Republic Brands recently won a multi-million dollar judgment in a federal lawsuit against Amin “Monty” S. Hudda and his distribution company Star Importers & Wholesalers, Inc. (“Star”) and Samadali Lakhani and his distribution company ZCell & Novelties (“ZCell”), involving their sale of counterfeit rolling papers.
On March 14, 2023, an Atlanta federal jury awarded Republic Brands and its affiliates $2.3 Million in damages against Georgia-based wholesalers Star and ZCell. Their owners, Monty Hudda and Samadali Lakhani, were also found to be personally liable for the infringement and counterfeiting of Republic Brands’ TOP® and JOB® trademarks.
This most recent victory reflects Republic Brands’ commitment to safeguarding consumer trust in the industry. In the last two years, Republic Brands has obtained judgments against four wholesale companies operating in Georgia and their respective owners for personal liability for engaging in illegal infringing activities and selling counterfeit goods. Republic Brands has also been successful in the last several years in achieving criminal and civil judgments against counterfeiters in Texas, Tennessee, Illinois, Virginia, Nevada, and elsewhere.
“As the world’s leading rolling paper company, we take our responsibility to consumers seriously. On behalf of the industry, we are committed to investigating and stopping the sale of counterfeit rolling papers to protect not only our customers but the consumers that have come to depend on the authenticity and quality of our products,” Republic Brands CEO Don Levin said. “Unfortunately, counterfeit rolling papers, which mostly originate in China, aren’t all that uncommon. However, this verdict is a warning that not only will counterfeiters’ companies be held accountable, but their owners will also.”
Consumer trust is just one of many issues with counterfeit rolling papers. In independent testing, Republic has found unknown or unexpected ingredients in counterfeit papers, including heavy metals and the synthetic compound, Poly-vinyl acetate (PVA, an industrial chemical adhesive), instead of the natural acacia gum used by Republic Brands. Additionally, by continuing to engage in counterfeiting activities, manufacturers and distributors of counterfeit papers have shown that they don’t care about the dangers to consumers posed by unknown ingredients found in counterfeit papers, poor manufacturing conditions in which the counterfeit papers are made, environmental pollution caused by counterfeit manufacturers, and dangerous labor conditions found in counterfeit manufacturing locations.
“Republic is currently working with investigators, law enforcement agencies, and U.S. customs and border patrol to stop the trade of counterfeit rolling papers. We continue to pursue criminal actions and civil seizures of counterfeit products, and we anticipate additional actions and seizures soon,” continued Levin. “Protecting consumers and law-abiding distributors from counterfeit products remains an ongoing priority.”
