The UK's Norfolk Pension Fund has secured a £380m (USD 490m) recovery in a class action case against technology giant Apple.

Following a five-year battle, investors led by Norfolk County Council as administering authority of the Norfolk Pension Fund, won the case that alleged Apple CEO, Tim Cook, made false and misleading statements to investors.

Apple allegedly misrepresented the circumstances of the company’s business in China, including demand for the iPhone in the region during an investor conference call in November 2018.

On the call, Apple stated that the company was not negatively impacted by deteriorating economic conditions like other emerging markets it operated in. Four days after the call, Apple substantially reduced iPhone production.

Furthermore, in January 2019, Apple announced it would miss its quarterly earnings for the first time in more than 15 years. The reason given for the shortfall of up to USD 9bn was weak iPhone sales in Greater China caused by economic problems in the country. This news caused the market price of Apple stock to plunge more than 9 per cent.

During the five-year case, Apple contested the accusations at every stage and executives admitted no wrongdoing as part of the settlement. The win has been described as “a historic result for a UK fund leading shareholder litigation in the United States”, by Robbins Geller Rudman & Dowd LLP partner, Mark Solomon, who leads the firm’s international practice.

Robbins Geller Rudman & Dowd LLP partner, Shawn A. Williams, who served as lead counsel for investors, added: “This USD 490m recovery is not just an outstanding result for investors who purchased their Apple securities during the two-month class period, it is a testament to the perseverance of the lead plaintiff, the UK’s Norfolk Pension Fund, in pursuing the action to the brink of trial.”

The settlement is pending approval before U.S. District Judge Yvonne Gonzalez Rogers of the Northern District of California.

It is not the first time Norfolk Pension Fund has had a successful outcome leading a class action case. In 2020, it was announced that the pension fund had recovered in excess of €46.7m as part of a class action against US pharmaceuticals company, Puma Biotechnology Inc.

European Pensions has contacted Apple for comment but it is yet to respond.

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