Apple Suppliers Respond on Kickbacks

Two of six Asian companies accused of paying kickbacks to an Apple employee in return for confidential information have responded to the allegations.

Taiwanese manufacturer Pegatron publicly apologized Tuesday, saying it had launched an investigation into Kaedar, a unit of the company that makes plastic cases for iPhones and iPods.

But South Korean supplier Cresyn says the payments it made were for business consulting advice, to help the company get access to the U.S. market.

The earphone and headset maker says it paid a small fee, as part of a legal contract signed three years ago.

The statements come a day after Apple global supply manager Paul Devine pleaded not guilty to charges he received kickbacks from six Asian suppliers.

Devine faces 23 counts of wire fraud, money laundering, conspiracy, and accepting kickbacks.

A separate lawsuit alleges he received more than one million dollars in payments and bribes from companies that supplied iPhone and iPod accessories.

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