Thursday, September 26, 2013

Buying Knock Off Items Could Get You In Jail

By Cornelius Nunev


Homeland Security and anti-counterfeiting groups are cracking down on bogus goods that steal the hard-won good will of legitimate band names. But for the first time these crusaders decided to target the consumer. If they have their way, consumers who intentionally buy counterfeit goods could face fines or even jail time.

Billions in industry

Knock-off bogus merchandise, like fake Prada shoes, Gucci bags and Rolex watches, routinely flood flea markets and bargain outlets across the country. In recent years, so-called rogue websites have popped up, and they have been ballooning the illegal industry into one that, according to Daily Finance, rakes in $650 billion a year globally.

Just like 'Whac-a-Mole'

These rogue sites, themselves counterfeits, look like the real thing and are tough to trace. When one is closed down, another pops up immediately; a phenomenon that Kristina Montanaro, of the International Anti-Counterfeiting Coalition, likens to the arcade game "Whac-a-Mole."

In her recent seminar entitled "Beyond Whac-a-Mole: Brand new Initiatives in Intellectual Property Enforcement," Montanaro discussed some of the brand new ways getting used to track down and stop counterfeiters. For one such measure, the group is working with credit card issuers and processors to block rogue sites, once detected, from being able to run charge cards.

Local flea markets being checked

According to the U.S. Department of Homeland Security, nation's flea markets have been raided a lot recently leading to millions of dollars in merchandise being taken. About 70 percent of all merchandise that claimed to be name brand was not real in these areas. The raids have found a lot of knock-offs being sold.

Public awareness

A new website named DesignsFauxReal.com is meant to show how significant it can be to purchase fake stuff with brand names on it. The site looks like a rogue site but actually has slogans such as "The timeless gift of credit card fraud," and "Free identity theft with every purchase," on it. The website was launched by the International Anti-Counterfeiting Coalition to show the dangers of it.

A huge risk is being taken when a consumer buys from the sites, according to Montanaro:

"A lot of people don't realize, you're handing your card information over to hardened criminals, so you're at the risk of identity theft."

Get in trouble with the law

Many people in the United States hope to see laws against buying counterfeit merchandise. It is against the law to do in Italy and France already. Buying it in New York City may be punishable in fines up to $1,000 and a year in prison soon too because of legislation proposed by City Councilwomen Margaret Chin.

According to Chin:

"The bottom line is counterfeiters have to sell to do their job, and we need a law in place that punishes buyers for supporting this illegal trade."

The New York City bill may be just the start in the States. Other state will most likely follow suit.




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