Today, Bloomberg reports on the recent testimony of former Samsung manager Suk-Joo Hwang. On Wednesday, Suk-Joo Hwang, a 14-year veteran of Samsung, testified in a federal court being granted immunity from prosecution. He admitted to having lunch in Mountain View, CA, with Primary Global Research executive James Fleishman and a hedge fund manager and providing confidential information about Samsung’s shipment of LCD screens to Apple for the iPad. “One particular thing I remember vividly was that I talked about the shipment numbers of Apple, it was about iPad,he said. Samsung was one of the original suppliers for the iPad.
Hwang said that during lunch at a restaurant in Mountain View, California, with Fleishman and a hedge fund manager he identified as Greg,he gave them confidential information about Samsung’s shipment of liquid crystal display screens it was supplying to Apple. The iPad made its U.S. debut in April 2010, four months after the lunch.
One particular thing I remember vividly was that I talked about the shipment numbers of Apple, it was about iPad,he said. This is in December 2009, before it came out with the tablet PC, they didn’t know the name then, so I talked to them about the tablet shipment estimates in that meeting.
If convicted, Fleishman faces 25 years in prison of the two counts of conspiracy he has been charged with. Fleishman was arrested last December as part of a wide-ranging Securities Exchange Commission probe investigating the practice of expert networks. When asked how Fleishman and the fund manager reacted to the information he provided, Hwang said, They didn’t know about it,adding that the fund manager was very excited. In addition, a former Apple employee was arrested in connection to the probe.
A Samsung spokeswoman in San Jose, California, declined to comment on Hwang’s testimony.