How do you officially recognize the existence of a prototype iPhone and at the same time don't recognize the existence of a prototype iPhone?

Send a letter like this:

It has come to our attention that GIZMODO is currently in possession of a device that belongs to Apple. This letter constitutes a formal request that you return the device to Apple. Please let me know where to pick up the unit.

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Bruce Sewell, Senior Vice President and General Counsel

Hmmm, wonder what device the letter refers to?

Despite, I'm sure, the devilish desire to reply to Apple along the lines of: can you be a little more specific, Gizmodo editorial director Brian Lam sent a note back with instructions to contact reporter Jason Chen and co-ordinate a pick up.

So it appears the "device" has been returned to its rightful owner. However, two questions remain: Will Apple take punitive action against Engadget and Gizmodo (I don't think so, not overtly at least) and what's going to happen to the poor sod who lost it in the first place.