It seems that Apple's astral hell arrived a few months in advance in 2019. After admitting the underperforming performance in iPhones sales and reducing its revenue expectation for this fiscal quarter, the company saw its market value drop by 10% to the lowest level since July 2017 and, to complete it, it was still investigated by a law firm for alleged tax fraud on account of the episode. Well, now, not just one law firm is two.
The office Bronstein, Gewirtz & Grossman, LLC, from New York, said it was investigating possible tax frauds committed by Apple over the past quarter and exposed, they said, in the letter in which Tim Cook announced the reduction in revenue expectations.
As in the previous investigation by the Bernstein Liebhard LLP office, the lawyers' suspicions revolve mainly around statements by Cook and Apple about the China. As is well known, the CEO attributed part of the reduced demand for iPhones to unforeseen circumstances and difficulties in the Chinese market, which does not match statements previously given by the executive to his investors, in which Cook said that business in China was "very strong", with an emphasis on supposed positive iPhone performance.
According to the office, the statements do not match and may have led investors to wrong impressions and decisions that, in another scenario, they would not have taken. Lawyers are asking that "anyone aware of the facts related to this investigation", as well as anyone who purchased Apple shares in the last quarter, contact the firm for more information.
Will it give (more) problem?