Chamber Praises New Senate Anti-Counterfeiting Bill

WASHINGTON, D.C.—The United States Chamber of Commerce and the Coalition Against Counterfeiting and Piracy (CACP) praised Sens. Arlen Specter (R-PA) and Patrick Leahy (D-VT) for introducing S.1699, The Stop Counterfeiting in Manufactured Goods Act of 2005. This legislation closes the loopholes that allow counterfeiters to avoid prosecution and profit from illegal activities.

"It is crucial that federal laws keep pace with the growing sophistication of counterfeiting activities in this country," said Mike Zaneis, Chamber director of Congressional and Public Affairs. "Without adequate laws to aid in prosecution, these criminal acts will continue to hurt American businesses and our economy."

S. 1699 strengthens anti-counterfeiting laws by prohibiting the trafficking in counterfeit labels, patches, stickers, hang tags, or medallions that are unattached to goods. In addition, the bill makes mandatory the forfeiture and destruction of counterfeit goods, as well as the assets used to produce, package, and distribute them. It will also require the forfeiture of property and assets derived from counterfeiting.

Internationally, the World Customs Organization and Interpol estimate that the annual global trade in illegitimate goods has increased from $5.5 billion in 1982 to roughly $600 billion today, and it continues to grow. Counterfeiting costs U.S. businesses as much as $250 billion every year and results in the loss of 750,000 jobs, according to the Chamber.

"The cost to the economy and to American jobs is enormous," said Paul Fox, Director of External Relations for Gillette Corp. and Chairman of CACP, the leading coalition devoted to stopping the trade in counterfeit products. "This bill will go a long way toward reversing the serious economic damage counterfeiting causes and will protect Americans from unsafe products."

The Senate bill is a companion to H.R. 32, which unanimously passed the United States House of Representatives on May 23, and it is aimed at combating counterfeiting abroad and addressing concerns that organized criminal groups and terrorist organizations are involved in counterfeiting schemes.

The Chamber of Commerce is the world's largest business federation representing more than three million businesses and organizations of every size, sector, and region.

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