Overview
The Intellectual Property Unit works with government and private partners to protect the U.S. from IP theft, which risks the economy, public safety, and national security. Partner agencies provide special agents and analysts to identify threats, share information, and collaborate on investigations. This teamwork ensures effective data and resource sharing across organizations.
Programs
Operation Apothecary
Operation Apothecary, launched in 2004, combats the vulnerabilities around how pharmaceuticals enter the U.S. marketplace. Using online pharmacies, criminals have weaponized the internet to sell counterfeit and unapproved pharmaceuticals to unknowing consumers. The operation targets criminals who smuggle personal use and commercial quantities of counterfeit, unapproved, and/or adulterated drugs online, through international mail facilities and express courier hubs, and over and land borders.
Operation Body Armor
Operation Body Armor targets the illegal importation of unapproved, counterfeit, or adulterated medical and surgical supplies, personal health care products, and beauty products into the U.S. This program focuses on reducing the illegal importation of counterfeit medical- and health-related products entering the U.S. The IPR Center has partnered with several federal government agencies and the medical, health, and beauty industries to combat smuggling and to safeguard U.S. consumers.
Operation Engine-Newity
In response to health and safety threats related to the illegal sale and distribution of counterfeit automotive parts and equipment, Homeland Security Investigations (HSI), Customs and Border Protection (CBP), the FBI, and other partner agencies initiated Operation Engine-Newity in 2009.
The operation addresses threats like counterfeit airbags. The IPR Center continues to develop investigative leads for field agents, support ongoing investigations, and collaborate with industry experts.
Operation In Our Sites
Operation in Our Sites (IOS)—IPR‘s digital piracy initiative—targets the online distribution of pirated movies and television content, as well as other related products. Initiated in June 2010, IOS counters online intellectual property criminal activity by disrupting and dismantling organizations through criminal investigations, domain name and asset seizures, and arrests. These actions target both individuals operating illegal websites and those using legitimate websites to conduct criminal activity.
Operation Surge Protector
Operation Surge Protector targets the criminal trade of counterfeit consumer electronics that can malfunction and cause serious injury. Criminal organizations sell counterfeit devices, cables, parts, and accessories across all product categories, from mobile devices to refrigerator water filters. These products, often manufactured with substandard materials and without testing or passing safety requirements, can pose a public health and safety risk.
Operation Team Player
Operation Team Player is an annual operation targeting transnational criminal organizations trafficking counterfeit sports equipment, apparel, and merchandise. The IPR Center works with law enforcement and industry partners throughout the year to prevent counterfeit products from reaching fans ahead of high-profile sporting event and to inform the public of the potential dangers of all counterfeit goods.
Statistics
As part of the IPR Center’s digital piracy initiative In Our Sites, HSI-Baltimore special agents seized 71 separate internet domains in December 2022 for livestreaming World Cup matches, an infringement of Fédération Internationale de Football Association copyrights. These seizures were the result of Operation Offsides, a joint investigation between the IPR Center, HSI-Baltimore, the Department of Justice (DOJ) International Computer Hacking and Intellectual Property Offices, and the U.S. Attorney’s Office for the District of Maryland.
In 2022, more than 180,000 counterfeit sports-related items worth an estimated $22.7 million were seized as part of Operation Team Player, a collaborative public-private sector operation targeting international shipments of counterfeit merchandise into the United States.
Resources
Visit the Consumer Product Safety Commission at cpsc.gov for safety education, product alerts, research papers, and product reports.
The IPR Center Lead Evaluation Matrix
The IPR Center Lead Evaluation Matrix was launched in June 2023 to evaluate and categorize leads. The new matrix was developed from multiple sets of criteria, including investigative priorities; Department of Justice Computer Crime and Intellectual Property Section priorities; federal sentencing guidelines; and best practices for evidence collection.
With more than 30 domestic and international partners in both the public and private sectors, the IPR Center has built an international reputation for its ability to effectively engage in a collaborative exchange of information not only with its Homeland Security Investigations (HSI)-led field offices, but also with private industry’s brand protection experts. This effort is further enhanced by the personnel and resources of the National Cyber-Forensics and Training Alliance (NCFTA), a nonprofit partnership between private industry, government, and academia for the sole purpose of providing a neutral, trusted environment that enables two-way collaboration and cooperation to identify, mitigate, and disrupt cybercrime.
Another important aspect of this strategy is our ability to track what’s trending in the world of counterfeits so that we can collaborate with business and industry to enhance our efforts to stay one step ahead of the bad actors, no matter where in the world they may be illegally operating. It takes a special team of investigators at all levels, both public and private, to explore special factors to consider during the investigative process.
Impact
Predatory and illegal intellectual property trade practices affect every aspect of our lives—from the economy to health—and can even threaten national security.
- Health and Safety: Counterfeit goods are often substandard products that pose health and safety risks to consumers.
- Economy: IP theft erodes returns on innovation, causes job losses, and deteriorates legitimate tax revenue bases.
- National Security: Counterfeit products in authorized supply chains directly affects our military’s readiness.
Learn about the dangers of counterfeit products:
- Prescription drugs: Some counterfeit prescription drugs have no active ingredient. Other counterfeit prescription drugs have dangerous levels of active ingredients that could lead to medical emergencies and accidental overdoses in patients. Counterfeit prescription drugs may contain ingredients—ones not included in the legitimate prescription medications—that could cause allergic reactions.
- Cosmetics: Some counterfeit cosmetics contain chemicals known to cause cancer, acne, eczema, and other health issues. Various levels of urine and other dangerous substances have also been found in counterfeit cosmetics.
- Batteries: Counterfeit lithium-ion laptop batteries can pose significant risk of extreme heat, self-ignition, and potential explosion.
- Safety gear: Counterfeit bicycle helmets can easily break and fall apart. Counterfeit child safety seats do not undergo proper safety testing and certification.
- Pirated content: Pirated digital movies, television shows, video games, and music distributed online can expose your devices to viruses, malware, hackers, and ransomware attacks.
The IPR Center partners with businesses to:
- Raise awareness about the scope and dangers of intellectual property theft.
- Identify and assist businesses vulnerable to IP loss.
- Support IP theft reporting, partnering with businesses to investigate and prosecute IP violations and deter future IP loss.
- Establish community-oriented partnerships to collaboratively prevent and respond to IP loss.
Success Stories
Pro Network - Counterfeit Goods and Wire Fraud
On July 8, 2022 Onur "Roy" Aksoy, was indicted by a federal Grand Jury in the District of New Jersey for one count of conspiracy to traffic in counterfeit goods and to commit mail and wire fraud; three counts of mail fraud; four counts of wire fraud; and three counts of trafficking in counterfeit goods in running a large-scale operation to traffic in fraudulent and counterfeit Cisco networking equipment.
Operation Chain Reaction (OCR) - Counterfeit Goods and Wire Fraud
In May 2018, Homeland Security Investigations (HSI) and the Federal Bureau of Investigation (FBI) initiated a criminal investigation into TEAM XECUTER (TX), a financially motivated cyber-criminal organization (CO).
FIFA World Cup - Live Streaming Sites Seized
As part of the National Intellectual Property Rights Coordination Center (IPR Center) Digital Piracy Initiative, "In Our Sites," Special Agents from Homeland Security Investigations (HSI) Baltimore seized a total of 71 separate internet domains between December 9 and 18, 2022 for live streaming World Cup matches, an infringement of Fédération Internationale de Football Association (FIFA) copyrights.
Digital Millennium - Copyright Act and Wire Fraud
In May 2018, Homeland Security Investigations (HSI) and the Federal Bureau of Investigation (FBI) initiated a criminal investigation into TEAM XECUTER (TX), a financially motivated cyber-criminal organization (CO).
Partners
See Also
Government Supply Chain
The Government Supply Chain Investigations Unit (GSCIU) coordinates the U.S. government’s response to infiltration of counterfeit and substandard goods into the U.S. Government supply chain.