Hermes and Other Counterfeit Goods Worth 20 Billion Won Distributed at Dongdaemun Street Stalls Caught

Wholesale and retail merchants attempting to distribute and sell counterfeit luxury goods worth approximately 20 billion KRW in genuine market value were caught at street stalls in Seoul's Dongdaemun Market.

The Trademark Special Judicial Police (hereinafter referred to as Trademark Police) of the Korean Intellectual Property Office announced on the 9th that they conducted a focused crackdown from June 20 to 21 at Saebit Market (also known as the Yellow Canopy or Dongdaemun Counterfeit Market) in Dongdaemun, Seoul, seizing 1,230 counterfeit luxury brand items and summoning six wholesale and retail merchants (five companies), including Mr. A (45), without detention on charges of violating the Trademark Act.

According to the Trademark Police, Mr. A and others are accused of selling counterfeit products of 41 brands such as Herm?s, Louis Vuitton, Chanel, Gucci, and Rolex, including 14 types of items like wallets, bags, belts, watches, and sunglasses at street stalls around Saebit Market.

Counterfeit goods crackdown site and luxury counterfeit goods seized during the crackdown. Provided by the Korean Intellectual Property Office

Previously, Mr. A and others had obtained street stall business permits from Jung-gu Office in Seoul on the condition of complying with the Trademark Act. However, it was revealed that they engaged in illegal business by selling counterfeit products different from the permitted conditions at the stalls.

In particular, Mr. A and others displayed samples of unbranded counterfeit products at the stalls and showed customers the products via tablet PCs before secretly selling counterfeit goods stored in a van, evading crackdowns.

They parked the van on the outer road of the Yellow Canopy, covered the vehicle's license plate with a black cloth to avoid exposure, and sold counterfeit products using the sidewalk inside the Yellow Canopy.

This exploited the fact that the Korean Intellectual Property Office, the National Police Agency, and local governments mainly inspected small quantities of counterfeit goods displayed at the stalls and did not check counterfeit products stored in vehicles.

However, after more than three months of tracking, the Trademark Police identified the personal information and assets of the counterfeit product sellers and simultaneously executed seizure warrants on the five companies’ sales stalls and vans, bringing Mr. A and others’ counterfeit product sales activities to light.

The Trademark Police judge that Mr. A and others, while appearing as small-scale street vendors, are actually corporate-type illegal operators who have embezzled high profits in cash equivalent to 70% of sales (according to suspect statements).

They plan to strengthen crackdowns as the profits from these crimes are expected to increase with the rise in foreign tourists after the endemic phase.

Park Ju-yeon, head of the Trademark Police at the Korean Intellectual Property Office, said, “Korea is an advanced intellectual property country included in the top five countries in the trademark field (TM5) and has been striving to enhance the protection level of domestic companies’ intellectual property rights in the international community.” He expressed concern, saying, “The existence of Saebit Market (counterfeit market) contradicts these efforts and will damage Korea’s status.”

He added, “The Trademark Police will further strengthen the crackdown on counterfeit product distribution to replace counterfeit goods in the Dongdaemun area with ‘K-Brand’ products.”

This content was produced with the assistance of AI translation services.