U.S. Department of Justice - CyberCrime.gov Archived

Trademark - U.S. v. Qaza (Ghnaim) (E.D.N.Y.) (CDs & DVDs; also charged under copyright violation)

Two Brooklyn Men Indicted in Connection with Largest Seizure of Counterfeit DVDs in United States History (January 11, 2002)
DOJ Seal
January 11, 2002


U.S. Department of Justice
United States Attorney
Eastern District of New York
One Pierrepont Plaza
Brooklyn, New York 11201
Mailing Address:147 Pierrepont Street
Brooklyn, New York 11201

Two Brooklyn Men Indicted in Connection with Largest Seizure

of Counterfeit DVDs in United States History

ALAN VINEGRAD, United States Attorney for the Eastern District of New York, and STEVEN CAREY, Special Agent-in-Charge of the New York Office of the United States Secret Service, today announced the indictment of ABDULLAH QAZA and KHALID GHNAIM for copyright and trademark infringement in connection with the large scale manufacture and distribution of counterfeit compact discs (CDs) and digital video discs (DVDs). From March through December 2001, the defendants operated a distribution center out of a storefront on Myrtle Avenue in Brooklyn. The operation, which law enforcement officials estimate distributed thousands of counterfeit newly released CDs and DVDs weekly, was a principal source of supply for a network of outdoor flea market vendors in the metropolitan area. On December 13, 2001, agents of the United States Secret Service executed search warrants at the factory and a nearby storage facility where the defendants warehoused the counterfeit goods, effectively shutting down their enterprise. Law enforcement’s mid-December operation resulted in the largest seizure of counterfeit DVDs in United States history, with over 30,000 counterfeit movies and an equal number of counterfeit musical recordings with a total retail value of approximately $1 million.

In addition to mass-producing a wide variety of popular musical recordings from rock to rap, including popular recording artists like Santana, Jennifer Lopez and R. Kelly, the defendants distributed movies that were either newly released or soon to be released on DVD, including the Godfather Trilogy, Cats and Dogs, and the Grinch.

The defendants were arrested on a previously filed complaint. QAZA, who is 19 years old, was released on a $200,000 bond co-signed by family members. Defendant GHNAIM, who is 35 years old and is QAZA’s uncle, has been detained in federal custody since December 13.

The indictment charges QAZA and GHNAIM with copyright and trademark infringement and conspiracy, and seeks forfeiture of the assets of the defendants’ business. Both defendants face up to 10 years in prison and a $2 million fine if convicted.1

In announcing the indictment Mr. VINEGRAD stated, “The defendants’ arrests are the results of federal law enforcement’s redoubled efforts to coordinate with private industry to combat the widespread assault on the intellectual property of American business, in this case the recording and motion picture industries and the artists they promote.”

The defendants will be arraigned next week in United States District Court at the United States Courthouse, 225 Cadman Plaza East, Brooklyn, New York.

The government’s case is being prosecuted by Assistant United States Attorney Lauren Resnick, Deputy Chief of the district’s Computer Crimes and Intellectual Property Section.

Pedigree information for the defendants is as follows:

Name: ABDULLAH QAZA

DOB: 9/23/82

Residence: 17 Madison Street, 4th Floor

Brooklyn, New York

Name: KHALID GHNAIM

DOB: 4/1/68

Residence: 17 Madison Street, 4th Floor

Brooklyn, New York


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