Trust me, if China's hardware black market fascinates you like it does me, you'll find this blog post very interesting.
I've never read anything else by this guy, but apparently he's a production manager for the Chumby, which is a rather interesting piece of hardware itself, particularly if you're the kind that likes to tinker.
Essentially, his production line ran into a rash of quality control failures and upon investigation, he found that Kingston had sold him a large batch of MicroSD cards from a very questionable source.
He goes into great detail and even drops a bunch of chips into acid to find out where they actually originated from. I learned a lot reading this article, and will undoubtedly be looking much closer at the SD cards I purchase in the future...