CUSTOMS made two large seizures of counterfeit compact discs and video games yesterday, but the pirates continued to demonstrate they are keeping one step ahead of the game. A month-long investigation by a team from the Intellectual Property Investigation Bureau led yesterday to the arrest of three men and the seizure of 5,000 CDs, worth nearly $200,000, destined for the local market. The men were arrested at a storage facility in Kwun Tong and are believed to be part of a distribution syndicate importing pirated CDs from Shenzhen. On Thursday, Customs raided a counterfeit video game assembly plant at a trading company in Lam Hing Street, Kowloon Bay, after a consignment of pirate video games was discovered in a shipment from Macau. In all, Customs seized $1.6 million worth of counterfeit Nintendo and Sega video games believed to have come from Zhuhai and destined for Taiwan, Malaysia, Russia and Austria. Computer circuit boards from Taiwan were also discovered and two men were arrested. The CD and video game seizures were the largest for the past year and come just a week after Nintendo in Japan lobbied for more action to be taken against pirates operating in China. Meanwhile, the pirates were continuing to sell revolutionary video compact discs from outlets in the territory even though no equipment exists here to play them. Customs made two seizures of the discs from outlets in the Golden Arcade in Shamshuipo just before Lunar New Year. The discs involve the very latest digital technology which can contain a whole feature film on two compact discs - up to 74 minutes per side. The technology is so new manufacturers Philips and Sony have not yet promoted it in the territory and can only be bought in Japan, Taiwan and South Korea. The discs are believed to be widely produced in factories in China, many of those which are on the United States' list of 29 which is at the centre of a possible trade war between the two countries. New legislation to come into effect by the beginning of next year is expected to increase sentences and give Customs wider powers.