Apple Inc. (AAPL) Has Been Very Uncooperative: Michael Bromwich

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Apple Inc. (NASDAQ:AAPL) has been highly uncooperative through the monitoring process, said Michael Bromwich. Bromwich has been appointed by the court to monitor Apple Inc. (NASDAQ:AAPL)’s e-book pricing reforms after the court ruled that the tech giant conspired with five e-book publishers to increase e-book prices. In an 11-page declaration filed with the New York District Court, Bromwich denied claims of an inappropriate inquisition and leveled charges of his own concerned his level of access and Apple’s level of cooperation.

Apple failed to turn over relevant papers

Michael Bromwich attached hundreds of emails with his filing, giving numerous example of Apple Inc. (NASDAQ:AAPL)’s unwillingness to facilitate a smooth operation. Mr. Bromwich accused Apple Inc. (NASDAQ:AAPL) of blocking interviews with senior executives. So far, the Cupertino-based company has allowed the antitrust monitor to interview 11 employees for a total of 13 hours. Of them, seven were lawyers instead of ‘business people’, and only one was a board member.

The monitor complained that Apple Inc. (NASDAQ:AAPL) has been unwilling to provide requested documents in a satisfactory and timely manner. Bromwich said that he has monitored three other companies in the past, but has never seen such unwillingness before. Apple Inc. (NASDAQ:AAPL)’s director of competition law, Kyle Andeer said that the company was concerned about granting Mr. Bromwich permission to interview senior executives because they have been upset over the court’s ruling. Andeer said that Mr. Bromwich would see a lot of anger within the company over the ruling.

Apple’s rocky relationship with Bromwich

Apple Inc. (NASDAQ:AAPL) and Michael Bromwich have had a rocky relationship since the beginning. Bromwich is an ex-inspector general at the Justice Department and a partner at Goodwin Procter LLP. In November, Apple Inc. (NASDAQ:AAPL) alleged that Mr. Bromwich has gone beyond the scope of his duty by operating in an inappropriate manner and overcharging the tech giant. Michael Bromwich had charged Apple Inc. (NASDAQ:AAPL) $138,432.40 for just two weeks of his work. Apple Inc. (NASDAQ:AAPL) said that’s beyond market realities. Mr. Bromwich charged $1,100 an hour for his own services, and his legal team’s rate was $1,025 per hour. A few weeks ago, Apple Inc. (NASDAQ:AAPL) asked the Manhattan District Judge Denise Cote to stop Mr. Bromwich’s monitoring of the company.

Apple Inc. (NASDAQ:AAPL) is appealing the court’s ruling. District Judge Denise Cote is scheduled to hear the arguments on January 13, 2014.

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