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U.S. GOVERNMENT IP ENFORCEMENT QUARTERLY UPDATE APRIL 2007
CALENDAR INDUSTRY OUTREACH
· April 11 - DOC/Chamber/France Consumer Awareness Event · January 21 The U.S. Chamber of Commerce and the
· April 26 World IP Day Washington Events (WIPO, IPI) Coalition Against Counterfeiting and Piracy (CACP) released
· April 29-May 1 - International Trademark Association Annual Meeting Chicago the No Trade in Fakes Supply Chain Tool Kit. Created at the
· May 6-9 BIO Int'l Conference- Biotechnology Industry Organization - Boston suggestion of the Department of Commerce and the only
· May 7-8 - KIPO/WIPO Conference on Innovative Administration of Intellectual document of its kind, the tool kit includes best practice
Property - Seoul guidelines and seven case studies of companies that devised
· May 11-13 - Meeting of PTO Heads (US, China, EU, Japan, Korea) Honolulu and implemented aggressive techniques to fight counterfeiting
· May 12-13 - Independent Inventor Program, Nat'l Inventors Hall of Fame NYC and piracy and protect themselves and their customers. The
· June 13 - PTO/Chamber Road Show, with NC Secretary of State - Raleigh tool kit has been distributed to more than a million members of
the business community by the U.S. Chamber of Commerce,
· June 18 - PTO/Chamber Road Show - Detroit
the Department of Commerce, and the Small Business
TRAINING & CAPACITY BUILDING PROGRAMS Administration is available at www.thetruecosts.org.
· February 21 The U.S. Chamber of Commerce and the
· During CY 2006, ICE agents from the IPR Coordination Center have shared Coalition Against Counterfeiting and Piracy (CACP) hosted a
best practices and provided training to foreign government and law enforcement webinar as part of the release of its No Trade in Fakes Supply
officials at the International Law Enforcement Academies (ILEA) in Bangkok, Chain Tool Kit. This webinar featured members of the
Lima, El Salvador, and Botswana. Additional training was provided on eight business community side by side with representatives from
occasions in Brazil (4), China (2), Trinidad (1) and Italy (1). ICE and illustrated how companies can protect themselves
· In 2006, DOJ Criminal Division prosecutors provided training and technical and their customers from counterfeiters and pirates. The
assistance on IP enforcement to over 3,300 foreign prosecutors, investigators, webinar can be view at www.thetruecosts.org.
and judges from 107 countries. · March 27 28 in Beijing, China, the U.S. Chamber of
Commerce and the China Council for Promotion of
Upcoming Training Programs International Trade, the largest trade association in the China,
· April 16 - PTO Training for World Customs Officials - Washington, D.C. held a Global Forum on Innovation and Intellectual Property
· April 16-18 - Trilateral Technical Assistance for patents at the JPO Tokyo Rights. The first event of its kind, more than 500 senior
· April 16-18 - CAFTA-DR Program for Judges and Prosecutors - Guatemala government officials and corporate representatives from the
· April 22-27 Coordinator/ICE/PTO IPR Investigative Training Conference - India U.S., China, the European Union, Japan, Korea, India, and
· May - DOJ IPR Crimes Workshop Argentina other countries attended the forum. Representatives from each
· May - USPTO Customs Officials Training Russia of the STOP! agencies were a key component to the success
· May 21-22 - IPR Border Enforcement Roundtable- Tri-Border Region - Paraguay of this event.
· May 28 - FBI training in Islamabad · In Q2, ITA's OIPR participated in four business outreach
· June, TBD - USPTO Judges and Prosecutors Training, Brazil events, in DC, PA, and NY, providing information about STOP!
· June, TBD - DOJ Judges and Prosecutors Training - South Africa to 150 companies.
· June, TBD - DOJ Law Enforcement Training - India · In the first three programs of 2007, China IPR webinar series
covered Civil IP litigation, IP audits and Negotiating Licensing
STOP! HOTLINE STOPFAKES.GOV Agreements and served over 300 participants.
FY 2007 YTD - Contacts: 973 FY 2007 Q1 - Hits: 214,572 - Views: 34,017
FY 2007 Q2 - Contacts: 486 FY 2007 Q2 - Hits: 250,043 - Views: 31,000
Office of the U.S. Coordinator for International Intellectual Property Enforcement
INTERNATIONAL ENGAGEMENT
CHINA
· On April 9, USTR made 2 requests before the WTO for dispute settlement consultations with the PRC: one over deficiencies in China's legal
regime for enforcing copyrights and trademarks on a wide range of products. The request focuses on provisions of Chinese law that create a
substantial "safe harbor" for distributors or sellers of pirated and counterfeit products in China. China has established quantitative thresholds that
must be met in order to start criminal prosecutions of copyright piracy and trademark counterfeiting. The U.S. IPR enforcement consultation
request also focuses on the rules for disposal of infringing goods seized by Chinese customs. The third IPR enforcement issue concerns Chinese
copyright law's apparent denial of copyright protection for works poised to enter the market but awaiting Chinese censorship approval. An
additional IPR enforcement issue may exist, concerning the scope of China's criminal law with respect to copyright piracy.
· In Spring 2007, USTR will release its annual Special 301 Report, including results of a detailed annual review of IPR protection and enforcement in
China. USTR will also complete a special review of IPR protection and enforcement at the provincial level. USTR continues to prepare this
provincial review through meetings with U.S. industry and local Chinese authorities, particularly in areas of greatest economic importance to U.S.
industry, such as Beijing, Fujian, Guangdong, Shanghai, and Zhejiang.
· On March 27, DOJ hosted the inaugural meeting of the Intellectual Property Criminal Enforcement Working Group ("IPCEWG") of the U.S.-China
Joint Liaison Group for Law Enforcement Cooperation ("JLG"). A delegation of 15 Chinese law enforcement officials specializing in IP
enforcement, including the Ministry of Public Security's Vice Director General of the Economic Crimes Investigation Department, attended the
meeting. Representatives from the FBI, ICE, and the State Department also participated in the discussions. On March 29, the IPCEWG
reconvened at the Office of the U.S. Attorney in Los Angeles, to discuss ongoing joint IP enforcement operations.
INDIA
· Secretary Gutierrez raised intellectual property, including the need for protection of pharmaceutical test data, during his February trip to India.
· Feb. 22-23 - the U.S.-India High Tech Cooperation Group met for semi-annual meetings. Participants discussed IP protection in the biotech field.
U.S.-EU
· On February 1 & 2, 2007, a USG delegation met with EU officials in Brussels to continue the U.S.-EU IPWG. Under this cooperative mechanism,
USTR, DOC, and State have worked closely with EU counterparts to coordinate messaging concerning third countries, notably China and Russia,
and to share information in order to advance our mutual IPR enforcement goals. The USG has since exchanged a draft Action Plan for 2007
focusing efforts on a few training projects (Tri-border Region; and UAE and Russia) and further strengthening customs cooperation.
JAPAN
· In January 2007, Secretary Gutierrez and Japan's METI re-launched and enhanced the Joint DOC/METI Initiative, recommitting efforts on patent
harmonization, investigating a standardized patent application, and cooperation on IP enforcement in third countries.
G8
· Foreign Affairs Sous Sherpa (FASS) Sullivan, State Dept A/S, met with his counterpart on March 15-16 to discuss the Innovation chapter of the G8
Summit Declaration, and will meet again with the FASS group in Bonn April 16-17. The G8 IPR Experts Group, in which the USG is led by State
DAS Chris Moore, made significant progress at its Feb. 22 meeting in a number of areas, including: joint technical assistance to developing
countries, customs cooperation to block trade in fakes, private sector action against counterfeiting and piracy, and constructive dialogue with
emerging economies. This group will meet again on April 19, following a meeting with G8 private sector representatives on April 19.
INTERNATIONAL/MULTILATERAL
· In March 2007, the State Department expanded IPR warnings in 44 of its travel-oriented consular information sheets to help build awareness and
deter U.S. tourists from purchasing pirated and counterfeit products when traveling outside of the United States.
· Mar 7 and 8, CBP chaired the World Customs Organization's IPR Customs Expert Group and participated in the WCO IPR Strategic Group, a joint
industry-customs group. These groups are working with the WCO Secretariat on a set of IPR standards to improve customs enforcement.
Office of the U.S. Coordinator for International Intellectual Property Enforcement
DOJ ENFORCEMENT UPDATE DHS SEIZURES STATS
· Building on the 38% increase in indictments filed from its IP investigations for 2003- FY 2005 FY 2006
`05, in `06 the FBI increased the number of charged defendants in its cases by Seizures - 8,022 Seizures - 14,675
another 30% (from 145 in `05 to 191 in `06). The number of FBI arrests in IP cases USD Value - $ 93,234,510 USD Value- $155,369,236
increased by nearly 40% in `06 (144, up from 104 in `05), and increased the number FY05 Country Domestic Value % of Value
of convictions in those cases by more than 50% (from 124 in `05 to 187 in `06). $ 63,968,416 69%
China
CASES
$ 5,799,112 6%
· 2/20/07: (Alexandria, VA): In one of the first ever extraditions for an IP offense, DOJ Hong Kong
successfully extradited the leader of one of the oldest and most renowned Internet $ 2,118,409 2%
UAE
software piracy groups to the U.S. from Australia to face criminal copyright charges. $ 1,966,638 2%
The indictment against Hew Raymond Griffiths charges him with violating the India
criminal copyright laws of the U.S. as the leader of an organized criminal group $ 1,753,154 2%
Pakistan
known as DrinkOrDie, which caused the illegal reproduction and distribution of more $ 1,418,060 2%
than $50 million in pirated software, movies, games and music. Korea
· 4/9/07 (Boston, MA): In one of New England's largest counterfeit goods Russia
$ 1,377,835 1%
conspiracies, 4 Massachusetts residents were sentenced to terms of imprisonment $ 1,268,188 1%
ranging from 24 to 36 months for money laundering and trafficking and conspiring to Italy
traffic in more than $1 million of counterfeit luxury handbags and wallets. $ 1,091,873 1%
Taiwan
· 04/23/07 (San Jose): Fei Ye and Ming Zhong are scheduled to be sentenced $ 780,644 1%
following guilty pleas to charges that each committed economic espionage on behalf Vietnam
of a Chinese company they had founded and the government of China. The $11,692,181 13%
All Others
defendants were initially stopped at San Francisco International Airport for stealing
trade secrets from Sun Microsystems, Inc. and Transmeta Corporation. These FY06 Country Domestic Value % of Value
convictions are the first under the section of the Economic Espionage Act prohibiting $125,595,844 81%
the theft of trade secrets to benefit a foreign government or foreign instrumentality. China
Detailed summaries of these and other IP prosecutions can be found at: $9,389,464 6%
Hong Kong
http://www.cybercrime.gov/ip.html. $1,843,764 1%
Taiwan
ICE INVESTIGATIONS STATS Pakistan
$1,838,815 1%
Arrests Indictments Convictions $1,810,140 1%
Korea
FY 2001 114 103 107 $1,198,735 Less than 1%
Singapore
FY 2002 130 53 141 $1,174,071 Less than 1%
Malaysia
FY 2003 118 85 72 $983,425 Less than 1%
Indonesia
FY 2004 252 169 110 $832,541 Less than 1%
India
$535,826 Less than 1%
FY 2005 172 73 99 Mexico
$10,166,611 7%
FY 2006 219 134 170 All Others
Totals 1005 617 699
Office of the U.S. Coordinator for International Intellectual Property Enforcement