U.S. touts success against Cisco counterfeiters

U.S. touts success against Cisco counterfeiters    A multiagency task force investigation has resulted in 30 felony convictions and more than 700 seizures of counterfeit Cisco computer networking hardware and labels manufactured in China with an estimated retail value of more than $143 million, the U.S. Justice Department announced earlier this month.
   U.S. Customs and Border Protection has also experienced a 75 percent decrease in seizures of counterfeit network hardware at ports of entry in 2009 since the start of Operation Network Rider — a joint initiative of the FBI, Immigration and Customs Enforcement, CBP, the Justice Department and the National Intellectual Property Rights Coordination Center — several years ago.
   Another nine individuals are awaiting trial and eight more are to be sentenced.
   On May 6, Ehab Ashoor, a citizen of Saudi Arabia who resides in Sugarland, Texas, was sentenced to 51 months in prison and ordered to pay $119,400 in restitution to Cisco Systems after being convicted of purchasing counterfeit Cisco Gigabit Interface Converters from an online vendor in China with the intention of selling them to the U.S. Defense Department for use by U.S. Marine Corps personnel operating in Iraq.
   “These cases involve greedy businessmen hocking counterfeit and substandard hardware to any buyer — whether it could affect the health and safety of others in a hospital setting or the security of our troops on the battlefield,” said John Morton, assistant secretary of homeland security for ICE. “They pose a triple threat to our nation by stealing from our economy, threatening U.S. jobs and potentially putting the safety of our citizens at risk.”
   To date, international enforcement efforts have resulted in five convictions internationally, including one in Canada and four in China. Foreign investigations have led to seizures in France, China and Canada totaling $17 million worth of counterfeit networking equipment. U.S. law enforcement authorities continue to work with China's Ministry of Public Security to combat the manufacture and export of counterfeit network hardware from China, according to a Justice Department news release.
   Counterfeit distribution of electronics is also rampant in the semiconductor industry. Since November 2007, CBP and ICE have made more than 1,300 seizures involving 5.6 million fake semiconductor devices used in a variety of computerized devices.