What a scam that was - I really never did grasp how anyone thought they could get away with it (though those drives were as heavy as bricks!). They couldn’t possibly ship, then issue a recall quick enough to get them ALL back.
But then, throwing employees that were involved in the scam under the bus... who would have thunk that they would go running to the press??? duh...
As I understand it, they weren’t just shipping the bricks, when the customers returned them they put them back on the shelf, inventoried them as hard drives (returned, unused) and counted as assets on the books.