Police to Investigate Fake Swiss Watches (Korea) >

17 august 2006

Police will strengthen their crackdown on fake-designer watches increasingly found on the local market, following a series of fraud cases that duped luxury shoppers.

The Swiss Watch Industry Federation, joined by more than 500 watchmakers of Switzerland, also plans to take a harder look at the fake timepieces traded here, often imprinted with the words ?Made in Switzerland? to con buyers.

The National Police Agency (NPA) held a meeting yesterday joined by 60 senior officials, including the directors of external affairs and white-collar crime unit, to discuss the direction of the investigation into fakedesigner watches.

?Knock-off products or fakedesigner watches are certainly an increasing concern in the local market, as more customers spend on luxury products. It will be treated as a serious problem by the country?s law enforcement,? said NPA Commissioner General Lee Taek-soon, in a news briefing.

Earlier this month, police arrested 42-year-old Phillip Lee and a local watch-manufacturer, who had been producing luxury watches under the brand ?Vincent & Co.? while deceiving customers by telling them the timepieces were from a company in Switzerland.

The prices of the watches varied from 3 million won ($3,100 won) to 100 million won. Police are also investigating the manufacturers of another fakedesigner brand, named ?Gio Monaco,? who also promoted their watches as Swiss-made and distributed them to department stores and luxury shops in southern Seoul.

The creators of Gio Monaco watches have been fraudulently claiming that the brand has existed for 180 years in the Swiss watch industry, despite starting their business in Seoul less than five years ago.

Neither Vincent & Co. or Gio Monaco are on the Swiss Watch Industry Federation?s list of watchmakers.

The federation said it is reviewing the Internet page of Gio Monaco to study its distribution channels, and is considering investigating its manufacturing facilities.

The recent scandal over fakedesigner watches came as a surprise to shoppers, since both brands were frequently placed in department stores and luxury shops, and even advertised by celebrities.

Vincent & Co. had a lavish shop in Chongdam-dong, the heart of southern Seoul?s shopping district.

Gio Monaco was endorsed by several entertainers, including actor Song Il-guk and female singer Ivy.