Oakley Says Counterfeiting Arrests Tripled Last Year

Sunglasses maker Oakley Inc. said Wednesday that law enforcement officials arrested a record 663 people last year for counterfeiting its products, nearly triple the number of arrests in 2000.

The value of knockoffs seized by authorities more than doubled to $24 million, the Foothill Ranch company said.

Oakley, which has been battling counterfeiters for years, said authorities overseas began arresting suspects in counterfeiting operations last year. One-third of last year’s arrests were outside the U.S., spokesman Gar Jackson said.

Oakley attributed the jump in the number of arrests to closer cooperation with law enforcement agencies both in and outside the U.S., including stronger efforts to educate and train them to identify counterfeit products.

“The counterfeit stuff is just junk, and we don’t want consumers buying junk that has the Oakley name and logo on it,” Jackson said.

Oakley is more aggressive than any other sunglasses manufacturer in protecting its products, said Eric M. Beder, an analyst with Ladenburg Thalmann & Co. The sporty shades sell for as much as $400, and the company has 600 patents and 800 trademarks worldwide.

Despite the increase in arrests and confiscations, Oakley has made only a dent in the counterfeit market, said Vance Lommen, the company’s director of legal affairs and security. He said more than half of the Oakley knockoffs come out of China, which has ignored Oakley’s pleas for a crackdown.

Lommen said he plans to visit China this week to discuss the company’s concerns.

Oakley shares closed at $15.89, down 31 cents, on the New York Stock Exchange.