A tech CEO from Miami named Onur Aksoy, also known as Ron Aksoy and Dave Durden, has been sentenced to more than six years in prison for selling fake Cisco equipment on a large scale. Aksoy admitted guilt in June 2023 for charges like conspiracy, mail fraud, and wire fraud. He ran a network of 19 companies and online stores from 2013 to 2022, where he sold counterfeit Cisco products worth over $1 billion.
These companies, known together as Pro Network Entities, sold fake networking gear on platforms like Amazon and eBay. As part of his plea deal, Aksoy has to pay $100 million in restitution to Cisco and other victims.
Counterfeit equipment, distributed to both government and private sector entities, penetrated critical infrastructure, posing significant risks to operations. This included compromising sensitive U.S. government systems utilized by branches such as the Navy, Air Force, and Army. The infiltration of fake parts jeopardized the functionality of vital equipment, including fighter jets, bombers, helicopters, and maritime patrol aircraft.
Moreover, the ramifications extended beyond military installations, as schools and hospitals unknowingly grappled with the consequences of the substandard equipment. Often experiencing malfunctions or complete failures post-installation, these institutions faced disruptions to their operations, highlighting the widespread impact of the counterfeit products on both public and private sectors.
Aksoy’s fraudulent actions were detected by U.S. authorities and Cisco back in 2014. Despite efforts to stop his operations and seize counterfeit shipments, Aksoy continued his scheme with the assistance of Chinese suppliers. These suppliers would alter used or discarded Cisco products to look real and install unauthorized software.
The sentencing aimed to send a strong message due to the extensive nature of the operation and the potential harm it caused. Vikas Khanna, the U.S. attorney, highlighted the large scale of the counterfeit scheme, holding Aksoy accountable. Cisco has faced challenges in recent years due to disruptions in its supply chain, making it more susceptible to counterfeit activities.
