Nagercoil association cracks gray market

Two persons claiming to be from Uttar Pradesh have been caught selling fake
pen drives in Nagercoil. The fraudsters were caught by Kanyakumari District
Computer Dealers Association (KKDCDA), Nagercoil. Umar Farokk and Sajid Ahmad
were caught while trying to sell 32GB Kingston pen drives for Rs 1,500 to Delta
Computers in Nagercoil and were fined for their involvement in fraudulent
activity in the region and supplying gray products.

Sharing the details of how the fraudsters were caught, S Subramonian,
President, KKDCDA, Nagercoil said, “Last Saturday, two people came to one of our
member's shop and offered a 32GB Kingston USB drive for Rs 1,500. We had
instructed all our members about the implications of buying or selling gray
products, during our regular meetings. Subash of Delta Computers along with
other friends caught the two people and informed the association.”

The association confiscated nearly 50 USB drives worth many thousands and
destroyed them immediately. “Even executives from Kingston had no idea what to
do with the materials, so we decided to destroy it. We have also imposed a fine
of Rs 10,000 on the duo for indulging in fraudulent activity in the region. The
amount will be used for association activities. Besides that we have also taken
a letter from them stating that they were involved in selling duplicate products
in the region and would never repeat it again,” informed Subramonian.

He requested the channel community to be aware of duplicate or gray products
and to buy materials with bill after checking the status of their VAT and
Channel Sales Tax Number.

The fraudsters were let off after paying the fine and their materials were
confiscated.