It seems like 300 or so unlucky individuals got a really bad deal on a new Intel processor over the weekend. HardOCP is reporting that a number of customers have complained about receiving counterfeit Intel Core i7 920 parts, which looked genuine from the outside at first glance, but a closer look at some misspelled words on the box and the contents inside tells the real story.

The problem supposedly roots from the retailer's partnership with D&H Distributing, who issued 2,000 units to them -- 300 of which turned out to be bogus. The processor itself is actually a piece of metal with a real-looking heat spreader. The cooler looks like a solid piece of plastic with a sticker of a real Intel heatsink and fan on top, while the user manual is nothing but a few sheets of blank paper held together with a single staple.

Newegg has released a statement and an apology, saying they are aware of a shipping error of "demo boxes instead of functional units" and that their customer service team has already begun reaching out to the affected buyers. The statement doesn't clarify the purpose of these alleged "demo boxes" or how they slipped into stocks of real working processors without anyone noticing them -- seems like they are not being entirely forthcoming.

Furthermore, in a brief statement, Intel acknowledged the existence of the fake chip and said it was investigating, suggesting there is more to the story rather than just a mix-up of inventory. For its part, D&H Distributing is serving up several sites with cease and desist threats for reporting on the issue, demanding an immediate retraction and apology to make up for the "grave and irreparable damage" they have suffered as a result.