Moxee Man Sentenced To 31 Months In Federal Prison For Selling Counterfiet Airbags on e-Bay

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Jason Jordan, age 34, of Moxee, Washington, was sentenced after having pleaded guilty in June, 2013 to Conspiracy to Traffic in Counterfeit Airbags. United States District Court Chief Judge Rosanna M. Peterson sentenced Jordan to a 31month term of imprisonment to be followed by a 36 month term of court supervision upon release from Federal prison. Chief Judge Peterson also ordered Jordan to pay approximately $600,000 in restitution and forfeitures.

According to information disclosed during the court proceedings, Jordan owned two businesses -- Auto Pros and Sickspeed Inc. -- located in Moxee, Washington. He sold retail automobile parts via the Internet from these businesses. Jordan used these businesses to facilitate the importation of counterfeit airbags from China, which airbags were falsely labeled as being manufactured by reputable automobile manufacturers, such Honda, Toyota, Ford, and General Motors. Jordan advertised these counterfeit airbags as genuine products and sold them via e-Bay. Jordan admitted that he actually sold approximately 1980 counterfeit airbags from June of 2011 to August of 2012, earnings proceeds in the amount of $444,180.

This investigation began when officers with the United States Customs and Border Protection (CBP), intercepted shipments from China which contained counterfeit airbags and which were destined to Jordan's business for sale to the public. Over the course of several months, CBP officers seized numerous shipments containing an aggregate of 194 counterfeit airbags with a value of approximately $51,010. CBP authorities issued Jordan notices that the airbags had been seized because they were counterfeit. Despite these notices and seizures, Jordan continued to import counterfeit airbags into the United States and continued selling them to the public. Investigators believe that many airbags had been sold to unwitting independent garages where, without the knowledge of the automobile owners, the counterfeit airbags were installed in numerous vehicles. Agents with the Department of Homeland Security Investigations executed a search warrant at his business in August 2012 and seized over 5,300 counterfeit items, including counterfeit airbags and other counterfeit automotive parts.

As part of the agreed resolution in this case, Jordan agreed to forfeit $57,063 that the United States previously seized from his bank accounts and an additional $100,000 in cash and assets. Jordan was also ordered to pay restitution in the amount of $444,180 to the automobile manufactures whose trademarks were infringed.

Michael C. Ormsby said, "The National Highway Transportation Safety Administration has tested some counterfeit airbags from China, resulting in alarming failures, including catching fire and exploding shrapnel. While law enforcement officers have identified some of these airbags, identifying vehicles that are equipped with the counterfeit airbags in the used, and often salvage, car market is extremely difficult. The counterfeit airbags that entered the stream of commerce continue to present a risk of injury to unwary used car buyers. This investigation puts an end to Jordan's illegal activities that put innocent victims at risk of potential serious injury. This successful investigation was the result of the tireless efforts by law enforcement officers with the Department of Homeland Security Investigations, United States Customs and Border Protection and the Moxee Police Department, together with assistance from representatives of Honda Motors and Ford Motor Company. I commend their superb effort in this important case."

Information for consumers regarding counterfeit airbags is available at: http://www.safercar.gov.

The case was investigated by Homeland Security Investigations, United States Customs and Border Protection, with the assistance of the Moxee Police Department, Honda Motors, and Ford Motor Company. The case was prosecuted by Mary K. Dimke, an Assistant United States Attorney for the Eastern District of Washington.

CR-12-2079-RMP