Online store accused of selling counterfeit Nike shoes – WISH-TV | Indianapolis News | Indiana Weather forecast

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PORTLAND, Ore. (KOIN) — Thousands of potentially counterfeit athletic shoes have been recovered by federal investigators during a search of a residence in Happy Valley.

IRS and Homeland Security Investigations agents searched a home in the 11000 block of SE Rimrock Drive in Happy Valley on April 6. The search was carried out at 6:20 a.m. and investigators seized:

  • 1,560 pairs of Nike sneakers;
  • 40 pairs of Adidas sneakers;
  • 7 pairs of Asics sneakers;
  • 5 boxes of shoe boxes and packing materials;
  • 7 boxes and 1 bag of miscellaneous documents;
  • 5 LG 4406 cell phones;
  • 3 Samsung SGH 53906 mobile phones;
  • 2 MacBook laptops;
  • 2 iPhones;
  • 1 USB HDD;
  • 1 USB flash drive;
  • 1 CD-ROM disc

At the heart of the investigation

The investigation began on March 5 when Nike revealed that its private team of specialist investigators had carried out a “quiet” investigation into online retailer Get-Supplied.com, a website owned by James Pepion, according to the mandate of federal search. Get-Supplied also goes by the names “SuppliedPDX”, “Supplied Inc.” and “Supplied”.

The website is accused of illegally selling stolen, counterfeit and “grey market” Nike Jordan shoes and unauthorized pre-releases, records show. According to investigators, “grey market” products are made from actual or potentially stolen components outside of authorized Nike factories.

“Grey Market” products are made from actual or potentially stolen components outside of authorized Nike factories

Nike determined Pepion ran his company, Get-Supplied.com, from his Happy Valley residence, records show. He marketed and advertised the sneakers he was selling through his “SuppliedPDX” Instagram account and reportedly used the “[email protected]” email on eBay and PayPal.

Investigators determined that Pepion received a total of $2,615,988 into his PayPal account opened on January 16, 2012. PayPal included comments Pepion received regarding the authenticity of the items sold. They included phrases such as: “false”: “The shoes are fake, so I’m asking for a refund.” “My friend compared the shoes to a pair of Jordans (sic) he has and it’s clearly a fake.”

Import records reviewed by investigators using Pepion’s various addresses determined that there were approximately 100 shipments to various addresses between May 2009 and January 2015. “Imported items originated from Hong Kong and China, and most were described as shoes or shoes,” a federal search warrant showed.

Between March 20, 2015, and November 2, 2015, Portland officers stopped several packages as they made their way to Pepion in Happy Valley. Of the 17 searches, “all but one of the shipments were counterfeit,” according to the search warrant.

Officers seized trash from Pepion’s residence on the 15,000 block of SE Aspen Way and recovered his financial records on August 27, 2015.‘Bulk quantities of shoes (of Chinese national)’

After officers served Google with a search warrant, they were able to track an email belonging to a Chinese national suspected of thefts of samples and components from the facilities of Nike’s manufacturing partners in China, records show. . The man also allegedly organized the sale of stolen samples and counterfeit Nike and Air Jordan shoes.

“The email appears to show that Pepion is ordering large quantities of shoes [from the Chinese national] and have them delivered to others in the United States on his behalf,” according to the warrant.

James Pepion does not face any criminal charges at this time.

Money transfers totaling $174,460 were sent from two US bank accounts to China between June 2013 and September 2015, according to court documents.

Pepion could be charged with wire fraud, counterfeit trafficking and money laundering. As of Monday, no criminal charges had been filed in the US District Court.

Several attempts to reach Pepion for comment on this story have been unsuccessful. Many of the phone numbers associated with him went straight to full voicemail boxes.

According to the “Supplied” description in Apple’s iTunes store, “Supplied has become the #1 destination for online sneaker sales.”

Many of Pepion’s social media accounts have since been deleted. The “Get-Supplied.com” website is currently under “reconstruction”.

Response from Nike“Nike actively protects our brand, our retailers and especially our consumers against counterfeiting. We are actively working with law enforcement and customs authorities around the world to combat the production and sale of counterfeit products, and are supporting Homeland Security Investigations in this investigation.

– KOIN 6 News anchor Dan Tilkin contributed to this report.

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