In a recent case of intellectual property rights violation, a man in Hanoi was found guilty of manufacturing and selling 200,000 fake Nike, Adidas, and Uniqlo socks. The counterfeit items were being retailed at wholesale prices between VND4,500–5,000 (US$0.18–0.20) per pair.
The Economic Police Department in Hanoi reported the prosecution of Nguyen Van Thien, 51, for the aforementioned offense. The investigation divulged that Thien had initiated a sock manufacturing and trade business in Quoc Oai District in 2015. He initially supplied socks to various companies under his own brand named “Thien Duong”.
In 2018, Thien observed the surging demand for socks adorned with popular brand logos such as Nike, Adidas, and Uniqlo. Consequently, he started producing counterfeit versions of these highly sought-after socks.
Thien arranged for the procurement of knitting machines, instructing the suppliers to pre-install the logos of Nike, Adidas, and Uniqlo into the machine software. He also sourced labels and tags from unregulated producers and hired four workers to operate the machines and manage the packaging process.
A raid conducted on January 4 unveiled a large stock of counterfeit socks. The authorities confiscated 3,450 pairs of socks with the Adidas logo, 14,400 pairs with the Nike logo, and 2,100 pairs bearing the Uniqlo brand. They also found 1,500 loose socks branded with Nike logo. The authorities seized over 10 machines, 200 heat-molding frames, and nearly 70 kg of labels in total.
The investigators discovered that Thien had been producing and distributing counterfeit socks since 2022. He is estimated to have sold around 200,000 counterfeit socks with a total market value of more than VND240 million (US$9,400).
These fake socks were primarily sold at a profit margin of about 25% via various e-commerce platforms, social media, and suburban markets.
What was Nguyen Van Thien charged with?
Nguyen Van Thien was prosecuted for violating intellectual property rights by manufacturing and selling counterfeit Nike, Adidas, and Uniqlo socks.
How did Thien manage to manufacture the counterfeit socks?
Thien procured knitting machines and instructed the suppliers to pre-install the logos of Nike, Adidas, and Uniqlo into the machine software. He also procured labels and tags from unregulated vendors and hired workers to manage the production process.
Where and how were the counterfeit socks sold?
The counterfeit socks were predominantly sold in bulk through e-commerce platforms, social media, and suburban markets, allowing for a 25% profit margin.
