From our “We told you so” department, San Mateo County sheriffs have executed a warrant, seizing computers and other items from Gizmodo editor Jason Chen’s residence, following the appearance of a lost secret iPhone 4G prototype both in Gizmodo’s possession, and on their blog, where they fully disclosed Apple’s proprietary prototype. Jason Chen was not arrested, although he was patted down.

By now everyone knows the story: Last week a person who was supposedly Apple engineer Gray Powell supposedly lost what was supposedly an iPhone 4G prototype, in a bar in Redwood City, California (a mere stone’s throw from Apple’s Cupertino headquarters). Then a third-party supposedly found the alleged iPhone 4G test model, and then somehow it got to Gizmodo, where they tested it, disassembled it, pronounced it the real deal, and blogged about it, complete with pictures. Now Apple has sent a demand letter, demanding the unit back. This proves that the story, and the phone, are real. Or does it?