Source: Tom's Guide US | Keywords: Intel, Guilty, PC, Navy, Chips | Themes: Desktop Computers, Business
A California man faces 51 months in prison for selling fake chips to the Navy.
One has to wonder about a man who thinks he can get away with selling thousands of counterfeit chips to the U.S. Navy. Apparently, 32-year-old Neil Felahy of Newport Coast, California had that kind of mentality, and has now pleaded guilty to conspiracy and counterfeit-goods trafficking. The alleged chip-counterfeiting scam took place between 2007 and 2009, and included Felahy's wife and her brother.
According to this press release from the U.S. Department of Justice, the trio sanded off the brand markings of cheap chips and melted the plastic casings with acid to make them appear like rival brands or better models of the original brand. The group also used counterfeit chips as well, and applied the same process to make them appear as high-quality chips.
The Department of Justice said that the trio performed the operation under various names including MVP Micro, Red Hat Distributors, Force-One Electronics and Pentagon Components. The trio also racked in big bucks, importing more than 13,000 counterfeit chips worth more than $140,000 USD. Their portfolio of counterfeited chips included fake versions of Intel, Fujitsu, Analog Devices, VIA, and National Semiconductor.
Apparently, the operation was discovered via the U.S. Navy: the trio sold the fake chips to the Naval Sea Systems Command, the group responsible for maintaining the U.S. Navy's ships and systems. Felahy now faces up to 51 months in prison and fines totaling in the millions. He entered his guilty plea on the condition that the charges would be dropped against his wife.
Meh, we hate generic chips... unless they're on sale, that is.
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Wow...some people.
Dude, I was wondering how you fake a potato chip. Oh well.
If lose lips sinks ships, and what happens to all the seamen? These guys are going to find out!!! just kidding
They in all likelihood will end up in some federal resort style penitentiary and serve out the sentence playing racquetball.
My personal feeling is these guys should be punished hard, but knowing how broken the system is they will receive very light punishment.
I dont give a crap about him selling those to the US navy cause US navy spends way much more to way more things.. The reason why i hope he gets screwed for this is cause I can only imagine how many poor small stores or whatever he has sol those to and got away with..
how stupid can you be?
I didn't know it wasn't real potato chips until I read that.
Dude, I was wondering how you fake a potato chip. Oh well.
Pringles.
I'm so confused as to what type of chip we are talking about.
Since when was VIA a premium chip?
i was thinking pc chips for some reason.. Not potatoes..
Since when was VIA a premium chip?
since when did via have a chip worth counter-fitting?
"Dude, these aren't Doritos!"
and it took two years for the navy to figuire it out? i can deal with stupid individuals, but i start to worry when it involves the military being stupid
Dude, I was wondering how you fake a potato chip. Oh well.
me too
Hmmm....Do I see third world corruption seeping into the U.S Navy? Question is did they catch it abroad or is it home grown? Come on there was got to be an insider in this.
and it took two years for the navy to figuire it out? i can deal with stupid individuals, but i start to worry when it involves the military being stupid
This is a perfect example of beaurocracy in action. Too many people behind desks slows the entire system to a crawl. It's like that all throughout the government.
Pringles.
Or peel and bake potatoes yourself!
Perhaps purchase large quantities of cheaper noname branded chips,and design bags of some known brands, but that process in itself would hardly bring any profit.
I'm shocked that they are not facing more time behind bars, as one would figure that it has something to do with national security.
Didn't a guy face possibly 20 years just for selling modified modems?
140000/13000=10.76 a chip. Sounds like a steal to me anyway you slice it.
Why does the Navy not buy direct from the manufacturer, what is the fascination we have with middle-men?
These weren't parts for the space shuttle they are current chips, buy direct.
The Navy was asking for this kind of crap by not buying from the manufacturer.
lol those rippled chips
POTATO CHIPS!!!!!!!!!! i thought they were electronic chips >_
Potato chips? Is that what you are feeding your army with? No wonder why you loose in Iraq and Afghanistan and maybe even in Vietnam...
The Roman army ate beans! Real men eat beans and don't allow chicks and gays in the army - that's why they win their wars!
Check what real men eat! (Oh, well, US army is full of chicks) The Gladiator's main food was BEANS!!!
Yeah, these are simple historical facts! And when facts speak even Gods remain silent!
I'm so confused, is it electric chip or potato chip?
"Their portfolio of counterfeited chips included fake versions of Intel, Fujitsu, Analog Devices, VIA, and National Semiconductor."
Does Intel, Fujitsu, or any of these other companies make potato chips? Seriously people, so many people comment on the author(s) of this page making a typo error, but when there is something like this, you cannot figure out that they are talking about computer chips? Wow.
"Their portfolio of counterfeited chips included fake versions of Intel, Fujitsu, Analog Devices, VIA, and National Semiconductor."
Does Intel, Fujitsu, or any of these other companies make potato chips? Seriously people, so many people comment on the author(s) of this page making a typo error, but when there is something like this, you cannot figure out that they are talking about computer chips? Wow.
It does seem very lenient, when some thing like national securaty is put at fisk for the sake of raking in a few thouhsand dollars.
It also beggers belife that it took the navy QM sot to realise the stock in the stores wasnt fit for purpose! I tought only our British forces done that!
and it took two years for the navy to figuire it out? i can deal with stupid individuals, but i start to worry when it involves the military being stupid
It said the navy caught it but didn't say that how long. It looks like they caught it right away before it even got in their supply chain, you would have seen that if you read the article.
As for the other places that got duped I dunno shit happens, they got the guys thats all that matters.
put the assholes in jail where they belong.it would be a shame to find out one of our servicemen died or were injured because of low lifes like these fools.
Yea, I thought it was potato chips too until waaay at the end. Although I get asking myself how plastic potato chips got sold without someone tasting one, lol
"Military intelligence is a contradiction in terms." - Groucho Marx