ORLANDO, Fla. — An Orlando man was sentenced Thursday to 30 months in federal prison for trafficking in counterfeit goods following an investigation by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
According to court documents, between March 26, 2009, and Aug. 26, 2011, Dale Anthony Borders, 38, used his company, 5A Novelty, to import pirated DVDs bearing Disney, Zumba and Beachbody trademarks into the United States. During that time, approximately 80 parcels containing pirated items were shipped to Borders.
In March 2011, Beachbody served Borders and 5A Novelty notice that 5A Novelty was not a designated or approved retailer or distributor of Beachbody products. Beachbody also advised 5A Novelty of copyright laws that prevent the unauthorized use of trademarks. Beachbody and eBay shut down the 5A Novelty website three times. Each time, Borders re-established the website.
On Aug. 18, 2011, U.S. Customs and Border Protection officers in Cleveland, Ohio, seized one box of pirated Beachbody exercise DVD boxed sets addressed to Borders' Orlando residence. HSI special agents subsequently interviewed Borders at his residence. Borders gave the special agents pirated Beachbody and Zumba exercise DVDs. He said he did not have any additional DVDs or pirated items and did not have any pending orders. However, an HSI special agent conducted an inspection Aug. 29, 2011, at the Orlando DHL distribution hub. There, the special agent found and seized two boxes of pirated Beachbody and Zumba exercise DVD boxed sets (60 units) intended for Borders. The shipping invoice listed the items as "Teaching Materials" and "Learning Materials."
"Borders blatantly committed intellectual property theft, selling products that were trademarked by Beachbody, Disney and Zumba," said Susan McCormick, special agent in charge of HSI Tampa, which oversees the agency's Orlando office that investigated this case. "This is not a victimless crime. Intellectual property theft costs U.S. businesses billions each year and accounts for the loss of hundreds of thousands of jobs."
Borders pleaded guilty Nov. 29.