Covid-19_Medical

WARNING: FAKE, FALSIFIED AND SUBSTANDARD MEDICAL PRODUCTS AND MEDICINES

New York, 2 April 2020 – The Transnational Alliance to Combat Illicit Trade (TRACIT) issued a statement today, warning consumers about the risks and growing availability of fake, falsified and substandard medical and healthcare products and medicines. The organization, known for mitigating illicit trade across industry sectors worldwide, reports a surge in ineffective, fraudulent products that undermine public health and efforts to stem the COVID-19 pandemic.

“Emergency response measures to protect people from the COVID-19 virus must include the urgent need to protect them from fake, falsified and substandard medical products and medicines,” said TRACIT Director-General Jeffrey Hardy. “Someone wearing a falsified or substandard surgical face mask is not only at risk of exposure, but it creates a false sense of security that can actually accelerate the spread to others.”

Worldwide reports indicate a surge in the availability and type of fraudulent medical products intended to exploit the fears of consumers, which includes illicit offerings of falsified versions of treatments such as Hydroxychloroquine and Azithromycin that will harm or kill already vulnerable patients. Joint operations by the World Customs Organization, Europol and Interpol have resulted in a significant increase in seizures of counterfeit and unauthorized face masks and hand sanitizers.

“Expectations are that the availability of fakes and fraudulent products on the Internet will increase dramatically, especially with the closure of retail stores and the imposition of population distancing strategies,” said Mr. Hardy. “People must be especially careful with their social media, where outright fraud and advertising of fakes is already a major problem.”

In its statement, TRACIT’s product warning list includes fake, falsified and substandard medical products such as surgical masks, hydro-alcoholic gels, testing kits and thermometers. Also listed for increased vigilance are high demand healthcare and consumer products prone to counterfeiting, including cleaning solutions, toilet paper, anti-bacterial wipes, indoor sports equipment, refrigeration appliances, food products and reading materials.

TRACIT called for immediate action by governments, law enforcement, Internet platforms and brand owners:

Governments to prioritize the response to fraud among COVID-19 emergency measures, allocate resources to blocking distribution of fakes, warn consumers about the risks of fake and fraudulent products, especially online sales, and impose immediate sanctions on the manufacture and sale of fraudulent COVID-19 related products.
Law enforcement to clamp down on violators, increase vigilance for stolen, tampered and expired medical products and medicines, and establish a coordinated national strategy to share intelligence, best practices and cooperate on cross-border investigations.
Internet eCommerce platforms to amplify policing and takedown of online sales of counterfeit and fraudulent COVID-19 related products.
Brand owners to increase security of supply chains for genuine COVID-19 related medical products and medicines, share data with law enforcement where supply chains have been compromised and raise awareness about online shopping fraud.

In the longer run, TRACIT expressed concern that the COVID-19 Pandemic underscores the urgent need for a strong international policy framework to combat the illicit trade of fake, falsified and substandard medical products and medicines.

“Once we get past this crisis, we’ll need to double our efforts to prevent counterfeiting and falsification of medical products and medicines,” said Mr. Hardy. “This must start with stronger provisions for preventing the availability of illicit products online and stronger measures to keep illicit pharmaceuticals out of the physical supply chain, including postal and express carrier infrastructures.”

While the world is facing a global pandemic impacting our families, friends and colleagues, protecting infected patients and healthcare professionals from the risk of falsified medicines has never been so important. The community of public-private experts on illicit trade have a role to play to support our communities and governments in this extreme situation. That is doing everything we can to guarantee that only genuine, high quality medical products and treatments reach patients and healthcare practitioners timely. And time is of the essence -- Stanislas Barro, Global Head of Anti-counterfeiting at Novartis

Arresting the sale of illicit goods at the time of this unprecedented crisis needs our immediate and unwavering attention. It is well known that illicit trade exacerbates unemployment, bleeds the economy and causes tremendous harm to the health and safety of the people. The current situation which is already witnessing a severe socio-economic distress, sale of fake and smuggled goods will only worsen the problem. Stern actions should be taken to see that criminals do not profit from this pandemic by selling illicit products -- Mr Anil Rajput, Chairman, FICCI CASCADE

TRACIT Document Center

Related materials

Business at OECD Statement the Trade Policy Response on Covid-19

COVID-19 Summary of Third Party Reports

US Homeland Security Investigations Operation Stolen Promise

Fake COVID-19 medical products around the world

RESOURCE CENTER

Intergovernmental organizations
Report on COVID-19-related Trafficking of Medical Products as a Threat to Public Health, UNODC

Global operation sees a rise in fake medical products related to COVID-19, INTERPOL

COVID-19 Urgent Notice: counterfeit medical supplies and introduction of export controls on personal protective equipment, World Customs Organization

Medical Product Alert, World Health Organization

Rise of Fake Cornona Cures Revealed, EUROPOL

How criminals profit from the COVID-19 pandemic, EUROPOL

COVID-19: Firmer action needed to better protect consumers, UNCTAD

National governments
US Department of Justice, COVID-19 Portal

US Federal Trade Commission, Coronavirus Scams: What the FTC is doing

US FBI COVID-19 Portal

UK National Crime Agency

Business organizations
Business at OECD (BIAC) is stepping up actions to help the OECD address the Covid-19 crisis

US Council for International Business: Web Portal for Business Continuity During COVID-19

Recent media stories
Trade in Counterfeit Medical and Protective Health Goods Spiking During Pandemic, TradeVistas, 28 May 2020

Pamela Coke Hamilton and Teresa Moreira, UNCTAD: 'Consumers vs COVID-19', Consumers International, 8 April 2020

नकली चिकित्सा उत्पादों को लेकर चेताया, Dainik Bhaskar, 7 April 2020

Surge in fraudulent health products worldwide, warns FICCI CASCADE, TRACIT, Deccan Herald, 7 April 2020

Customs sleuths on alert to prevent import of fake medicines, The Times of India, 5 April 2020

Australia seizes faulty coronavirus protective equipment imported from China, ABC Australia, 1 April 2020

Small-time actor peddled fake coronavirus cure to millions online, feds charge in first covid-19 prosecution, The Daily Record, 27 March 2020

Toronto man shipped fake 'COVID-19 testing kits' across North America, CTN News, 27 March 2020

The factories pumping out dangerous fake masks, The Independent, 26 March 2020

Hundreds of thousands of fake masks flooding markets, The Independent, 25 March 2020

Police seize 1 million counterfeit masks in Istanbul, DuvarEnglish, 24 March 2020

Shortage of Virus Tests in U.K. Lures Profiteers and Con Artists, NY Times, 24 March 2020

E-Commerce: Consumer Protection Underscored, Legal Current, 23 March 2020

Panic buying is good for counterfeiters, World Trademark Review, 23 March 2020

Coronavirus: Man in court over fake Covid-19 treatment kits, BBC News, 21 March 2020

3M doubles global production of respiratory masks; warns of counterfeits, StarTribune, 20 March 2020

Coronavirus Tests – A Counterfeiter’s Dream, Systech Blog, 17 March 2020

Customs officers seized 6 bags full of fake coronavirus testing kits at LAX, Business Insider, 15 March 2020

Coronavirus: Amazon removes overpriced goods and fake cures, BBC, 28 February 2020

China confiscated over 31 million counterfeit face masks as coronavirus fears cause supply shortage and spike in demand, Business Insider, 26 February 2020