1 00:00:01,086 --> 00:00:04,575 Two years ago, I set off from Central London on the Tube 2 00:00:04,575 --> 00:00:07,006 and ended up somewhere in the east of the city 3 00:00:07,006 --> 00:00:08,875 walking into a self storage unit 4 00:00:08,875 --> 00:00:13,419 to meet a guy that had 2,000 luxury polo shirts for sale. 5 00:00:13,419 --> 00:00:15,427 And as I made my way down the corridor, 6 00:00:15,427 --> 00:00:18,149 a broken, blinking light made it just like the cliche scene 7 00:00:18,149 --> 00:00:20,116 from a gangster movie. 8 00:00:20,116 --> 00:00:23,210 Our man was early, and he was waiting for me in front of a unit 9 00:00:23,210 --> 00:00:26,265 secured with four padlocks down the side. 10 00:00:26,265 --> 00:00:27,478 On our opening exchange, 11 00:00:27,478 --> 00:00:29,420 it was like a verbal sparring match, 12 00:00:29,420 --> 00:00:31,401 where he threw the first punches. 13 00:00:31,401 --> 00:00:32,590 Who was I? 14 00:00:32,590 --> 00:00:34,115 Did I have a business card? 15 00:00:34,115 --> 00:00:36,014 And where was I going to sell? 16 00:00:36,014 --> 00:00:38,792 And then, he just started opening up, 17 00:00:38,792 --> 00:00:40,274 and it was my turn. 18 00:00:40,274 --> 00:00:42,647 Where were the polo shirts coming from? 19 00:00:42,647 --> 00:00:44,335 What paperwork did he have? 20 00:00:44,335 --> 00:00:47,374 And when was his next shipment going to arrive? 21 00:00:47,374 --> 00:00:49,840 I was treading the fine between asking enough questions 22 00:00:49,840 --> 00:00:51,325 to get what I needed 23 00:00:51,325 --> 00:00:53,992 and not enough for him to become suspicious, 24 00:00:53,992 --> 00:00:55,503 because what he didn't know 25 00:00:55,503 --> 00:00:59,738 is that I'm a counterfeit investigator, 26 00:00:59,738 --> 00:01:02,748 and after 20 minutes or so of checking over the product 27 00:01:02,748 --> 00:01:06,128 for the telltale signs of counterfeit production, 28 00:01:06,128 --> 00:01:08,706 say, badly stitched labels or how the packaging 29 00:01:08,706 --> 00:01:11,505 had a huge brand logo stamped all over the front of it, 30 00:01:11,505 --> 00:01:13,401 I was finally on my way out, 31 00:01:13,401 --> 00:01:16,555 but not before he insisted on walking down to the street with me 32 00:01:16,555 --> 00:01:18,290 and back to the station. 33 00:01:18,290 --> 00:01:22,250 And the feeling after these meetings is always the same: 34 00:01:22,250 --> 00:01:24,286 my heart is beating like a drum, 35 00:01:24,286 --> 00:01:26,754 because you never know if they've actually bought your story, 36 00:01:26,754 --> 00:01:30,170 or they're going to start following you to see who you really are. 37 00:01:30,170 --> 00:01:32,741 Relief only comes when you turn the first corner 38 00:01:32,741 --> 00:01:36,393 and glance behind and they're not standing there. 39 00:01:36,393 --> 00:01:38,987 But what our counterfeit polo shirt seller certainly didn't realize 40 00:01:38,987 --> 00:01:42,955 is that everything I'd seen and heard would result in a dawn raid on his house, 41 00:01:42,955 --> 00:01:44,601 him being woken out of bed 42 00:01:44,601 --> 00:01:48,835 by eight men on his doorstep and all his product seized. 43 00:01:48,835 --> 00:01:52,289 But this would reveal that he was just a pawn 44 00:01:52,289 --> 00:01:55,795 at the end of a counterfeiting network spanning three continents, 45 00:01:55,795 --> 00:01:59,024 and he was just the first loose thread that I'd started to pull on 46 00:01:59,024 --> 00:02:01,951 in the hope that it would all unravel. 47 00:02:01,951 --> 00:02:04,573 Why go through all that trouble? 48 00:02:04,573 --> 00:02:07,603 Well, maybe counterfeiting is a victimless crime? 49 00:02:07,603 --> 00:02:09,932 These big companies, they make enough money, 50 00:02:09,932 --> 00:02:11,226 so if anything, 51 00:02:11,226 --> 00:02:14,440 counterfeiting is just a free form of advertising, right? 52 00:02:14,440 --> 00:02:16,839 And consumers believe just that, 53 00:02:16,839 --> 00:02:18,667 that the buying and selling of fakes 54 00:02:18,667 --> 00:02:20,341 is not that big a deal. 55 00:02:20,341 --> 00:02:25,086 But I'm here to tell you that that is just not true. 56 00:02:25,086 --> 00:02:29,102 What the tourist on holiday doesn't see about those fake handbags 57 00:02:29,102 --> 00:02:31,503 is they may well have been stitched together 58 00:02:31,503 --> 00:02:34,989 by a child that was trafficked away from her family, 59 00:02:34,989 --> 00:02:37,410 and what the car repair shop owner doesn't realize 60 00:02:37,410 --> 00:02:39,427 about those fake brake pads 61 00:02:39,427 --> 00:02:41,666 is they may well be lining the products 62 00:02:41,666 --> 00:02:44,511 with an organized crime gang 63 00:02:44,511 --> 00:02:46,236 involved in drugs and prostitution. 64 00:02:46,236 --> 00:02:49,037 And while those two things are horrible to think about, 65 00:02:49,037 --> 00:02:51,438 it gets much worse, 66 00:02:51,438 --> 00:02:55,250 because counterfeiting is even funding terrorism. 67 00:02:55,250 --> 00:02:57,431 Let that sink in for a moment. 68 00:02:57,431 --> 00:03:00,420 Terrorists are selling fakes to fund attacks, 69 00:03:00,420 --> 00:03:02,336 attacks in our cities 70 00:03:02,336 --> 00:03:05,680 that try to make victims of all of us. 71 00:03:05,680 --> 00:03:07,999 You wouldn't buy a live scorpion 72 00:03:07,999 --> 00:03:10,983 because there is chance that it would sting you on the way home, 73 00:03:10,983 --> 00:03:13,006 but would you still buy a fake handbag 74 00:03:13,006 --> 00:03:14,469 if you knew the profits 75 00:03:14,469 --> 00:03:16,545 would enable someone to buy bullets 76 00:03:16,545 --> 00:03:20,959 that would kill you and other innocent people six months later? 77 00:03:20,959 --> 00:03:22,656 Maybe not. 78 00:03:22,656 --> 00:03:24,906 Okay, time to come clean. 79 00:03:24,906 --> 00:03:26,203 In my youth, yeah, 80 00:03:26,203 --> 00:03:28,965 I might look like I'm still clinging on to it a bit, 81 00:03:28,965 --> 00:03:32,737 I bought fake watches while on holiday in the Canary Islands. 82 00:03:32,737 --> 00:03:34,484 But why do I tell you this? 83 00:03:34,484 --> 00:03:36,769 Well, we've all done it, 84 00:03:36,769 --> 00:03:38,604 or we know someone that's done it, 85 00:03:38,604 --> 00:03:42,250 and until this very moment, maybe you didn't think twice about it, 86 00:03:42,250 --> 00:03:43,709 and nor did I, 87 00:03:43,709 --> 00:03:46,286 until I answered a 20-word cryptic advert 88 00:03:46,286 --> 00:03:50,356 to become an intellectual property investigator. 89 00:03:50,356 --> 00:03:53,421 It said, "full training given and some international travel." 90 00:03:53,421 --> 00:03:57,192 Within a week, I was creating my first of many aliases, 91 00:03:57,192 --> 00:04:00,255 and in the 10 years since, I've investigated fake car parts, 92 00:04:00,255 --> 00:04:03,085 ??. fake tech grooming tools, 93 00:04:03,085 --> 00:04:05,169 fake bicycle parts, 94 00:04:05,169 --> 00:04:07,063 and, of course, the counterfeiter's favorite, 95 00:04:07,063 --> 00:04:10,632 fake luxury leather goods, clothing and shoes. 96 00:04:11,250 --> 00:04:14,223 And what I've learned in the 10 years of investigating fakes 97 00:04:14,223 --> 00:04:16,201 is that once you start to scratch the surface, 98 00:04:16,201 --> 00:04:18,887 you find that they are rotten to the core, 99 00:04:18,887 --> 00:04:20,972 as are the people and organizations 100 00:04:20,972 --> 00:04:23,524 that are making money from them, 101 00:04:23,524 --> 00:04:27,769 because they are profiting on a massive, massive scale. 102 00:04:27,769 --> 00:04:30,271 You can only make around a hundred to 200 percent 103 00:04:30,271 --> 00:04:32,156 selling drugs on the street. 104 00:04:32,156 --> 00:04:35,877 You can make 2,000 percent selling fakes online 105 00:04:35,877 --> 00:04:38,098 with little of the same risks or penalties. 106 00:04:39,070 --> 00:04:41,469 And this quick, easy money then goes on to fund 107 00:04:41,469 --> 00:04:43,045 the more serious types of crime, 108 00:04:43,045 --> 00:04:45,698 and it pays the way to making these organizations, 109 00:04:45,698 --> 00:04:49,221 these criminal organizations, look more legitimate. 110 00:04:49,221 --> 00:04:51,898 So let me bring you in on a live case. 111 00:04:51,898 --> 00:04:54,076 Earlier this year, a series of raids took place 112 00:04:54,076 --> 00:04:56,733 in one of my longest-running investigations. 113 00:04:56,733 --> 00:04:59,809 Five warehouses were raided in Turkey, 114 00:04:59,809 --> 00:05:03,645 and over two million finished counterfeit clothing products were seized, 115 00:05:03,645 --> 00:05:07,455 and it took 16 trucks to take that all away. 116 00:05:07,455 --> 00:05:08,871 But this gang had been clever. 117 00:05:08,871 --> 00:05:12,144 They had gone through the lengths of creating their own fashion brands 118 00:05:12,144 --> 00:05:14,059 complete with registered trademarks 119 00:05:14,059 --> 00:05:17,859 and even having photoshoots on yachts in Italy. 120 00:05:17,859 --> 00:05:21,459 And they would use these completely unheard-of 121 00:05:21,459 --> 00:05:24,660 and unsuspicious brand names as a way of shipping container loads 122 00:05:24,660 --> 00:05:28,974 of fakes to shell companies that they'd set up across Europe. 123 00:05:28,974 --> 00:05:32,392 And documents found during those raids found that they'd been falsifying 124 00:05:32,392 --> 00:05:34,378 shipping documents 125 00:05:34,378 --> 00:05:37,308 so the customs officials would literally have no idea 126 00:05:37,308 --> 00:05:40,190 who had sent the products in the first place. 127 00:05:40,190 --> 00:05:42,570 When police got access to just one bank account, 128 00:05:42,570 --> 00:05:44,407 they found nearly three million euros 129 00:05:44,407 --> 00:05:47,811 had been laundered out of Spain in less than two years, 130 00:05:47,811 --> 00:05:49,989 and just two days after those raids, 131 00:05:49,989 --> 00:05:52,255 that gang were trying to bribe a law firm 132 00:05:52,255 --> 00:05:54,782 to get their stock back. 133 00:05:54,782 --> 00:05:58,122 Even now, we have no idea where all that money went, 134 00:05:58,122 --> 00:06:00,022 to who it went to, but you can bet 135 00:06:00,022 --> 00:06:04,193 it's never going to benefit the likes of you or me. 136 00:06:04,193 --> 00:06:06,986 But these aren't just low-level street thugs. 137 00:06:06,986 --> 00:06:10,104 They're business professionals, and they fly first class. 138 00:06:10,104 --> 00:06:13,926 They trick legitimate businesses with convincing fake invoices 139 00:06:13,926 --> 00:06:14,855 and paperwork, 140 00:06:14,855 --> 00:06:16,756 so everything just seems real, 141 00:06:16,756 --> 00:06:20,099 and then they set up eBay and Amazon accounts 142 00:06:20,099 --> 00:06:23,525 just to compete with the people they've already sold fakes to. 143 00:06:23,525 --> 00:06:26,117 But this isn't just happening online. 144 00:06:26,117 --> 00:06:28,146 For a few years, I also used to attend 145 00:06:28,146 --> 00:06:30,826 automotive trade shows 146 00:06:30,826 --> 00:06:33,563 taking place in huge exhibition spaces, 147 00:06:33,563 --> 00:06:36,548 but away from the Ferraris and the Bentleys and the flashing lights, 148 00:06:36,548 --> 00:06:38,499 there'd be companies selling fakes, 149 00:06:38,499 --> 00:06:41,345 companies with a brochure on the counter 150 00:06:41,345 --> 00:06:44,774 and another one underneath if you ask them the right questions. 151 00:06:44,774 --> 00:06:47,578 And they would sell me fake car parts, faulty fake car parts 152 00:06:47,578 --> 00:06:52,148 that have been estimated to cause over 36,000 fatalities, 153 00:06:52,148 --> 00:06:55,396 deaths on our roads each year. 154 00:06:55,396 --> 00:07:01,308 Counterfeiting is set to become a 2.3 trillion dollar underground economy, 155 00:07:01,308 --> 00:07:04,110 and the damage that can be done with that kind of money, 156 00:07:04,110 --> 00:07:06,587 it's really frightening, 157 00:07:06,587 --> 00:07:10,205 because fakes fund terror. 158 00:07:10,205 --> 00:07:12,559 Fake trainers on the streets of Paris, 159 00:07:12,559 --> 00:07:14,524 fake cigarettes in West Africa, 160 00:07:14,524 --> 00:07:17,370 and pirate music CDs in the USA 161 00:07:17,370 --> 00:07:21,072 have all gone on to fund terrorist training camps, 162 00:07:21,072 --> 00:07:24,707 bought weapons and ammunition, or the ingredients for explosives. 163 00:07:24,707 --> 00:07:27,789 In June 2014, the French security services 164 00:07:27,789 --> 00:07:33,873 stopped monitoring the communications of Said and Cherif Kouachi, 165 00:07:33,873 --> 00:07:35,566 the two brothers who had been on a watchlist, 166 00:07:35,566 --> 00:07:37,784 a terror watchlist, for three years. 167 00:07:37,784 --> 00:07:40,824 But that summer, they were only picking up that Cherif was buying 168 00:07:40,824 --> 00:07:42,672 fake trainers from China, 169 00:07:42,672 --> 00:07:45,729 so it signaled a shift away from extremism 170 00:07:45,729 --> 00:07:49,677 into what was considered a low level, petty crime. 171 00:07:49,677 --> 00:07:52,241 The threat had gone away. 172 00:07:52,241 --> 00:07:54,653 Seven months later, the two brothers walked into the offices 173 00:07:54,653 --> 00:07:57,539 of Charlie Hebdo magazine and killed 12 people, 174 00:07:57,539 --> 00:07:59,449 wounded 11 more, 175 00:07:59,449 --> 00:08:03,048 with guns from the proceeds of those fakes. 176 00:08:03,048 --> 00:08:06,485 So whatever you think, this isn't a faraway problem happening in China. 177 00:08:06,485 --> 00:08:08,709 It's happening right here. 178 00:08:08,709 --> 00:08:11,642 And Paris is not unique. 179 00:08:11,642 --> 00:08:16,013 Ten years earlier, in 2004, 191 people lost their lives 180 00:08:16,013 --> 00:08:18,578 when a Madrid commuter train was bombed. 181 00:08:18,578 --> 00:08:23,174 The attack had been partly funded by the sale of pirate music CDs in the US. 182 00:08:23,174 --> 00:08:25,936 Two years prior to that, an al Qaeda training manual 183 00:08:25,936 --> 00:08:27,721 recommended explicitly 184 00:08:27,721 --> 00:08:33,130 selling fakes as a good way of supporting terror cells. 185 00:08:33,130 --> 00:08:37,941 But despite this, despite the evidence connecting terrorism and counterfeiting, 186 00:08:37,941 --> 00:08:40,573 we do go on buying them, increasing the demand 187 00:08:40,573 --> 00:08:42,360 to the point where there's even a store 188 00:08:42,360 --> 00:08:46,824 in Turkey called "I Love Genuine Fakes." 189 00:08:46,824 --> 00:08:50,173 And you have tourists posing with photographs on TripAdvisor 190 00:08:50,173 --> 00:08:52,531 giving it five star reviews. 191 00:08:52,531 --> 00:08:55,385 But would those same tourists have gone into a store called 192 00:08:55,385 --> 00:08:58,096 "I Love Genuine Fake Viagra Pills" 193 00:08:58,096 --> 00:09:01,196 or "I Genuinely Love Funding Terrorism"? 194 00:09:01,576 --> 00:09:03,021 I doubt it. 195 00:09:03,803 --> 00:09:05,287 Many of us think 196 00:09:05,287 --> 00:09:08,846 that we're completely helpless against organized crime and terrorism, 197 00:09:08,846 --> 00:09:11,574 that we can do nothing about the next attack, 198 00:09:11,574 --> 00:09:14,009 but I believe you can. 199 00:09:14,009 --> 00:09:17,498 You can by becoming investigators too. 200 00:09:17,498 --> 00:09:20,998 The way we cripple these networks is to cut their funding, 201 00:09:20,998 --> 00:09:23,351 and that means cutting the demand and changing this idea 202 00:09:23,351 --> 00:09:25,444 that it's a victimless crime. 203 00:09:25,444 --> 00:09:27,877 Let's all identify counterfeiters 204 00:09:27,877 --> 00:09:29,911 and don't give them our money. 205 00:09:29,911 --> 00:09:32,619 So here's a few tips from one investigator to another 206 00:09:32,619 --> 00:09:34,467 to get you started. 207 00:09:34,467 --> 00:09:35,934 Number one: 208 00:09:35,934 --> 00:09:39,486 here's a typical online counterfeiter's website. 209 00:09:39,486 --> 00:09:41,154 Note the URL. 210 00:09:41,154 --> 00:09:44,138 If you're shopping for sunglasses or camera lenses, say, 211 00:09:44,138 --> 00:09:47,653 and you come across a website like medical-insurance-bankruptcy.com, 212 00:09:47,653 --> 00:09:49,076 start to get very suspicious. 213 00:09:49,076 --> 00:09:50,812 (Laughter) 214 00:09:50,812 --> 00:09:54,144 But counterfeiters register expired domain names as a way 215 00:09:54,144 --> 00:09:57,648 of keeping up the old website's Google page ranking. 216 00:09:57,648 --> 00:10:00,173 Number two: is the website screaming at you that everything 217 00:10:00,173 --> 00:10:01,665 is 100 percent genuine, 218 00:10:01,665 --> 00:10:06,241 but still giving you 75 percent off the latest collection? 219 00:10:06,241 --> 00:10:08,347 Look for words like "master copy," 220 00:10:08,347 --> 00:10:10,676 "overruns," "straight from the factory." 221 00:10:10,676 --> 00:10:14,933 They could write this all in comic sans, it's that much of a joke. 222 00:10:14,933 --> 00:10:18,908 Number three: if you get as far as the checkout page, 223 00:10:18,908 --> 00:10:23,800 and you don't see "https" or a padlock symbol next to the URL, 224 00:10:23,800 --> 00:10:27,728 you should really start thinking about closing the tab, 225 00:10:27,728 --> 00:10:28,943 because these indicate active security measures 226 00:10:28,943 --> 00:10:32,697 that will keep your personal and credit card information safe. 227 00:10:32,697 --> 00:10:34,887 Okay, last one: 228 00:10:34,887 --> 00:10:37,114 go hunting for the "Contact Us" page. 229 00:10:37,114 --> 00:10:39,887 If you can only find a generic webform, 230 00:10:39,887 --> 00:10:43,637 no company name, telephone number, email address, postal address, 231 00:10:43,637 --> 00:10:45,928 that's it, case closed. 232 00:10:45,928 --> 00:10:48,175 You found a counterfeiter. 233 00:10:48,175 --> 00:10:50,131 Sadly, you're going to have to go back to Google 234 00:10:50,131 --> 00:10:51,779 and start your shopping search all over again, 235 00:10:51,779 --> 00:10:56,328 but you didn't get ripped off, so that's only a good thing. 236 00:10:56,328 --> 00:11:00,372 As the world's most famous fictional detective would say, 237 00:11:00,372 --> 00:11:03,250 "Watson, the game is afoot." 238 00:11:03,250 --> 00:11:05,460 Only this time, my investigator friends, 239 00:11:05,460 --> 00:11:08,148 the game is painfully real. 240 00:11:08,148 --> 00:11:10,367 So the next time you're shopping online, 241 00:11:10,367 --> 00:11:12,109 or perhaps wherever it is, 242 00:11:12,109 --> 00:11:15,682 look closer, question a little bit deeper, 243 00:11:15,682 --> 00:11:18,085 and ask yourself, before you hand over the cash 244 00:11:18,085 --> 00:11:19,418 or click "Buy," 245 00:11:19,418 --> 00:11:21,423 am I sure this is real? 246 00:11:21,423 --> 00:11:24,682 Tell your friend that used to buy counterfeit watches 247 00:11:24,682 --> 00:11:28,629 that you may just have brought the next attack one day closer. 248 00:11:28,629 --> 00:11:30,834 And, if you see an Instagram advert for fakes, 249 00:11:30,834 --> 00:11:32,470 don't keep scrolling past, 250 00:11:32,470 --> 00:11:35,614 report it to the platform as a scam. 251 00:11:35,614 --> 00:11:38,699 Let's shine a light on the dark forces of counterfeiting 252 00:11:38,699 --> 00:11:40,739 that are hiding in plain sight. 253 00:11:40,739 --> 00:11:42,323 So please, spread the word 254 00:11:42,323 --> 00:11:44,425 and don't stop investigating. 255 00:11:44,425 --> 00:11:46,185 Thank you. 256 00:11:46,185 --> 00:11:49,834 (Applause)