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ERAI Blog

China Remains the Primary Source Economy for Counterfeit Activity in FY2016

Kristal Snider
02/07/2017

A record number of IPR (Intellectual Property Rights) violations were reported by U.S. Customs and Border Protection (CBP) and U.S. Immigration and Customs Enforcement (ICE) in FY2016.

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DoD Casts A Wide Net To Catch Counterfeit Parts; DFARS Case 2012-D055; Detection and Avoidance of Counterfeit Electronic Parts

Kristal Snider
11/12/2015

In the last few years there has been a flurry of legislative activity relative to counterfeit electronic parts in the DoD supply chain. In 2007 concerns were raised by the U.S. Department of the Navy, Naval Air Systems Command (NAVAIR) who asked the Bureau of Industry and Security’s (BIS) Office of Technology Evaluation (OTE) to conduct a defense industrial base assessment of counterfeit electronics. NAVAIR had reason to suspect an increasing number of counterfeit and defective electronics were entering the DoD supply chain, which would adversely impact weapon system reliability. NAVAIR’s suspicions were confirmed. The BIS study titled “Defense Industrial Base Assessment: Counterfeit Electronics” was published in January 2010. The report’s findings prompted a swift response from Senators Carl Levin and John McCain in March 2011 when they launched a deeper investigation into counterfeit electronics part activity via the Senate Armed Service Committee (SASC). In November 2011, the SASC held a hearing with DoD contractors, industry associations and others in Washington D.C. to explore the problem of counterfeit electronic parts infiltrating critical defense systems and the risk those parts pose to such systems.

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Prosecuting Peter Picone - What resellers NEED to know

Kristal Snider & Mary Dunham, ERAI
07/25/2014

On April 24, 2012 federal agents searched the office of Epic International Electronics, Inc., a home based business owned and operated by Peter and Lisa Picone. At the time the U.S. Department of Defense Criminal Investigative Services (DCIS) would only confirm the search was the result of an "active investigation". Fourteen months later, on June 25, 2013, Peter Picone was formally charged in an eightcount indictment with conspiring to traffic in counterfeit goods, conspiring to traffic in counterfeit military goods, trafficking in counterfeit goods, conspiring to commit wire fraud, wire fraud and conspiring to commit money laundering.

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