Distributor Selling Counterfeit SK-II and Estée Lauder Products Arrested

In a significant crackdown on counterfeit cosmetics, the Korean Intellectual Property Office’s trademark police have made arrests linked to the distribution of fake products falsely branded as prestigious international brands like SK-II and Estée Lauder.

On June 19th, authorities announced the apprehension of a group led by Mr. A, a 42-year-old wholesaler, and three accomplices. These individuals are facing prosecution for allegedly violating trademark laws by distributing over 87,000 counterfeit cosmetics. The products, falsely labeled as parallel imports of renowned overseas brands such as SK-II, Kiehl’s, and Estée Lauder, were circulated between April 2023 and March 2024. The genuine equivalents of these cosmetics are valued at 7.9 billion won, with the suspects reportedly profiting approximately 2.1 billion won from their illicit activities.

The operation uncovered sophisticated deception tactics, fooling even specialized distributors and home shopping channels. The counterfeit cosmetics were so meticulously crafted that distinguishing them from authentic products proved exceedingly difficult. The group distributed these fakes domestically and attempted to export them overseas and sell them via home shopping networks. Law enforcement seized more than 40,000 counterfeit items stored in a Gyeonggi Province warehouse, earmarked for home shopping distribution.

Director Shin Sang-gon of the Korean Intellectual Property Office emphasized the challenges consumers face in discerning counterfeit cosmetics from genuine ones. He cautioned against purchasing products at significantly reduced prices and urged consumers to buy from authorized retailers to ensure product authenticity and safety.