22 March 2019Trademarks

Chinese police busts counterfeit goods ring worth almost $15 million

Police in Shanghai have arrested 32 members of a group that allegedly sold counterfeit luxury goods worth up to 100 million yuan ($14.9 million).

On Wednesday, March 20, state news agency  Xinhua said police seized over 4,000 bags, clothes, shoes and accessories and closed two production lines used to manufacture the goods.

The group sold counterfeit goods from brands such as  Louis Vuitton,  Kenzo and  Loewe.

Police estimated that the gang produced the counterfeits at the cost of 200 yuan each ($30) and had sold over 100,000 counterfeit products.

Chinese authorities launched the investigation last year after being tipped off about sales of counterfeit Louis Vuitton bags on WeChat, a Chinese mobile messaging, social media and payment app.

According to Xinhua, Chinese police also made arrests in relation to the investigation in January, in the provinces of Guangdong and Jiangsu.

In December 2018, the European Commission named China as one of the biggest perpetrators in its first “ Counterfeit and Piracy Watch List”.

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