$4m worth of counterfeit adidas apparel seized
Agents at the US Immigration and Customs Enforcement’s Homeland Security Investigations spent 18 April inventorying an estimated $4 million worth of counterfeit athletic apparel found in a south Sacramento warehouse.
Federal officials described it as one of the largest single seizures of counterfeit apparel made in the Sacramento area. Dan Lane, assistant special agent in charge with Homeland Security Investigations in Sacramento, said agents executed a search warrant at a building where they found rows of shelving 40 feet high and more than 400 feet long stacked with apparel. The merchandise was packed in boxes or individually wrapped in plastic.
Although agents do not have a final count on the items, Mr Lane said it will run into the tens of thousands.
The bulk of the clothing was athletic apparel bearing a counterfeit adidas trademark, including sports jerseys, shorts and shoes. In addition to apparel, agents discovered an array of counterfeit sports memorabilia, such as commemorative clocks and soccer balls.
Mr Lane said the investigation began when Homeland Security Investigations was contacted by a firm that represents companies like adidas in efforts to deal with counterfeiting.
“We tried to handle it with cease and desist orders,” Mr Lane said, but when the activity continued, it was pursued as a criminal investigation.
The counterfeit merchandise came from Southeast Asia and much of it likely was destined for local flea markets, but Mr Lane said investigators believe it also was being shipped to retail outlets across the country. It is unclear, he said, whether retailers were aware the merchandise was counterfeit.
Mr Lane said an investigative consultant who works with adidas on issues involving intellectual property violations estimated that if the seized merchandise had been genuine, it would have retailed for more than $4 million.
Agents will submit the results of the investigation to the US attorney's office, which will decide whether to pursue prosecution.