Possible fraud by mall retailer

HARRISONBURG — An Apple Blossom Mall retailer is facing allegations of selling counterfeit goods.

New York City-based Coach Inc. and Coach Services Inc. filed a lawsuit Monday in U.S. District Court in Harrisonburg alleging that Huong Ngoc Nguyen — owner and operator of Europe Nails and Perfect Nails — knowingly sold counterfeit Coach products.

According to the lawsuit, on July 19, investigators for Coach and Virginia State Police officers searched the stores and allegedly found a combined 40 counterfeit Coach handbags and 23 counterfeit Coach wallets.

Nguyen did not return messages left at both Europe and Perfect Nails Wednesday.

Coach — which makes, markets and sells products including handbags, wallets, accessories, eyewear, footwear, jewelry and watches and has annual global sales that exceed $3 billion — is requesting $2 million per trademark infraction, according to the lawsuit.

The company also requests all profits from any previous sales of allegedly counterfeit Coach products.

The complaint alleges that Nguyen of Bunker Hill, W.Va., “had full knowledge of the counterfeiting activity taking place at her property” and that Nguyen was trying to capitalize financially by infringing on the Coach trademark.

Coach asks that the court immediately stop the two stores from manufacturing, importing, advertising or selling any products that bear its trademark, and deliver to it any counterfeit Coach products.

The Coach merchandise wasn’t the only allegedly counterfeit brand allegedly discovered on July 19.

According to search warrants, a combined 7,500 allegedly counterfeit products were seized that day by police from the Dollar & Up Store, Europe Nails and Perfect Nails,

— Contact Conor Gallagher at cgallagher@winchesterstar.com