Time runs out on fake-watch scam

By Xu Fang  |   2008-10-24  |     NEWSPAPER EDITION

A HUBEI Province man was formally charged yesterday with selling 112 counterfeit luxury watches over the Internet, after earning 940,000 yuan (US$137,427) in illegal income.

Minhang District prosecutors allege that Wen Wangjiang, 21, bought knockoff Rolex, Omega and Piaget watches at low prices and sold them at a 100-fold profit.

More than 100 people across the country were tricked into buying what they thought was the real thing, police said.

The police also seized 42 bogus watches that were ready for sale. Wen was charged with selling counterfeit goods.

Wen told prosecutors he bought the fake watches at 100 yuan to 200 yuan each from a dealer in Guangzhou, Guangdong Province, and sold them for 5,000 yuan to 20,000 yuan apiece.

He also said he purchased client information on the Internet and targeted people who had bought commodities online or through TV programs.

Wen then allegedly hired people in December to deliver a pitch that they were selling high-end watches at bargain prices through direct marketing. If clients asked to see a sample, Wen would send them a photo he had prepared, prosecutors said.

To gain the trust of his targets, Wen claimed to be a general agent of the Shanghai Watch International Trade Company, a nonexistent company, according to authorities.

"With this identity, the deals were done quite easily," Wen reportedly said.

After the price was settled, Wen used an express delivery company to deliver the goods and take payment, prosecutors said.

"Our company signed a contract with Wen to deliver goods for him," said a delivery company manager surnamed Luo. "He told me the goods were luxury watches."

From December 2007 to March 7, 2008, the company said it delivered 251 watches and 139 were returned.

If clients suspected that watches were not genuine, Wen would make a refund because he was afraid of being reported to police, he reportedly told prosecutors.