Fake iPhone factory busted in Beijing
28 Jul 2015
A secret iPhone factory that was set up by a couple to produce counterfeit Apple products worth over A$26 million for export was busted by police in China.
Beijing police revealed they discovered the facility was being run by a married couple who ran it under the guise of a gadget maintenance shop, according to The Wall Street Journal.
Following a tip-off from US law enforcement agencies, nine people were arrested, including the owners of the factory.
The couple's factory surreptitiously made over than 41,000 fake Apple iPhones and accessories.
According to the police statement, the man, identified only by his surname of Yu so far, and his wife, whose surname is Xie, had set up the operation after hiring hundreds of workers.
According to report, staff was also working on six assembly lines.
The factory used second-hand smartphone parts and counterfeit products that were obtained from Shenzhen.
The smartphones were sent overseas to countries including the US.
The factory was discovered on 14 May but Beijing's public security bureau revealed it only on Sunday, according to reports.
The operation set up in January, was located on the northern outskirts of the Chinese capital, Beijing authorities said.
China had also agreed to cooperate with the US authorities to try to stem the large quantities of fake goods flowing between the two countries.
The discovery follows four years after fake Apple stores were discovered in Kunming city in China.
According to blogger BirdAbroad who discovered the operation, the fakes were so convincing, many of the staff themselves were convinced that they were employed by the US electronics firm.
