Joint operation of the Tax Agency and the National Police

• This is the largest intervention of counterfeit international trademark merchandise recorded to date in Europe.
• The operation has resulted in 17 arrests, the search of 14 bazaars, four warehouses and three homes, and the seizure of 70,000 euros in cash, three vehicles and a volume of counterfeit product, which, according to the estimate of specialized experts, could have a value of more than 300 million euros
•  The organization operated from the islands of Tenerife and Fuerteventura, acquiring the counterfeit material mainly in the Cobo Calleja industrial estate in Madrid.

September 20, 2022.- Customs Surveillance Officials from the Tax Agency, in a joint operation with agents from the National Police, have seized more than five tons of counterfeit products from exclusive brands to a distribution network that operated in the Canary Islands. This is the largest intervention of counterfeit merchandise of international trademarks recorded to date in Europe, carried out within the framework of an operation that has resulted in 17 arrests, the search of 14 bazaars, four warehouses and three homes, and the seizure of 70,000 euros in cash and three vehicles. The seized items, according to the estimate of specialized experts, could have a value of more than 300 million euros.

The investigations began after learning of the existence of several businesses on the island of Tenerife, allegedly dedicated to the sale of counterfeit items, which had a common distributor, based in the province of Las Palmas de Gran Canaria, specifically in Fuerteventura, which formed the leadership of a criminal structure dedicated to the sale and distribution of counterfeit material.

Due to these facts, during the investigation carried out jointly, the EUROPOL National Central Unit was also involved in the proceedings.

The police operation called 'Django' culminated in the dismantling of a criminal organization specialized in the large-scale distribution and marketing of counterfeit products of exclusive brands that operated on the islands of Tenerife and Fuerteventura. The organization acquired the counterfeit material mainly in the Cobo Calleja industrial estate in Madrid, and marketed its products especially in tourist areas, taking advantage of the presence of a large population with short periods of residence in the country.

The beginning of the investigation

The operation began in September 2021 by the Economic and Fiscal Crime Unit of the Provincial Judicial Police Brigade of the Provincial National Police Station of Santa Cruz de Tenerife. Said unit was aware of the existence of a wholesale point of sale of counterfeit leather goods in the south of Tenerife. The surveillance and monitoring tasks led to locating the person responsible for this establishment, observing how he sold these products to various individuals, both for street sales and for sale in bazaars.

Subsequently, negotiations were carried out with the parcel companies determining that the shipments came from Fuerteventura, involving several citizens of Chinese origin who would make up the leadership of the organization.

After this, the Customs Surveillance Service joined the operation, determining that there were numerous products in Customs in the name of the person in charge of the Fuerteventura distributor, proceeding to a meticulous monitoring of their activity. From Fuerteventura, the leader of the network sent products to other points on the island itself and to Tenerife, where his contact distributed and marketed them on the island through his businesses.

The investigation was judicialized in the Investigative Court number 4 of Arona, in Santa Cruz de Tenerife, which carries out preliminary proceedings for such purposes.

Modus operandi

Investigators have determined the existence of a criminal network that acted as a perfectly structured organization, in which three levels are distinguished: the head of the organization, dedicated to the reception of counterfeit material and its distribution in the archipelago; a second level, with supply and distribution functions; and a third level that acquired counterfeit material from the head of the organization - and in some cases from the second level - to market it directly in their businesses.

The leadership of the organization acquired the counterfeit material mainly at the Cobo Calleja industrial estate, located in Fuenlabrada (Madrid), and secondarily directly from China. The merchandise was sent to this dome by sea and once it arrived in the Canary Islands it was delivered through private parcel companies, mainly to its warehouse in Fuerteventura and sometimes even to its own home.

Once the merchandise had been accumulated in the warehouse, it was distributed to the different establishments in the archipelago, as well as to other marketers linked to the leadership who, in addition to selling directly to the consumer, also distributed to other businesses.

Large simultaneous device

Given the magnitude of the operation, in mid-June, it became necessary to establish a large-scale device, coordinated by the Provincial Judicial Police Brigade of Santa Cruz de Tenerife and by the Customs Surveillance Operational Unit of the same province.

This device, developed on the islands of Fuerteventura and Tenerife, was attended by nearly one hundred National Police officials from different units within the scope of the National Police Headquarters of the Canary Islands, as well as Customs Surveillance of the Tax Agency and the support of the canine guide unit of the Local Police of the capital of Tenerife.

In total, simultaneous entries and searches were carried out in three homes, four warehouses and 14 bazaars or establishments on both islands, where more than 70,000 euros in cash and three vehicles were seized, and more than five tons of counterfeit products from renowned brands were sealed. , among which were bags, various leather goods, clothing, sunglasses, watches and various fashion accessories. According to the estimation criteria of specialized experts, the seized material is currently valued at more than 300 million euros.

As a result of these actions, 17 people were arrested for alleged crimes of belonging to a criminal organization, against industrial property and money laundering. Once the organization has been dismantled, investigations related to money laundering continue.

So far, more than 250,000 objects valued at more than 222 million euros have been seized, in the absence of analysis of the material contained in two warehouses whose entry and search is pending and already authorized by the judge.