Eight Arrests In Multi-State Counterfeit Goods Trafficking Ring

cybercrime.gov, Mar 20, 2007

Abbas Chouman, age 43, of Astoria, New York, was indicted on March 6, 2007, and charged with conspiracy and trafficking in counterfeit clothing.

Eight arrests were made today in Virginia, West Virginia, Delaware, and New York, as part of a Federal Bureau of Investigation (FBI) led investigation into trafficking in counterfeit goods and copyright infringement. The arrests were announced by Chuck Rosenberg, United States Attorney for the Eastern District of Virginia; and Charles Cunningham, Special Agent-in-Charge, Richmond Division, Federal Bureau of Investigation (FBI).

Abbas Chouman, age 43, of Astoria, New York, was indicted on March 6, 2007, and charged with conspiracy and trafficking in counterfeit clothing. Chouman was arrested today at his clothing store on West 27th Street, New York, New York. According to the indictment, Chouman and his fellow conspirators operated a wholesale counterfeit clothing business under various names, offering fake “brand-name” goods at prices significantly lower than those charged by the holders of the trademarks in question.

According to the indictment, trusted buyers could purchase counterfeit clothing in person at Chouman’s store. Buyers also ordered counterfeit clothing by telephone from Chouman, and received it via United Parcel Service shipments. Buyers throughout the United States paid C.O.D. for shipped counterfeit clothing with money orders they remitted to UPS. UPS, in turn, regularly deposited the proceeds of counterfeit clothing sales in a bank account held by Chouman’s business. In the period between December 1, 2004, and September 1, 2006, UPS deposited almost $19 million in payments in the account. The United States seeks to forfeit the contents of the account. Chouman faces 15 years in federal prison and $2,250,000 in fines if convicted on the charges. Chouman’s initial appearance was held today in the Southern District of New York. His arraignment will be held in Richmond on a date to be scheduled. Read more at cybercrime.gov.