As a California criminal lawyer who's read and heard of many instances of outrageous governmental conduct, even I find this surprising. Police executed a search warrant at the home/office of the Gizmodo editor who wrote of the next gen iPhone found in a bar. (http://gizmodo.com/5524843/police-se...hens-computers)
You'd like to think that the Fourth Amendment's requirement that a neutral and detached magistrate stand between us and overzealous police officers and Apple CEOs would have prevented this, but apparently that's not the case in San Mateo County.
I wonder if the Apple employee who lost the iPhone is still alive?