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Scam pattern
Fake Factory Scam
A 'factory' that is actually a trading reseller — or doesn't exist at all.
Risk signals
- Stock photos used as 'factory photos'
- Refuses live video tour of the production floor
- Address resolves to a residential building or virtual office
Real case example
A buyer paid a 30% deposit to a 'manufacturer' of LED panels. Later inspection found the registered address was a co-working desk; production was being brokered to a third-tier workshop.
Warning signs
- No matching factory license number
- Different company name on invoices vs. website
- Sales rep can't answer basic production questions
Prevention
- Request a live video tour of the factory floor
- Verify factory address through an on-site visit or 3rd-party check
- Match company name across business license, bank account, and invoice