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Scalpers Hawk Marked Up iPads Outside Midtown Apple Store

By DNAinfo Staff on March 16, 2011 11:28am

The new iPad 2 is displayed at the Yerba Buena Center for the Arts on March 2, 2011 in San Francisco. The wildly popular devices have sold briskly since going on sale on March 11.
The new iPad 2 is displayed at the Yerba Buena Center for the Arts on March 2, 2011 in San Francisco. The wildly popular devices have sold briskly since going on sale on March 11.
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Justin Sullivan/Getty Images

By Gabriela Resto-Montero

DNAinfo Reporter/Producer

MANHATTAN — Scalpers are allegedly buying up all of the iPad 2's from Apple's Midtown store and then reselling them for three times as much outside the store, the New York Post reported.

The price of the new iPad 2 starts at $499 with loaded models costing as much as $829 at Apple stores like the one on 59th Street and Fifth Avenue. About 200 scalpers have been cleaning out the store's inventory on a regular basis before hawking the iPads to desperate customers outside the store for as much as $2,000 each, the paper reported.

While the scalpers legally bought the iPads from the store, unhappy customers who waited on long lines without getting one of the trendy devices said the practice was unfair, the Post reported.

A customer carries two new iPad 2's he purchased minutes after they went on sale at the Fifth Avenue Apple store March 11, 2011.
A customer carries two new iPad 2's he purchased minutes after they went on sale at the Fifth Avenue Apple store March 11, 2011.
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Mario Tama/Getty Images

"I walked right up to the guy with all the bags and said 'shame on you'," a woman who told the Post after failing to secure an iPad 2 for the third time.

The team of scalpers is reportedly sending many of the devices to China where they aren't for sale yet, the paper reported.

While store supplies of the popular device may be in short supply, techies can still buy an iPad 2 from Apple's online store rather than wait on long lines and deal with opportunistic scalpers.