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If you are not to sure about how legitimate this site is, have a look at the proof below.

Free iPhone Proof
The Journal Live reported on a lad getting thousands dollars worth of free goods like the free iphone and ipad.

Free iPhone ProofDaily site
Ran a feature on a company Gratis who initiated this idea in the US

Free iPhone
Proof of a free iphone as received

Free iPad
Proof of a free iPad as received

Free iPod
Proof of a free iPad Touch as received