LAS VEGAS (BRAIN) — BRG Sports said a Chinese citizen has been fined and sentenced to nearly three years in prison in China for trafficking in counterfeit Giro helmets.
Martin H. Nguyen, the general counsel of BRG Sports' Action Sports division, said Xie Zhenxiang was fined about $5,000 for selling through an account on TaoBao.com.
"We are constantly vigilant in our protection of both our brands and our consumers," said Nguyen.
Nguyen said Zhenxiang had offered or sold counterfeit goods valued at about $61,000. He said court records indicate that Zhenxiang admitted to trafficking in counterfeits of products from Merida, Giant and Fox, as well, online and through a physical storefront.
Nguyen said all Giro-branded products currently being offered on TaoBao should be considered counterfeit.
"The images depicted on TaoBao.com for supposed Giro products generally show components, geometries, orientation, size, and labels that are inconsistent with Giro factory specifications. Also, no Giro reseller or distributor is authorized to market or sell through online marketplaces without express written authorization given on a case-by-case basis. Currently, TaoBao.com is not an authorized marketplace, so any purported Giro products sold on TaoBao.com are presumptively considered counterfeit and are treated as such," he told BRAIN.
BRG Sports said it has programs to fight counterfeits in the U.S. and internationally.
"In addition to coordinating efforts with law enforcement to interrupt the flow of counterfeit goods, BRG Sports has tested seized merchandize, used their own extensive testing facilities to confirm their performance deficiencies against certified standards, and is working to educate the public on the risks posed by counterfeit goods," the company said.
TaoBao is owned by Alibaba. Last year David Hon, the CEO of the Dahon folding bike company, told The Wall Street Journal that of the roughly 58,000 folding bikes for sale on TaoBao up to half were knockoffs or infringe on Dahon's intellectual property. Columbia Sportswear also has complained about counterfeit Columbia products being sold on the site.