Corporate & Commercial Law News South Africa

SAPS confiscates counterfeit goods in Kimberley

Acting on behalf of law firms Adams & Adams and Spoor and Fisher, a SAPS crime intelligence team from Kimberley in the Northern Cape raided five shops at the weekend in a sting operation aimed at weeding out counterfeiters selling fake brands in the retail outlets operating in the city centre.
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R300,000 of counterfeited goods - including Nike, Polo, Converse, Adidas and Puma clothing - were seized from shops in the city.

"It would appear that the sale of counterfeit goods is increasing in the Kimberley area," says Steven Yeates, partner at Adams & Adams. "In our experience, the goods being seized in Kimberley are purchased from 'wholesalers' based in Johannesburg, who, in turn, import the goods from China.

Imports are unbranded

"In many instances the goods sold are imported unbranded to avoid detection by Customs and Border Police. In such cases, the goods are branded by importers in small factories located across the country."

According to Yeates many people believe dealing in counterfeit goods is a victimless crime. He cautions, however, that this is not true.

"Local factories and licensees lose revenue due to the importation and sale of counterfeit goods. People are losing local jobs. Furthermore, counterfeiters generally do not pay tax or duties and also pay scant regard to labour law and basic conditions of employment."

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