A Moscow court awarded 5 million rubles, or $160,000, in damages to Knauf in a case against a counterfeiter, the German building materials manufacturer said Wednesday.
For nearly a year, Vladimir Potekhin ran two pirate factories that made and packaged plaster, cement and other products of market leaders, including Knauf, Unis and Vetonit, the statement said.
Potekhin bought special equipment for manufacturing, used packaging with fake trademarks, and distributed the goods to retailers and wholesalers in Moscow and the Moscow region, the court found, according to the Knauf statement.
This is the largest amount Knauf CIS said it has won in court against a counterfeiter, though it has been working on the problem for many years.
"Knauf has been battling with counterfeit products for nearly 10 years on our own," said Gerd Lenga, general manager of Knauf CIS. "We spend millions of euros every year on this effort in Russia."
Potekhin was also sentenced to 1 1/2 years in prison on charges of trying to bribe a representative of a private security firm, which was involved in uncovering his operation, and illegal possession of firearms, Knauf said.
Knauf uses private security firms to help expose illegal manufacturing and shut down retailers who deal in fake goods, said Leonid Los, director of public relations at Knauf CIS.
"Neither the government nor society itself takes the problem of counterfeiting seriously," Nikolai Piksin, the lawyer who worked on this case for Knauf, was quoted as saying in the statement. "As paradoxical as it may seem, both the poor and the rich are ready to buy fake products."
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.
