Ruian Court Sentences Two in Gujing Gong Liquor Packaging Counterfeit Case

Recently, the Ruian Court concluded a criminal intellectual property case. Xu was convicted of illegally manufacturing registered trademark labels and sentenced to three years in prison plus a RMB 150,000 fine. The court revoked the executable portion of his previously imposed three-year suspended sentence and, after combining it with the original punishment for multiple offenses, ordered an overall term of three years and eight months and a RMB 190,000 fine. Lin was convicted of the same offense and received three years in prison, suspended for three years and six months, with a RMB 150,000 fine.

The matter dates back to June 2020. Xu, who had already been sentenced for illegally manufacturing registered trademark labels, resumed the unlawful activity. He brought in Lin as a partner and hired workers at a workshop in Pingyang to counterfeit packaging materials for 'Gujing Gong' liquor. The items involved included semi-finished handbag covers with gloss lamination, printed anti-counterfeiting labels, and tinplate box top lids.

In October 2020, public security authorities seized 10,500 semi-finished handbags for counterfeit 'Gujing Gong' liquor and 17,200 tinplate box top lids and other items while a driver was transporting goods. Following the leads, they also seized more than 183,000 items from the pair's small workshop, including counterfeit 'Gujing Gong' liquor anti-counterfeiting labels, rivets, adhesive tape, handbags, gift boxes, and outer cartons.

Just how much profit could push Xu, still under probation for a suspended sentence, to take such a risk again?

According to Xu's statement, he bought cardboard and other materials in bulk at very low cost, then spent a few jiao on printing the trademark design to make refined, high-imitation anti-counterfeiting labels for 'Gujing Gong' liquor; other packaging materials followed the same pattern. After assembling the counterfeit anti-counterfeiting labels, tinplate boxes, handbags, and gift boxes for 'Gujing Gong' liquor, he sold each set to the next buyer for about RMB 32. Each order brought steady profits of more than RMB 10,000, and he received many orders each month.

The other defendant said they bought raw materials, printed and assembled them, and then sold them to the next party; they were only supplying packaging materials, which did not amount to selling fake liquor, and they had not expected such serious consequences.

The Ruian Court held that the registered trademarks 'Gujing Gong,' 'Gujing,' 'Gujing Gong Liquor Vintage Original Mash,' and 'Vintage Original Mash' were approved and registered by China's Trademark Office and were within their validity period, and are therefore protected by law. Xu and Lin, without permission from the registered trademark owners, jointly forged others' registered trademark labels, constituting the crime of illegally manufacturing registered trademark labels. Because Xu committed a new crime during the probation period of a suspended sentence, the suspension should be revoked and the sentences for multiple crimes combined. The court therefore issued the above judgment in accordance with the law.

Source: China Packaging Network (pack.cn); original link: http://news.pack.cn/show-377273.html.