Buyer beware of counterfeit goods

Counterfeiters are becoming increasingly bold, introducing dangerous copycat products such as substandard car parts, heart medication and baby formula into the Canadian marketplace, RCMP officers told an anti-counterfeiting conference on Tuesday in Markham, Ont.

Once found only in flea markets, counterfeit goods have grown over the past 20 years in sophistication and scope, putting consumers at risk of injury while contributing to the coffers of organized crime, officers said.

"Counterfeiters are crooks, they are parasites," said Lorne Lipkus, a founding member of the Canadian Anti-Counterfeiting Network. "They only care about our dollars, they don't care about our kids, they don't care about our friends, they don't care that we're losing jobs, they don't care that we're losing money, they only care about the dollars for them."

Phoney products are readily available across the country in high-end malls and discount stores, and from street vendors and online retailers. The global counterfeit trade has increased by 1,000 per cent over the past 10 years while legitimate trade has risen by 75 per cent, officers said.

Around the world, police have confiscated masses of counterfeit products, including pesticides, condoms, toys, aircraft parts, guns, perfumes, vodka, clothing and cosmetics.

Many consumers knowingly purchase counterfeit goods, unwilling to resist bargain prices. RCMP Supt. Kim Hansen said legitimate businesses are going out of business and consumers put at risk by the phoney products that fail to meet safety standards.

"They put all of their time and effort into appearance," he said.

The dangers to the consumer are manifold, officers warned, noting that counterfeit drugs in some cases contain no active ingredient or in other instances too much. Other products, such as toys and clothing, may be produced with substandard flammable materials.

Officers noted that downloaded counterfeit software can be used to crack personal files, making the user vulnerable to identity theft.

"Organized crime has discovered this is an easy way to profit with very little risks," Hansen said, noting that the impact on the Canadian economy is in the multi-billion dollar range.

Consumers should question unreasonably low pricesandcheck for packaging of poor quality with spelling mistakes.

RCMP Insp. Peter Goulet said Canadian officials have begun working with officials in China, where the majority of the counterfeit goods are made.

"In recent years with Interpol and China being more interested in transnational and transglobal trade [they] are starting to work more closely with us," Goulet said.

The RCMP currently conduct over 400 investigations into counterfeit goods every year.