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CHINA CRACKED DOWN ON TWO INDUSTRIAL SCALE FAKE WINES & SPIRIT GANGS

By Tony Zhu

15-6-2021



Source: Shanghai Municipal Police

China cracked down on two industrial scale forgery wines and spirits production gangs, having seized RMB 200 million (USD31.25 million) worth of fake Penfolds, Bordeaux, top baijiu and foreign brands. During the operation, 60 suspects were arrested across 8 provinces, 5 industrial scale production lines and 19 production and sales dens were destroyed.

It was alleged that one of the gangs even exported their products to markets outside of China, and investigations are still on-going.

Spearheaded by Shanghai Municipal Police, the crackdown operation took place in April, with cooperation from the police forces of 7 other provinces including Guangdong, Shandong, Hebei and Sichuan. Some 50,000 bottles of fake Chinese baijiu, 1,200 bottles of fake top branded wines and 3,000 bottles of fake imported spirits were seized during the operation.


Source: Shanghai Municipal Police

Investigation was started in January this year, Shanghai Municipal Police discovered that some online shops are selling top wines and spirit brands at prices significantly lower than market prices. In one instance, what is normally worth RMB3,000 was listed for RMB 600 in one online store.

After some authentication efforts, investigators decided that these products are counterfeits and a task force was set up to to carry out investigations.

From the online shop in Shanghai, police successfully traced two Guangdong-based criminal gangs which were allegedly the suppliers of the counterfeit wines and spirits.

One of the gangs was said to have bottled counterfeit wines with bulk wines from Shandong province. They have allegedly wholesaled these counterfeit products to retailers in 8 provinces in China.

Police said that the other gang even exported their counterfeit products to other markets and their activities are still being investigated.

It was said that the leader of this gang has operated online and physical shops to sell fake wines and spirits along with genuine products.

He was alleged to have exported fake wines and spirits through an intermediary who is now being investigated.

(the writer can be contacted at: info@thewinechronicle.com)

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