Labeling as 'Sonsejeongje', advertising as 'Sonsodokje'... Gang arrested for manufacturing and selling unlicensed products

Busan Gijang Police Station Arrests CEO for Manufacturing 420,000 Units Falsely Claiming 'US FDA Approval' and Selling 200,000 Units Worth 1.6 Billion KRW

A group was caught selling products labeled as hand sanitizers but made with ingredients like ethanol, deceiving consumers into thinking they were COVID-19 disinfectant products on a portal shopping mall.
[Image source=Busan Police Agency]

[Asia Economy Yeongnam Reporting Headquarters Reporter Kim Yong-woo] A group producing and selling 420,000 unauthorized hand sanitizers in Busan amid the COVID-19 outbreak has been caught.

On the 26th, the Busan Gijang Police Station arrested Mr. A (in his 40s, representative), who falsely claimed that the unauthorized hand sanitizers were approved by the US FDA and sold them through online shopping malls, and booked Mr. B (in his 50s) without detention.

To manufacture quasi-drugs such as hand sanitizers, one must have the necessary facility standards, report the manufacturing business to the Minister of Food and Drug Safety, and obtain approval.

According to the police, from February to March, as COVID-19 rapidly spread and hand sanitizer supply was insufficient, Mr. A and others took advantage of the situation to manufacture 420,000 unauthorized hand sanitizers worth approximately 3.4 billion KRW using ethanol and purified water at factories nationwide.

The manufactured products were falsely labeled and advertised with FDA approval marks on the packaging as if they had US FDA approval, and about 200,000 units worth 1.6 billion KRW were sold at 8,000 KRW each through portal shopping malls.

After obtaining information, the police staked out near the manufacturing factory and arrested Mr. A and others. On the 19th, Mr. A was detained on charges of violating the Pharmaceutical Affairs Act for manufacturing without permission and false advertising.

The police plan to destroy all 220,000 products seized from the manufacturing factory.

During the police investigation, Mr. A and Mr. B claimed that the products sold were not hand sanitizers but hand cleansers, which are reported products similar to general cosmetics. However, based on analysis by the National Forensic Service and responses from related departments, it was confirmed that they illegally sold the products without approval from the Ministry of Food and Drug Safety, advertising sterilization effects.

Although the product packaging was labeled as hand cleanser, tests confirmed the presence of ethanol, a raw material for hand sanitizers. Hand sanitizers affect the human body and must be reported to the Minister of Food and Drug Safety and receive manufacturing approval for each item.

The police believe that because labeling the product as hand sanitizer would classify it as a quasi-drug subject to Ministry of Food and Drug Safety crackdowns, the products were labeled as hand cleansers to distribute them illegally.