There are rumors that it has been there for some time.
These kiosk things are everywhere. Though the bags themselves, like most things, may be manufactured in Asia, I don't think any particular nationality has a monopoly on owning or managing them, in the large city nearest me, you can find them run by people from Argentina to Israel, from Ukraine to El Salvador.
The periodic "crackdowns" we hear about here or there, as well as the lack of them, as someone has pointed out, they have been around, doing business pretty much uninterruptedly for years, gets into the close relationships between business and politics, and as someone else pointed out, it's really just about money. As so many things are.
To the people who are concerned that people, presumably strangers in the street, will opine whether their bag is real or not, I hope you don't mind some unsolicited advice.
If you are going to spend such a large amount of money for a handbag, maybe you could look around and find one that you like so much purely for the way it looks, the way it feels, many people here have mentioned factors like quality and workmanship as things that make them choose, and pay a premium for a particular handbag.
In other words, - if you choose a bag that you just love for itself, whether it comes from a particular designer and costs thousands, or whether it costs $12.98 at Target, you will be surprised how little you care what anybody else - especially people you don't know - think about it, if they do, in fact, think about it or notice it, and you would be surprised how rarely they do.
It's not your fault, it's just that most of the time they are too busy thinking about themselves instead of paying close attention to your accessory choices like they are supposed to be doing!