COVID 19:
Countless counterfeits
confiscated The COVID-19 crisis has heightened
the dangers posed by the global trade
in counterfeit pharmaceutical products.

Between 3 and 10 March 2020, in
the same week the World Health
Organization (WHO) declared the
coronavirus outbreak a pandemic,
Operation Pangea, a collaborative
enforcement effort by the World
Customs Organisation, Interpol,
Europol, Customs administrations,
Police forces and other law
enforcement agencies, made 121
arrests across 90 countries. The result
was the seizure of more than 4.4
million units of illicit pharmaceuticals
worth over US$14m. 1 Items seized
included counterfeit masks, “corona
spray” or “coronavirus medicine”.

From websites selling fake COVID-19
blood screening tests which claimed
to deliver a result within two minutes,
to the sale of chloroquine via instant
messaging apps, or on the dark web,
counterfeiters have been quick to take
advantage of the coronavirus crisis.

Europol recently released a report on
the activities of counterfeiters during
the COVID-19 crisis 2 explaining that
the production and distribution
of COVID-19-related counterfeit
pharmaceutical and healthcare
products closely followed the spread
of the pandemic to markets in the
European Union. Counterfeiters
focused on medical equipment
(especially face masks, fake test
kits, disposable latex gloves,
etc.); sanitisers and disinfectants;
and also pharmaceuticals
(antivirals, medication for arthritis
and malaria in particular).

Counterfeiters distributing
counterfeit pharmaceutical products
rely on complex illegal distribution
chains to obscure the origin of the
counterfeit drugs using several
transit countries. The companies
trading in counterfeit goods are
highly diverse, and suspects
are very quick at establishing
additional front companies to
obscure their activities.

Customs authorities around the
world continue to identify and
seize a large number of counterfeit,
unapproved, or otherwise
substandard COVID-19 products
including test kits, anti-virus lanyards
and counterfeit face masks 3 .

In Australia, dozens of consignments
of the anti-malarial drug
hydroxychloroquine, totalling more
than 6,000 tablets, have been
intercepted at the border since
January. Australian Border Force
officers have also reportedly seized
800,000 masks that have been
found to be counterfeit or otherwise
faulty and the Therapeutic Goods
Administration was instructed on
26 May to investigate whether
defective face masks had been
sold to some private hospitals
by companies exploiting a
loophole in regulations.

Online retailers such as Amazon
and eBay have had to block or
remove millions of products for
suspect or misleading claims
in relation to COVID-19.

Counterfeiters distributing counterfeit
pharmaceutical products rely on
complex illegal
distribution chains
to obscure the origin
of the counterfeit
drugs Brand owners are also taking action.

As demand for 3M company’s
N95 respirator masks skyrocketed
worldwide, they had to create a
COVID-19 fraud hotline to help
combat fraudulent and price gauging
activity. On 8 June, they also filed
a legal action in California against
an Amazon seller advertising fake
respirator masks at a price that
exceeded by as much as 20 times,
3M’s genuine items pricelist.

No doubt if a genuine vaccine
for COVID-19 is developed in the
future, it will prompt a wave of
offers for counterfeit vaccines too.

Inspire July 2020
Marine Guillou | Senior
Associate LLM (Edinburgh University)
marine.guillou@pof.com.au https://www.interpol.int/en/News-and-Events/News/2020/Global-operation-sees-a-rise-in-fake-medical-products-related-to-COVID-19
https://www.europol.europa.eu/publications-documents/viral-marketing-counterfeits- substandard-goods-and-intellectual-property-crime-in-covid-19-pandemic
3 U.S. Customs and Border Protection: https://www.cbp.gov/newsroom/national-media-release/cbp-continues-seize-large-
number-counterfeit-and-unapproved-covid-19? _ ga=2.148233139.541438310.1591852146-2107848005.1591852146
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