Battling Fraudulent Product Substitution (ACFE Jan-Feb 2023)

“Fraud fighters have long been aware of the dangers of product substitution and counterfeit parts in military equipment. But global supply chain shortages and the U.S. armed forces’ need for obsolete parts have exacerbated the problem. Here a former NCIS agent talks about his experience and how a more proactive approach can help.” …

Battling fraudulent product substitution, by Stewart Thompson, CFE

Fraud Magazine (January/February/2023), a publication of the Association of Certified Fraud Examiners, Austin, TX, © 2023

Posted with permission of the Association of Certified Fraud Examiners

Thank You

After a long and rewarding career in the aerospace and defense industry, I will be retiring this summer.

I am grateful for the collaboration and friendship I shared with so many of you in addressing challenges in semiconductor reliability, obsolescence, and counterfeit parts avoidance. I truly believe the work we did together over these many years made a difference and will have a lasting positive effect.

Very fond regards and gratitude to all of my colleagues.

Henry Livingston

Counterfeit Avoidance and Detection Standards for Hardware Products

Here is an update …

Counterfeit Avoidance and Detection Standards for Hardware Products

AS5553D has been published

AS5553D – Counterfeit Electrical, Electronic, and Electromechanical (EEE) Parts; Avoidance, Detection, Mitigation, and Disposition has been published. …

http://www.sae.org/technical/standards/AS5553D

EUROPOL: INTELLECTUAL PROPERTY CRIME THREAT ASSESSMENT 2022

“The growing global shortage of semiconductor chips is linked to the high demand for digital devices and manufacturing problems that emerged during the COVID-19 pandemic … The electronics industry is facing a considerable demand for computers, components, mobile phones, tablets, gaming consoles and other devices. Counterfeiters may try to exploit this demand and supply shortages by introducing counterfeit semiconductors such as diodes to the market. Supply chains are global and vulnerable to the introduction of counterfeits since typically several distributors handle components before they reach the manufacturing sites. … Disruptions in supply chains and the possible introduction of counterfeit components has the potential to cause serious failures in critical infrastructures. Semiconductors are an integral part of critical systems used in the healthcare sector, transport, defense, and trade. The risk of privately used electronic devices being affected is also high. Additionally, counterfeit electronic devices may also feature malware and other harmful software, adding the risk of data theft.”

More at EUROPOL

Counterfeit parts found in U.S. nuclear plants -inspector general (Reuters)

“WASHINGTON, Feb 10 (Reuters) – Counterfeit parts have been discovered in U.S. nuclear plants, potentially increasing the risk of a safety failure, the inspector general of the federal nuclear industry regulator said in a report released on Thursday. …”

More at Reuters

Call for Abstracts – CALCE/SMTA Counterfeit Symposium: 2022

” … This long-running symposium continues to provide information that addresses the supply chain concerns of today while planning for a different business and technology environment in the future. Counterfeiting of technology-based products, through compromise of physical materials, software alteration through cyberattack, as well as tampering with IP such as design data or Bill of Materials, needs to be addressed if we are to build products on which we depend for safety and security. … “

More here

Intersections of Illicit Trafficking and Counterfeit Parts Workshop

On Thursday, October 28 at 10:30 a.m. ET, START and the Center of Advanced Life Cycle Engineering (CALCE) will co-host the Intersections of Illicit Trafficking and Counterfeit Parts Workshop, sponsored by the National Science Foundation (NSF). This event is free and open to the public, but RSVPs are required. …

More here.

Registration now open for Symposium on Counterfeit Parts and Materials 2021 Technical Program – August 3-4, 2021

The program for the Symposium on Counterfeit Parts and Materials 2021 is organized by SMTA in conjunction with CALCE has been announced. …

Symposium on Counterfeit Parts and Materials 2021 Technical Program

Chip Shortage Has Spawned a Surplus of Fraudsters and Fake Parts – WSJ

I think we saw this coming …

Chip Shortage Has Spawned a Surplus of Fraudsters and Fake Parts