California Man Sentenced for Smuggling Counterfeit Cell Phone Parts From China
A California resident was sentenced to two years in federal prison for conspiracy to smuggle counterfeit cell phone components from China, a July 9 Justice Department press release said. Chan Hung Le conspired with others to bring in counterfeit Apple,…
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Samsung and Motorola products from China, generating over $18 million in revenue from sales in the scheme. The phone parts were brought in using mailboxes the conspirators set up with virtual office service providers in Oklahoma and Texas under a fake business name, JV Trading Solutions, from 2011 to 2015. The parts were then sold through online stores. “[Le]…orchestrated an elaborate scheme to deceive customs agents by creating covert shipping channels from Hong Kong and China to different U.S. states,” prosecutors wrote in their sentencing memorandum. “From this conduct, and this deception, [Le] generated millions of dollars in profit. [Le] enlisted numerous other parties in his conduct -- including his romantic partner, his employees (witting or unwitting), other family members, and the unwitting virtual mailbox service companies." Prosecutors called it a "sophisticated, long-standing, and highly profitable offense.”