Federal officials seized more than $100 million of counterfeit designer merchandise Tuesday from eight shops at Fisherman’s Wharf. The stores were accused of selling fake brand-name merchandise including Louis Vuitton, Nike and Prada. Eleven people were charged with conspiracy, smuggling goods into the United States and trafficking in counterfeit goods.
The investigation began when U.S. Customs and Border Protection intercepted a container in December 2007 at the Port of Oakland. Customs officials said the container held 50,ooo counterfeit items, at a manufacturers’ price estimate of $22 million. The consignee of the container was C & K Gifts, one of the stores where agents seized merchandise.
“The significant impact of trafficking in such merchandise on the American economy should be obvious,” said U.S. Attorney Joseph P. Russoniello. “Wherever evidence leads to the identification of persons engaged in that enterprise, the Department of Justice will vigorously pursue the case and prosecute the offenders.”
Immigration and Customs Enforcement agents went undercover as customers and said they were told by store clerks that the merchandise indeed was fake, according to the U.S. Department of Justice.
“Trademark infringement and intellectual property crime not only cost this country much needed jobs and business revenues, but the illegal importation of substandard products can also pose a serious threat to consumers’ health and safety,” said John Morton, director of the agency.
The 11 store clerks suspected of selling the counterfeit merchandise could face up to 35 years in prison if convicted on all charges.
