CLARKSVILLE, Tenn. (CLARKSVILLENOW) – The Clarksville Police Department (CPD) arrested three people April 18 in connection with a counterfeit property and money laundering scheme.
CPD worked with Kroger’s Organized Retail Crime Unit and Investigators working for designers victimized from sales of counterfeit products to serve search warrants at four locations in Clarksville.
The investigation took approximately three months.
Photos courtesy of Jim Knoll, CPD
Police seized over $24,000 in cash and almost 70 pounds of marijuana as a result of the investigation.
The merchandise value for the counterfeited goods is in excess of $1,500,000 and over $100,000 for the marijuana.
The proceeds from counterfeit merchandise by definition constitutes money laundering, according to police.
Three arrests have been made and more arrests as well as additional charges are expected:
Photos courtesy of Jim Knoll, CPD
Chen Fei and Xiu Li were booked into Montgomery County Jail and charged with money laundering and use of counterfeit mark or logo. Their bonds were set at $100,000.
Sheng Yao Li was taken into custody April 20 in Nashville (photo not available). After he is transported to Clarksville, he will be booked into the Montgomery County Jail for money laundering and use of counterfeit mark or logo with a bond of $200,000.
Police say the production and sales of counterfeit products are increasingly serious problems in the international trade market.
European and American clothing and accessory brands have been targets of counterfeiters looking to exploit the demand for goods. However, designers employ lawyers and independent investigators and spend millions each year fighting the counterfeiting of their products.