Sunday, April 6, 2014

Anti-Counterfeit Crusaders Go After Consumers

By Cornelius Nunev


Anti-counterfeiting activists, as well as the United States Department of Homeland Security, are getting hard on those who traffic in phony merchandise that pretends to be from a trusted brand-name. But now a few want to turn that scrutiny on the consumers of these items. People who intentionally buy such goods could end up behind bars if lawmakers are effective.

A lot of cash in the industry

Not only are there flea markets all across the nation that sell knock-off phony merchandise, but rogue websites have started to appear in recent years. The $650 billion a year sector has grown quite a bit, according to Daily Finance. You can get Prada, Gucci and Rolex virtually anywhere now in a fake form.

Battle against it

These rogue websites, 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 new ways getting used to find and stop counterfeiters. For one such measure, the group is working with charge card issuers and processors to block rogue websites, once detected, from being able to run credit cards.

Watch out flea markets

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.

Let the open public know

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

Montanaro said that consumers purchasing from these sites are taking a great personal risk:

"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."

A criminal offense

Margaret Chin is a New York City Councilwomen who hopes to pass legislation making it unlawful to buy phony merchandise, just like the laws found in France and Italy. A number of people agree with the idea and want the law as well. Her plan would make it punishable by a year in prison and $1,000 in fees.

Chin said:

"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 probably follow suit.




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