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It's a tough issue for a guy like Korpi. He likely didn't know it was illegal to buy the watches for personal use. Certainly never could have imagined such a penalty.
Same thing goes with websites that allow you to trade music/movies/etc. Until Napster broke, people likely didn't know what they were doing was stealing. Some people have been prosecuted, and now everyone more or less knows--but they still do it.
Tough balance between due process for the consumer and the property rights of the company.
That said, people who are knowingly buying/manufacturing/distributing these things for commercial purposes should be fined extensively and/or sued.
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