While most tech businesses are created out of dorms, living rooms or a garage, the same goes for small time counterfeiters.
Recently a man named William Lee Dudley was arrest for manufacturing counterfeit DVDs and was busted with 6,800 fake copies of movies.
The total value of products seized was $825,000(MSRP). William pleaded guilty to all three felonies that he was accused of; conspiracy to defraud, smuggling and trafficking of counterfeit goods.
Investigators found 2,000 movies and 4,800 copies of television shows in his garage. He imported these from China/Hong Kong. He then sold them in bulk online. His counterfeiting business was discovered after a package was seized by the U.S. Customs and Border Protection.
The internet is one of the greatest inventions of all time, from the flow of information, to near instant communication. It is the greatest thing to happen for counterfeiters. Never before has it been this easy to sell fake products such as DVD’s. That is what Dudley did, shipping large amounts of orders all the time from his online sales.
While Dudley imported his merchandise, others decide to make it themselves in their house. DVDs and t-shirts are some of the easiest things to make if you want to sell counterfeit material. Take the story on how a factory in the UK could produce over $1.4 million a week in counterfeit DVDs. This was only with 420 burners. The average burner brand new costs $20. So the set up for this operation would be very cheap compared to its output.