Distributor of misbranded drugs and drug paraphernalia sentenced to 6 months
MILL CREEK, Wash. – A Mill Creek man, who pleaded guilty in March, was sentenced Friday to six months in prison for illegally importing drug paraphernalia and misbranded drugs following an investigation led by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
Jae Seon Yoon, 56, was convicted for his role in a scheme to import and distribute drug paraphernalia and other goods with counterfeit markings that made them appear to be from established suppliers. Yoon was the president or vice-president of multiple companies that did business in Washington over the years, including J&J Inc., Smomax Inc. and Three People Corp., which were doing business as Top Wholesale Inc., Smomax Inc. and Cigar USA, respectively.
“Shutting down this individual’s lucrative business not only protects the business owners’ intellectual property rights, it keeps potentially hazardous materials and substances out of the hands of the unsuspecting,” said Brad Bench, special agent in charge for HSI Seattle. “Our HSI special agents and law enforcement partners are steadfast in their efforts to combat the importation and sale of drug paraphernalia and counterfeit goods.”
In June 2015, law enforcement executed search warrants at Yoon’s operations, seizing 200,000 items of drug paraphernalia, more than 10,500 “sex pills” claiming to enhance sexual prowess and hundreds of packages of spice which tested positive for controlled substances. Additionally, more than 50,000 counterfeit items were seized, including Seattle Seahawks and other NFL team logo stickers, Hello Kitty logo items, e-cigarettes and chargers bearing false safety markings.
Yoon imported drug paraphernalia from China, sometimes via Canada, by marking the shipments as vases, laboratory glassware or oil and vinegar dispensers. While the items were made in China, they were falsely marked with logos of companies that manufacture similar goods in Germany and Canada.
It took more than four extended-length semi-truck trailers to remove all of the contraband and counterfeit merchandise.
As part of the probe, HSI special agents also seized nearly $800,000 in criminal proceeds – including $647,900 in cash that was hidden in a safety deposit box rented in someone else’s name. Revenue agents from the State of Washington assessed a fine in excess of $30 million for Yoon’s sales of untaxed tobacco and other tobacco products since 2011.
U.S. Customs and Border Protection (CBP), the Washington State Liquor and Cannabis Control Board and the Food and Drug Administration (FDA) Office of Criminal Investigations assisted HSI in the investigation. The U.S. Attorney’s Office for the Western District of Washington prosecuted the case.
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