International counterfeit goods sweep hits Valley
Law enforcement in the Rio Grande Valley city of Alton have arrested three people as part of an international sweep targeting counterfeit goods during the holidays.
They are among 33 people charged in Operation Holiday Hoax II, a six-week roundup during which officials in Texas, Mexico and South Korea seized 327,000 counterfeit items worth an estimated $ 76.8 million, according to U.S. Immigration and Customs Enforcement.
The ICE-led National Intellectual Property Rights Coordination Center worked with local and federal agencies in 66 U.S. cities as well as in Mexico and South Korea, according to ICE. Starting Nov. 1, they targeted stores, flea markets and swap meets trying to catch importers and sellers of counterfeit and pirated products. They more than doubled the seizures of the first Operation Holiday Hoax in 2009, which netted about $ 26 million in counterfeit goods.
In the Valley, they seized about 110,000 items with an estimated value of $ 1.4 million that included counterfeit cologne, contact lenses, clothes and purses, as well as pirated movies and music, according to ICE. Officials also seized CD burners and computer equipment. The operation ended Dec. 16.
In Alton, population about 12,000, pirated DVDs and CDs have increasingly become a problem at the city's two flea markets. As fewer people go to Mexico, the people who used to sell the pirated goods there have come to the U.S., said Alton police investigator J. Stock. But even though the sales have moved to the U.S., money from the pirating operations still makes it back to criminal organizations in Mexico, Stock said.
"It's not like every city has one of these flea markets, but if it's in your town, you're going to have some of these issues arising," he said. "And it is a big issue because that form of crime brings other forms of crime. Because if you have one form of piracy, it's going to bring other forms of piracy."
"Counterfeiting remains a significant problem that demands strong enforcement efforts both here and abroad," ICE Director John Morton said in a statement. "This year's success during Operation Holiday Hoax was as a result of the close partnership with the governments of Mexico and South Korea, and I'd like to thank them for their continued assistance in this fight. Together, we've dealt a significant blow to counterfeiters worldwide while making a positive impact on American jobs here at home."
U.S. officials worked with their counterparts in Mexico, who executed 160 search warrants in 55 cities in that country. Those searches, along with inspections at U.S. ports of entry, resulted in officials seizing 23.8 million counterfeit items, including cigarettes, tools, DVDs, toys, electronics and clothing worth $ 7.1 million.
However, the operations in Mexico didn't result in any arrests.
"These actions prevent illegal merchandise from reaching the retail market in Mexico, hence protecting legally established businesses from the underground economy and illegal commerce," Tax Administration Service of Mexico Director Alfredo Gutierrez said in a statement.
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