State-owned Company Sued over Fakes

On April 20, 2005, Beijing Metals and Minerals Import and Export Company was ordered by a court in Shanghai to pay damages of RMB165,000 (US$20,000) to Nike Company for attempting to export fake Nike products to Russia.

In 2001, Shanghai Customs Office found more than 123,000 sportswear items with suspicious Nike marks and tags. The Customs Office seized the goods and Nike Company sued the consignor, Beijing Metals and Minerals in Shanghai No. 2 Intermediate People's Court.

Beijing Metals and Minerals failed to prove that the goods were genuine ones. However, the defendant claimed to be innocent as it had evidence to prove that the company was required by the Beijing Office of DHL Russia to ship the goods.