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During a court ordered the raid of Supreme Factory Limited facilities over a three-day period, Nintendo representatives seized more than 10,000 game copying devices and mod chips. The game copying devices connect to the Nintendo DS and are used to copy and play game files offered unlawfully via the Internet. The mod chips allow the play of pirated Wii discs or illegal copies of Nintendo games downloaded from the Internet.

Nintendo maintains that more than 100 companies, including Nintendo as well as others that independently create, license, market and sell Nintendo video game products, lost an estimated $762 million in sales due to counterfeits in 2006.

The action was one of several that Nintendo has initiated over the years against game copiers and mod chips. In 2005, Nintendo was awarded more than $5 million in damages from the Hong Kong High Court against Lik Sang, a company responsible for the widespread distribution of game copying devices. In another case, a U.S. judge ordered Bung Enterprises to pay Nintendo $7 million in damages in connection with its involvement in manufacturing and distribution of such products.