NY councilor proposes jail time for buying fakes

A New York city councilor is trying once again to push through legislation that would see buyers of fake goods risk fines and jail terms.

The revived proposal comes two years after councilor Margaret Chin failed to persuade her peers to back a similar bill.

With fakes still widely available on New York markets, Chin is once again trying to cut demand by strengthening punishments against buyers. Chin's constituency includes New York's Chinatown, including the Canal Street market which is a hot spot for counterfeit product trading.

Focused mainly on purchasers of knock-off merchandise such as clothing, designer accessories and cosmetics, the bill would impose sentences of up to a year in jail or a $1,000 fine.The law would however only apply where there has been clear copying of trademark, so lookalike products - without trademark infringement - would be exempt.

Back in 2011 Chin highlighted the extent of the counterfeit merchandise problem and explained why buyers should share responsibility for the trade.

"I want the risk of getting fined to serve as a deterrent to those who would otherwise buy counterfeit goods," she said, adding that aside from the loss of tax revenue it damages local businesses and has a "ruinous effect" on local quality of life. Local residents have reportedly claimed that street hawkers in the area harrass passers-by whilst trying to sell their goods.

"Tackling the suppliers is not enough. This is a profitable industry; an estimated $23bn is spent on counterfeit goods in NYC each year [and] for each storehouse that is shut down, there are others waiting to take its place," said Chin, noting that more must be done to reduce demand.

Chin thinks New York could claw back some of these lost sales and taxes by giving police greater powers. However, with counterfeit sales increasingly being made online some argue the role of police on the ground in tackling fakes is diminishing anyway.

"It is time to get serious about this criminal activity and its local and global repercussions," said Chin.