Crackdown on counterfeit cosmetics reveals 100 million baht scam

Thai authorities have dismantled a significant counterfeit cosmetics operation, seizing a vast array of fake beauty products and exposing an international supply chain orchestrated by Chinese investors.

The fraudulent enterprise, which relied heavily on online platforms to distribute counterfeit cosmetics, generated sales exceeding 100 million baht per year.

The crackdown followed a series of consumer complaints regarding the quality of cosmetics purchased online. Investigations revealed that these products lacked proper registration numbers and Thai language labeling, and were being sold at prices well below market value. This discovery led to a coordinated raid on a warehouse in the Samut Prakan province, a known hub for the storage and distribution of these counterfeit goods.

During the raid, law enforcement officers uncovered over 60 different types of goods, including toothpaste, skin creams, and an assortment of cosmetics. Among the seized items were two counterfeit products, 18 of suspicious origin, and 32 without proper registration, totalling approximately 31,000 items valued at over 20 million baht. Authorities also detained a woman at the scene who was in charge of the warehouse.

Further investigation revealed that the entire stockpile belonged to Qiu Chan Lin, a Chinese national, responsible for ordering trendy products online from China. Lin managed a network of at least 44 online shops and oversaw the operation from China.

The operation, which had been running for about a year, shipped 2,000 to 3,000 units daily, with annual revenue potentially reaching over 100 million baht, reported KhaoSod.

Efforts are underway to apprehend all individuals involved and bring them to justice.

In related news, gold prices have recently skyrocketed, touching a record high of 40,000 baht per baht-weight, prompting a surge in sales for fake gold shops as genuine gold becomes less accessible for many consumers.

Amidst these soaring prices, the allure of fake gold that doesn’t tarnish but cannot be pawned has captured a diverse customer base, from luxury car drivers to factory workers.