Chinese authorities have dismantled an elaborate fake wine operation in Beijing that involves the production and selling of made-to-order top wines including specific vintages of Bordeaux first growths, underscoring a worrying trend that counterfeiters are becoming more sophisticated in their deception.

The operation, which came to light in mid-November following a tip-off, revealed a sophisticated network of fraudsters who are adept at producing top Bordeaux including Chateau Lafite Rothschild and Chateau Mouton Rothschild of specific vintages on demand.

Investigators have found that the counterfeits would recycle expensive wine bottles and refill them with lower-priced wines. Led by a main suspect identified only as Zhang, the group of counterfeiters operating from a courtyard in Fangshan district would purchase empty high-end wine bottles for as much as RMB 500 each (US$70.5). These bottles were then refilled with wines costing around RMB 300 and sold for over RMB 1,000 a bottle – a steep discount from their genuine market value exceeding RMB 7,000.

Bottles and materials discovered in the police raid (pic: Beijing police)

The police have not disclosed how the counterfeiters obtained the authentic empty bottles. However, it’s not uncommon for some restaurants and hotels to resell bottles for profit.

During the raid, police discovered 15 finished bottles of unidentified high end wines including Lafite and Petit Mouton, the second label of Chateau Mouton Rothschild, along with batches of counterfeit materials.

A notable and disturbing facet of this operation was the bespoke form of deception. The fraudsters didn’t just replicate expensive wines; they offered a customized service, creating specific vintages of renowned Bordeaux first growths on demand based on client’s requests, according to police.

The strategy of accepting advance orders for specific vintages is a significant departure from traditional mass production of counterfeit wines. This “made-to-order” approach not only reduced the risks associated with mass production and storage but also catered to specific demands, further entrenching the deception.

The strategy of accepting advance orders for specific vintages is a significant departure from traditional mass production of counterfeit wines. This “made-to-order” approach not only reduced the risks associated with mass production and storage but also catered to specific demands, further entrenching the deception.

The fraudsters would dye the corks on purpose to mimic the process of ageing (pic: Beijing police)

During the raid, police also uncovered the use of dyes on corks to mimic the aging process, a tactic designed to mislead even knowledgeable consumers. The darker stain on a cork typically indicates longer storage and, therefore, a more valuable wine, a detail expertly exploited by the counterfeiters.

It’s not clear how many of the fake wines produced thus far have been sold in the market.

Zhang is currently detained and is facing charges of selling goods with counterfeit registered trademarks, a crime that highlights the ongoing battle against sophisticated counterfeiting operations.