$1 billion counterfeit scheme, Tech CEO sentenced

Miami-based chief executive Onur Aksoy has been sentenced to over six years in prison for orchestrating a counterfeit Cisco equipment scam.

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Operating through 19 companies, Aksoy sold fake Cisco products valued at over $1 billion from 2013 to 2022. The scheme involved distributing counterfeit networking gear on online platforms like Amazon and eBay. The fake equipment infiltrated critical infrastructure, including sensitive US government systems used by the military, schools, and hospitals. Despite detection in 2014, Aksoy continued his fraudulent activities, sourcing supplies from Chinese vendors. The sentencing includes a $100 million restitution payment to Cisco and other victims. Cisco’s challenges with counterfeit operations have been compounded by disruptions in its supply chain, leading to recent layoffs affecting approximately 5% of its global workforce.

The sentencing of Onur Aksoy sheds light on the pervasive issue of counterfeit products infiltrating critical infrastructure and jeopardizing national security.