Beijing police said they have arrested nine suspects and found six assembly lines and more than one million cell phone parts in the company's factory.
The police started to investigate the company in May after fake China-made cell phones were seized in the US.
The company bought old phone mainboards from foreign countries and fake parts with logos from the city of Shenzhen, police said.
The company hired hundreds of workers who assembled the parts and then sold the fake phones to other countries.