LA port busts fake goods operation

Los Angeles authorities swooped on several downtown locations recently and recovered more than US$10 million in counterfeit electronics, stolen merchandise and bank receipts.


In an investigation initiated by the LA Port Police, counterfeit Apple products were seized, a downtown Los Angeles counterfeiting operation behind the fake goods was shut down and felony charges were filed against two suspects.


The fake goods included electronics that resembled Apple iPods and iPhones. The electronic devices were shipped from Asia, then falsely labeled and packaged in Los Angeles, the Port of Los Angeles said in a statement.


The $2.5 million in stolen goods that were recovered include electronics, toys, and blankets stolen from various locations in Los Angeles County and the Inland Empire metropolitan area.


“Our standing as the largest shipping container port in the country is in no small part predicated on the security we can offer our clients,” said Mayor Antonio Villaraigosa.


“Counterfeiting takes jobs and revenue away from our city’s coveted creative industries and other legitimate businesses and it will not be tolerated.”


Los Angeles Port Police Chief Ronald Boyd said the layered, multi-agency approach to security and theft investigations led to the success operation.


Port Police worked on the investigation as part of the Cargo Theft Interdiction Program (CTIP), a California Highway Patrol initiative that includes participation from the City of Vernon Police Department. The counterfeit investigation is being jointly conducted by Homeland Security Investigations (HIS) and Port Police. The Border Enforcement Security Taskforce (BEST), comprised of federal, state and local agencies, also played a role in the investigation.


The case stems from a stolen cargo investigation that led Port Police to several downtown Los Angeles locations in December and January. During searches of the locations, Port Police discovered counterfeit products with an estimated street value of more than $1.4 million, stolen goods worth approximately $2.5 million and bank account receipts that indicate profits from the sale of counterfeit merchandise estimated to be more than $7 million.


Two brothers, both from Los Angeles, have been charged in the case. Edward Zahab, 40, was charged with three felony counts of sale of counterfeit goods, and Bahram Zahab, 45, was charged with one felony count of sale of counterfeit goods.
(Source:http://www.cargonewsasia.com)