SUHO, South Korea — A South Korean beauty supply chain has been raided by US authorities and accused of selling fake beauty products online.
According to a report by ABC News, a US customs inspection in the South Korean city of Suho found more than $40,000 worth of fake products in the store, and the Department of Homeland Security said it was investigating the business.
In its statement, the US Customs and Border Protection said it had been notified about a “suspicious activity” in Suho in February.
“Customs has taken swift action to investigate this case and is working with local authorities to seize counterfeit goods and return them to the U.S.,” it said.
On Monday, U.K. authorities seized a shipment of 20,000 beauty products in a customs raid.
U.K.-based cosmetics retailer Suho said the items were not counterfeit but it is cooperating with authorities.
The company said it has suspended sales and was “in the process of removing” products.
The raids came after a report in April from the Consumer Product Safety Commission, which said counterfeit beauty products were being sold on the Internet.
The report said the fake products were made in China.
According the agency, in 2015, UBS, China’s largest brokerage, was fined $25 million for a similar crackdown.
Earlier this year, a U.N. agency found that South Korean cosmetics company Suho was selling fake products on the U-verse internet shopping platform, according to Reuters.