”Secret store” in Myeongdong area cracked down on selling counterfeit brands (Seoul, Korea)

The group set up a secret store in Myeongdong, the center of Seoul, South Korea, and sold so-called "fake brand goods (copy goods)" to foreign tourists, making hundreds of millions of won in profits.
The Seoul Metropolitan Police Department filed criminal charges against two people for selling counterfeit brand-name goods in Myeongdong, Seoul, and seized 1,200 counterfeit brand-name goods (with an estimated value of 3.82 billion yen for genuine goods).
The items seized included 125 watches with fake brand marks, 461 wallets, 434 bags, 47 earrings, and clothing.
The items found included 31 items of clothing, 49 hats and scarves, and 53 shoes. The actual owner of the store, Mr. A, had been investigated five times in the Myeongdong area for allegedly violating the Trademark Act.
He continued to sell while changing his business base three times to avoid being caught by the authorities. Furthermore, Mr. A not only changed his bank account and business name, but also criminal punishment was not carried out by another suspect, Mr. B.
The company continued to operate while cleverly evading the investigation, for example by using the name of a store in ...
Mr. A displayed and sold counterfeit brand-name items, including luxury brand watches worth hundreds of millions of won, as well as bags, wallets, shoes, and other items, just like in a shopping center.
They display only regular products in their public stores, and sell them in large secret stores only to foreign tourists who visit after seeing ads on social media such as Instagram.
By using such methods, they have been able to avoid detection by the authorities. Distributing, selling, and storing counterfeit branded goods is punishable by up to seven years in prison or 100 million won (approximately 10.8 million yen) under Article 230 of the Trademark Act.
The reason why Mr. A continued to sell counterfeit branded goods despite having been punished in the past is because the profits from sales were far greater than the fines.
The amount of sales made in one year was about 250 million won (about 26.1 million yen), and the net profit was about 150 million won (about 15.7 million yen). Mr. A made illegal profits of hundreds of millions of won over a six-year period.
The city of Seoul has recently been investigating the sale of counterfeit branded goods through social media and warehouses.
As the number of cases is increasing, the city is calling for citizens to proactively report and provide information. If you report or provide information on a criminal act with conclusive evidence and contribute to the advancement of the public interest, you will be awarded the "Seoul City Public Interest Award."
Under the "Ordinance on Protection and Support of Reporting," reporters can receive a reward of up to 200 million won (approximately 21 million yen).