For some time, there has been a lot of speculation around American tech giant Apple. From time to time, journalists, insiders, and other newsmakers have made hints about some big secret that Apple has been hiding.
Apple's CEO Tim Cook is undoubtedly an effective leader who has made Apple one of the most successful companies. However, presumably, he may not be entirely honest with shareholders. They are suspecting that he might have embellished accomplishments and hidden failures. After obtaining verified data, Apple’s shareholders are accusing Apple of deceiving and deliberately concealing information about falling iPhone demand. Naturally, they filed a lawsuit against Apple. It states that Apple has violated the country's Securities Exchange Act by hiding a slowdown in the demand for iPhones. Several major Apple shareholders, including the UK Pension Fund, have already appealed to the court. Another reason that caused discontent was Tim Cook’s comments made in November 2018. The lawsuit claimed that Apple knew in November its iPhone sales were declining, but the company refrained from revealing this information to investors. During a conference with analysts, Cook stated that there was no drop in demand for iPhones in China, but a couple of days later, the data showed a slump in production and then a decrease in projected quarterly revenue.
The plaintiffs have every reason to believe that Tim Cook already knew the truth but decided to hide it from shareholders even if it could affect them financially. Apple itself denies these charges as there is no evidence that such a precedent took place.