Privé Porter Insider Report: Alleged Hermès Boutique Insider Scam Rocks Detroit Luxury Scene

Privé Porter has learned of a developing legal case that could send shockwaves through the luxury retail world.

According to court filings and multiple firsthand reports, an assistant manager at the Hermès boutique in Detroit is alleged to have orchestrated an insider scheme involving the sale of counterfeit handbags under the guise of an “employees-only online shopping portal.”

The assistant manager, reportedly Balal Chaudhry, and a possible accomplice are named as defendants in a recently filed lawsuit:

Moubarak v. Hermès Inc., Case No. 25-015323-CB, Michigan Circuit Court (Wayne County), filed October 1, 2025.

The plaintiff, Ali Moubarak, of the Moubarek Law Firm, has confirmed that Hermès Inc. itself has been named as a defendant, though the luxury house is not accused of direct wrongdoing.

What Allegedly Happened

According to early reports from clients and boutique insiders:

The assistant manager told select Hermès clients that an “employees-only online portal” existed where they could buy Hermès bags at a special internal discount.
Buyers were instructed to pay privately—often by direct transfer—and were told that no boutique receipt would be issued.
Several victims allegedly paid significant sums, some exceeding $50,000, either for “access” or for the bags themselves.
Deliveries were reportedly handled outside the boutique, including personal drop-offs.
A growing number of recipients later discovered that the bags were counterfeit.

To date, at least 37 alleged victims have been identified, according to sources close to the case.

Hermès’ Role

While Hermès Inc. is named in the lawsuit, industry observers say it is highly unlikely that the company had knowledge or involvement in the alleged fraud.

A spokesperson for Hermès was not immediately available for comment. Insiders expect the company to cooperate fully and provide authentication records for any bags in question.

Privé Porter’s Statement

“As leaders in the Hermès secondary market, Privé Porter has always emphasized full transparency and chain-of-custody verification. This case underscores exactly why that matters.

When high-value handbags are transacted privately—without invoices, without boutique documentation—the risk to collectors can be enormous unless they’re buying from a trusted reseller — one who is an expert in the brand, has personally authenticated thousands of Hermès bags, and operates with documented provenance for every item sold.

At Privé Porter, our authentication process and reputation are built on over a decade of hands-on expertise, ensuring every client receives a piece that’s verified, traceable, and 100% authentic.”

We are sharing this information not for sensationalism, but to protect our community.”

If you purchased a Hermès bag directly or indirectly through a boutique employee, or were offered “employee access” to special stock, contact us confidentially at sales@priveporter.com.

What Happens Next

Court proceedings are expected to continue in Wayne County over the coming months. The claim is not yet public record on all databases, but filings have been confirmed by multiple sources.

Privé Porter will monitor developments closely and update our readers as more details emerge.

For updates, follow 📸 @priveporter on Instagram or visit the Privé Porter Blog.

Legal Disclaimer

All statements herein are based on information allegedly reported by third parties and publicly available legal filings as of October 2025.

The individuals named are presumed innocent until proven otherwise.

Privé Porter provides this report solely for informational purposes to promote consumer protection within the luxury goods sector.