An operations manager for a North Dakota-based company that sells clothing and other items has been indicted by a federal grand jury for his alleged role in a conspiracy that sold more than $20 million worth of counterfeit goods to U.S. military and government purchasers.
An indictment recently issued by a grand jury in Providence, RI alleges that Terry Roe, 48, of Burlington, ND, conspired with at least one other individual, Ramin Kohanbash, 50, of Brooklyn, NY, to obtain counterfeit clothing, apparel, and gear, according to a Justice Department release.
Kohanbash partnered with Bernard Klein, 39, also of Brooklyn, to arrange for the goods to be manufactured in China and Pakistan and then imported into the United States, the release states.
The indictment alleges that Roe and others working at his direction through his position at the company, then arranged for these counterfeit goods to be sold and delivered to the U.S. military and other government and law enforcement agencies, including the Rhode Island National Guard as part of an investigatory controlled purchase.
Roe and others working at his direction allegedly falsely represented to the U.S. military and its suppliers that the counterfeit goods were manufactured in the United States as is required.
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Klein, a New York businessman, and Kohanbash, a New Jersey wholesaler, have both been separately charged, and previously admitted in U.S. District Court in Providence that they conspired with each other, and others, to arrange the mass production of goods in China and Pakistan that carried counterfeit markings and labels identical to genuine trademarks registered with the U.S. Patent and Trademark Office.
According to the release, Klein and Kohanbash instructed the Chinese on how to label and package the goods in order to avoid problems when shipments were inspected by U.S. Customs.
Among the counterfeit items produced in China and Pakistan and shipped to Kohanbash in the United States for distribution were counterfeit parkas, hoods, fleece shirts, and parkas bearing counterfeit hangtags.
“Some of the counterfeit items sold as part of the conspiracy lacked the required safety measures,” the release states.
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Specifically, the counterfeit hoods were not actually fire-resistant as indicated by their labels and hangtags. Additionally, the counterfeit parkas lacked the required technology which would make the service member wearing the jacket difficult to detect by an enemy using night vision goggles.
The indictment charges Roe with conspiracy to commit wire fraud and traffic in counterfeit goods, mail fraud, and trafficking in counterfeit goods.
Kohanbash pled guilty on June 12, 2019, to charges of conspiracy to commit wire fraud and trafficking in counterfeit goods. He is scheduled to be sentenced on Jan. 22, 2021.
Klein pleaded guilty on Aug. 25, 2020, to conspiracy to commit mail fraud. He is scheduled to be sentenced on Dec. 4.