demand for these devices through unofficial channels. As a result, a chaotic market has emerged, characterized by exorbitant prices for iPhones and a thriving black market for newer models. Despite the ban, iPhones continue to be smuggled into the country, leading to inflated prices and making them unaffordable for many Iranians.

The situation has provided fertile ground for opportunistic scams, such as the one orchestrated by Kourosh Company. The company, initially presenting itself as a reputable phone repair firm, enticed customers with the promise of deeply discounted iPhones, only to abscond with millions of dollars without delivering the promised goods. Reports indicate that the company made approximately 20 trillion rials (around $35 million) within a few months, highlighting the scale of the scam.

Hacker silhouette typing on computer keyboard while hacking system | Pexels Photo by Anete Lusina
Hacker silhouette typing on computer keyboard while hacking system | Pexels Photo by Anete Lusina

The success of Kourosh Company was facilitated by a widespread advertising campaign featuring prominent Iranian celebrities, including national football team goalkeeper Alireza Beyranvand and actor Akbar Abdi. These celebrities lent their credibility to the company, encouraging people to take advantage of what was portrayed as a unique opportunity. However, in the aftermath of the scam coming to light, many of these celebrities have remained silent or offered apologies, distancing themselves from the controversy.

The crackdown on Kourosh Company underscores the Iranian authorities' determination to combat economic crimes and protect consumers from fraudulent schemes. Senior police officials have assured victims of the scam that they can seek redressal through legal channels, signaling a commitment to holding those responsible for the fraud accountable.

Despite the ban on iPhones and the challenges posed by international sanctions, opportunistic individuals and entities continue to exploit loopholes for personal gain, at the expense of unsuspecting consumers.

Getty Images | Photo by Adam Berry
Person in handcuffs (representative image) | Getty Images | Photo by Adam Berry

As the investigation into the scam continues, it remains to be seen how the authorities will address the underlying issues that allowed such a scheme to flourish. In the meantime, efforts to raise awareness about fraudulent activities to help consumers make informed decisions are essential.

Hossein Rahimi, a senior police official, said, "Unfortunately, some renowned and recognized figures advertised for this company during its operation, whose charges will also be followed up on."

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