Hermès staff involved in faking scam

22/06/2012

Luxury leathergoods brand Hermes has sacked two employees who are suspected of being involved in counterfeiting.

The fraud was discovered using internal monitoring systems over the course of a year. This surveillance was part of an investigation into an international crime ring that robs the brand of millions of dollars every year.

Based on this surveillance, French reportedly police found illegal workshops in France containing high-quality leather hides and skins.

The ring, which is believed to have distribution outlets in Europe, the US and Asia, is thought generate up to EUR18million through one branch alone.

"This operation concludes a one-year investigation following an Hermès complaint based on clues and abnormal behaviour identified through the house's internal monitoring systems," the company told WWD. "Hermès is very satisfied with the efficient and diligent collaboration established with the national gendarmerie in this case and reiterates its relentless commitment to fighting counterfeiting. This action puts an end to the fraudulent project in progress."

In a recent interview, Hermès chief executive officer Patrick Thomas claimed that 80% of products sold online under the Hermès name are fakes.