Chinese coffee company Shuangshan Food (Xiamen) Co Ltd has been accused of selling counterfeited Starbucks products in a public-interest litigation suit filed by the consumer council.
Shuangshan Food who have previously been prosecuted and fined 10.4 million yuans for the sale of counterfeit coffee, are now facing the highest ever demand for compensation in a public-interest litigation suit in China for a total of 21 million yuan (£2.4 million).
The counterfeit coffee company were exposed following an investigation made by the Wuxi based Market Regulation Department. The department confirmed that the investigation found that Shuangshan Food have, for a number of years, sold counterfeit Starbucks products to over 50 merchants around the country. In the lawsuit the company are also accused of forging authorisation and customers documents in a bid to sell the copy-cat coffee to Starbucks merchants.
The Wuxi Intermediate People’s Court who accepted the case in late October are yet to determine how the compensation will be distributed.