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Online Retailer Cited for Sale of Illegal Smartphones

A California online retailer of electronic products has been cited by the U.S. Federal Communications Commission (FCC) for importing and marketing counterfeit smartphones that falsely claimed FCC certification.

According an FCC investigation, Panasystem Corporation imported counterfeit Samsung and Blackberry smartphones bearing identifier labels indicating compliance with the FCC equipment authorization process. However, the identifier labels were either invalid or unauthorized, making it illegal to market the phones in the U.S.

FCC regulations require that smartphones be certified as compliant with FCC technical standards before being marketed for sale in the U.S. In addition, certified smartphones must be labeled with a unique FCC Identifier that verifies a product’s certification. Violation of these requirements can result in financial penalties of up to $16,000 for each model per day for each violation. Continued violations can also result in seizure of uncertified equipment and criminal sanctions, including imprisonment.

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Under the terms of the Citation, Panasystem must immediately cease the importation and marketing of unauthorized devices, or be subject to further FCC enforcement action.

Read the complete text of the Commission’s Citation and Order regarding an online retailer importing and marketing counterfeit smartphones that falsely claimed FCC certification.

 

 

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