Queens male billed in $1M bogus auto trademark plan

NEW YORK (1010 WINS/WCBS 880) – A Queens guy was charged on Sunday with trademark counterfeiting and income laundering for offering fake customized car or truck accessories for luxury brand names like Mercedes-Benz and BMW in a $1 million procedure, in accordance to prosecutors.

Fei Wu, 39, and quite a few of his businesses allegedly offered the phony tailor made things to clients who 1st ordered generic tire rims from him on eBay. Wu was between the most important sellers on the site.

“The trafficking of counterfeit goods robs reputable organizations and their employees and usually leaves customers with substandard solutions,” Queens District Attorney Melinda Katz claimed. “The critical charges leveled in this article are the end result of a long-term investigation into an elaborate scheme.”

Wu was arrested right after an investigation started off in 2019 into eBay accounts promoting replicas of patented luxury vehicle tire rims with pretend heart caps logos of auto makes.

Investigators found that sure seller accounts ended up registered beneath companies connected to Wu who operated a storefront on Myrtle Avenue in Glendale exactly where he would allegedly acquire, store and ship hundreds of reproduction rims sold on eBay for a more cost-effective selling price than the reliable rims.

Immediately after an order was placed, Wu allegedly sent the rims and separately shipped the stickers, emblems, decals, or plastic inserts of the bogus logo.

On July 1, 2020, Wu allegedly knowledgeable an investigator that he imported auto rims from abroad and resold them on eBay. The subsequent working day, all through a lookup warrant at the Ktone Gift storefront, a number of products have been seized, such as rims with centre caps bearing phony logos.

A yr later on, on May perhaps 5, 2021, investigators executed a managed invest in of “(1) Mercedes 19 Inch C63 Staggered Rims Wheels Established for E350 E550 C300 C250 AMG” tire rims for $870.99 from one particular of Wu’s eBay accounts. Upon receiving the rims, they contacted the seller’s listed range and ended up informed that the center caps would be sent individually. A several days later on, a package deal made up of 4 counterfeit heart caps with the Mercedes-Benz emblem arrived, with the label listing Wu’s identify, Ktone Corp., and Wu’s residence as the return deal with.

In January 2022, investigators manufactured yet another managed order of goods from Wu resulting in a cargo of 4 tire rims with out center caps. Pursuing a equivalent telephone conversation, they acquired a separate offer made up of counterfeit Mercedes-Benz symbol to affix to the caps.

In March 2023, investigators manufactured a third managed buy.  At the time a lot more, they acquired a 2nd package made up of counterfeit heart caps with the Mercedes-Benz emblem, with the return label listing Fei Wu, Ktone Corp., and Wu’s home.

Investigators resolved to focus on 3 major eBay sellers accounts all joined to Wu and an accomplice, in accordance to court docket documents. These accounts had detailed over 1,000 replicas. The resources would be deposited into four most important TD Bank accounts below Wu’s identify, his organizations, or the accomplice, who stays at large, the investigation located. They had been then transferred to two secondary TD Bank accounts. Furthermore, a secondary TD account despatched hundreds of countless numbers of pounds to a Bank of China account owned by a wheel maker.

Subsequent a search at Wu’s residence, investigators seized nearly 1,700 counterfeit heart cap stickers, decals, emblems, and middle cap plastic inserts with phony logos of case models.

In January 2024, investigators produced a fourth managed obtain from 1 of Wu’s eBay accounts. The vendor sent the Mercedes-Benz centre caps separately.

Investigators searched Wu’s residence and the Glendale storefront  on March 19 and seized over 1,000 tire rims and a lot more than 3,300 counterfeit middle cap stickers, decals, plastic inserts, and emblems with logos. Also, about $100,000 in funds was seized.

Wu’s TD Bank accounts, financial investment accounts, and 3 eBay accounts were frozen, according to courtroom documents.

Wu was arraigned on two counts of trademark counterfeiting, two counts of money laundering, and two counts each and every of trademark counterfeiting. Also charged were K-Tone Corp., Ktone Gift Inc., KooLoo, LLC and Wu’s Spouse and children Realty, Inc.

Wu faces up to 15 decades in jail if convicted.

He will return to court docket on June 4.