London's Tower Hamlets Council has prosecuted clothing company Neon 2000 UK for selling counterfeit garments bearing Olympic logos.

Thames Magistrates' Court found the firm guilty of selling 160 fake T-shirts, which were seized from a local wholesaler supplied by Neon.

The items featured the Olympic symbol on the front and the words 'London 2012' on the back. They have been verified as fakes by the British Olympic Association.

Neon 2000 will now pay out a fine of GBP500 (US$949.23) plus GBP200 in costs.

Cllr Abdal Ullah, Lead Member for Cleaner, Safer, Greener at Tower Hamlets Council, said: "We are very keen for the public not to be hoodwinked into buying inferior products.

"This prosecution is a warning to other traders hoping to profit from selling shoddy goods in the run up to the Olympics that we will continue to pursue and prosecute them."