Undercover investigators with the Secretary of State’s Office searched the La Fondita restaurant on Avondale Drive in Durham late Monday.
According to a search warrant, an undercover agent purchased a designer handbag at the restaurant.
Investigators say they received a complaint about fake cologne and handbags being sold at the business owned by Lt. George McClain, a Durham County Sheriff’s Office employee.
McClain joined the force in 1995 but was recently placed on paid leave until the Secretary of State’s Office completes its investigation into his business.
A spokesperson for the Secretary of State told ABC11 no criminal charges have been filed at this time, but that the investigation is ongoing.
The spokesperson declined to comment on the details of the case.
The Durham County Sheriff’s Office says it was first notified about the criminal probe on Monday and acted swiftly, removing McClain from his duties until the state investigation is complete.