Thursday, May 31, 2018

KENYA: Chinese exhibitors arrested over counterfeit products

Exhibitors representing Jiaxing Zhongyi Cable and Wire Company Ltd from China who were allegedly found with counterfeit products during an exhibition at KICC, on May 30, 2018. PHOTO NATION MEDAI GROUP 

DAILY NATION - Three Chinese were arrested after they were allegedly found with fake products worth millions of shillings.

Ms Emily Peng, Mr Lee Liang and Mr Josh Xhiu were arrested at the Kenyatta International Convention Centre by officials from the Anti-Counterfeit Agency who were acting on a tip off by exhibitors at the Oil & Gas International Trade Exhibition.

The products included flat twin and earth cables, single core insulated cables, flat TPS cables and flexible PVC insulated sheath cables. Others were house electrical wire and cables, single core cables, multicore cables and speaker cables.

The cables were branded to look like they are from the East African Cables which has two manufacturing facilities in Nairobi, one in Tanzania and another in the Democratic Republic of Congo. The company also has footprints in Uganda, Rwanda, Burundi, Southern Sudan and Ethiopia.

“The three Chinese traders are from Jiaxing Zhongyi Cable and Wire Company Ltd. They are here exhibiting fake cables that they allege are from the East African Cables,” said Mr Lawrence Milewa from the ACA’s enforcement department. “We have established that they are illicit goods because there are no documents to indicate that they have been paying taxes,” he said.

Kenya loses over Sh30 billion in revenue annually as a result of tax evasion, counterfeiting and unlicensed products. Counterfeit goods worth Sh1.7 billion were seized last year alone, with the agency destroying products worth more than Sh700 million.

Fair competition
On Wednesday, Mr Milewa warned that a crackdown aimed at eradicating the market for illicit trade and ensuring fair competition will continue, adding that the agency is working with the police.

“Importation, exportation and trade in illegal goods is unacceptable. The public must avoid handling illicit goods of any nature and should report those who are involved in trade malpractices to the relevant agencies,” the official said.

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