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March 15, 2001 BACK   Print   Email

U.S. Secret Service, RIAA Break Up Massive NY Area Counterfeit Music Operation

Search Warrants Uncover Scores of Illegal CDs and Manufacturing Equipment

New York, NY - The U.S. Secret Service, assisted by the Recording Industry Association of America’s (RIAA) New York Anti-Piracy Unit, executed two search and seizure warrants in Queens and Manhattan resulting in the break up of a massive counterfeit music operation. Approximately 20,000 recorded CD-Rs and 1,200 masters were seized from both the Queens and Manhattan locations. The actions were taken on March 8, 2001.

Equipment seized from the Queens location included 102 eight-speed CD-R burners, nine computer monitors, four computers, three thermal imprinters, two paper-cutting machines, two laptops, two industrial color copiers, and two industrial shrink-wrap machines. The music genre seized was primarily Urban Contemporary, Latin, and Pop, and included artists such as Tito Puente, Julio Iglesias, Santana, Jay-Z, Jennifer Lopez, and the Beatles.

“On behalf of our member companies and the artists they represent, I’d like to thank the U.S. Secret Service for the tremendous efforts they put forth to address this highly egregious operation,” said Frank Creighton, Senior Vice President, RIAA Anti-Piracy Unit. “A seizure of this magnitude could not have been achieved without their timely and professional investigation and dedication of precious resources. For that, we are extremely grateful.”

This illegal operation had the potential to produce almost three million illicit CD-Rs a year. The estimated yearly loss of revenue to the recording industry due to this operation would have been in excess of $ 47 million.

Charges are currently pending against the two individuals involved in the operation.

The RIAA is a trade association whose members create, manufacture and/or distribute approximately 90% of all legitimate sound recordings produced and sold in the United States. The Anti-Piracy division of the RIAA investigates the illegal production and distribution of sound recordings that cost the music industry hundreds of millions of dollars a year domestically. Consumers, retailers and replicators can report suspected music piracy to the RIAA by dialing a toll-free hotline, 1.800.BAD.BEAT, or sending email to badbeat@riaa.com or cdreward@riaa.com.

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The Recording Industry Association of America (RIAA) is the trade organization that supports and promotes the creative and financial vitality of the major music companies. Its members are the music labels that comprise the most vibrant record industry in the world. RIAA® members create, manufacture and/or distribute approximately 85% of all legitimate recorded music produced and sold in the United States.

In support of this mission, the RIAA works to protect the intellectual property and First Amendment rights of artists and music labels; conduct consumer, industry and technical research; and monitor and review state and federal laws, regulations and policies. The RIAA® also certifies Gold®, Platinum®, Multi-Platinum™ and Diamond sales awards as well as Los Premios De Oro y Platino™, an award celebrating Latin music sales.

Contact:
Jonathan Lamy
Cara Duckworth
Liz Kennedy
202/775-0101