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Breaking News in the Industry: June 20, 2017

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Employee theft on the rise

In a sobering statistic, one out of every 27 employees was apprehended for theft from their employer in 2016. That’s according to “The 29th Annual Retail Theft Survey,” conducted by Jack L. Hayes International, a loss prevention and inventory shrinkage control consulting firm. The survey is based on reports on over 380,000 shoplifting apprehensions that took place in 23 large retail companies, representing 16,038 stores with combined 2016 annual sales in excess of $370 billion.

“Over the years, Hayes International has witnessed a steady and significant rise in this serious problem,” the report stated. “Each year thousands of employees are caught stealing from their employers and co-workers. Furthermore, our studies reflect that this group of thieves are being caught stealing far more than a few insignificant supplies.” Over 438,000 shoplifters and dishonest employees were apprehended in 2016 by the 23 surveyed retailers, who recovered more than $42 million from these thieves. (All stats in the survey relate specifically to the 23 retailers.) You may download a full copy of the survey by clicking here.

In 2016, dishonest employee apprehensions increased almost 10%, with the dollars recovered from these dishonest employees up nearly the same amount (9.3%). Shoplifting apprehensions and the dollars recovered from these shoplifters decreased slightly, 0.2% and 0.9% respectively. In other survey findings, 56.5% of survey participants reported an increase in shrink in 2016, with 21.7% reporting a decrease. Another 21.7% reported shrink stayed about the same.   [For more: Chain Store Age]

Pregnant woman killed in wrong-way crash shoplifting getaway

A pregnant woman trying to get away from the scene of a shoplifting attempt at a high-end Long Island mall was killed when her boyfriend crashed head-on into another vehicle on a service road off the Long Island Expressway, police say.  Police say two women had walked into the Sephora store at Americana Mall in Manhassett Sunday afternoon and tried to pass fraudulent credit cards. They left when they were unsuccessful, and got into a car being driven by the pregnant woman’s boyfriend, 28-year-old Courtney Corbett of Brooklyn.  Police began pursuing them onto the Long Island Expressway (LIE) and followed them for about a mile and a half, but backed off the chase when Corbett headed the wrong way onto the south service road of the LIE. Corbett continued for about a mile, passing several wrong-way signs, according to Nassau County police. He then tried to enter the exit wrap of the highway at Shelter Rock Road, then crashed head-on into another vehicle.

The pregnant woman in Corbett’s car, identified by relatives as 27-year-old Demytrya Gibbs, was killed in the crash. She had been sitting in the front passenger seat, according to police. Efforts to save her fetus, which was six months along, failed, police said.
 Another 23-year-old female passenger in Corbett’s car was injured and was taken to the hospital, along with the 44-year-old driver of the other car, who was also hurt. Two boys, ages 13 and 14, were also in the other car but not injured.  Corbett was arrested on a charge of manslaughter; he pleaded not guilty Monday and was remanded back to jail on $200,000 bond.  [For more: [NBC4 News]

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Two Dallas men indicted on theft of cargo by grand jury

The Rockwall County Texas Grand Jury has indicted two Dallas men  on charges of theft of cargo over $200,000 for their alleged involvement in the theft of 3,520 pairs of Justin brand boots from a shipping container and chassis in Dallas. Byron Orlando Flores and Frank Ajadiz Perez were indicted on June 7. They were arrested last August 23 after they delivered 1,000 pairs of Justin brand boots to a buyer at a storage facility on State Highway 276 in Rockwall. The man who was posing as the buyer was an undercover law enforcement officer.

According to affidavits for arrest warrants, Flores made arrangements to sell 1,000 pairs of boots to the undercover officer for $20 per pair. Both men are free on $15,000 bond. The affidavits stated that the shipping container was stolen between December 3 and December 7, 2015, while it was parked at a temporary stop in Hutchins. In August, according to the affidavits, Flores made arrangements to sell the boots to the undercover officer, and on August 23, Flores and Perez delivered the boots to the undercover officer at the storage facility in Rockwall. The undercover officer paid Flores $5,000 as partial payment of the agreed $20,000 price. After the transaction, both men were arrested and it was confirmed that the 1,000 pairs of boots were part of the 3,520 pairs stolen in December 2015.  [For more: Royse City Herald Banner]

Arizona man arrested in $100,000 jewelry theft at JC Penney

An 18-year-old man was arrested in connection to a burglary at JC Penney in Tucson, Arizona, in which more than $100,000 was taken in jewelry, police said. Henry Lopez was booked into the Pima County jail on suspicion of burglary and trafficking in stolen property, according to a Tucson Police Department post on its Facebook page. Investigators are asking the public for help in identifying a second man who was captured on a video surveillance camera with Lopez at another store on the same day of the burglary. The man is described as black and is about 19 years old.  In May, officers responded to an alarm at the department store at 3501 E. Broadway. Investigators said two burglars inside the store left before police were able to set a perimeter around the store.

Detectives believe that both men hid in the store while it was open and waited until it was closed. Officials with the Arizona Organized Retail Crime Association were able to identify a possible suspect from a surveillance video. Some of the stolen property in the burglary had been pawned and police were able to locate and arrest Lopez, according to the post. Detectives served a search warrant on Lopez’s residence and recovered stolen merchandise from JC Penney, and also found other evidence from a similar burglary. Detectives ask that if anyone can identify the man with Lopez in the video, or have additional information to call 88-CRIME, an anonymous tipster hotline.  [For more: Tucson News]

Louisiana man arrested for reportedly selling counterfeit Louis Vuitton purses

A Baton Rouge man has been arrested for allegedly selling counterfeit Louis Vuitton purses he purchased from New York. Officials with the Louisiana Bureau of Investigation (LBI) say agents identified Dollar Plus, a business in the Sherwood Square shopping center, as a location of suspected trafficking of counterfeit goods. They say Chan Ming Chan, 44, was informed of the illegal nature of his activity, and despite these warnings, continued to knowingly sell counterfeit items. Two separate undercover operations were conducted back in December of 2014 where agents purchased merchandise from Dollar Plus that was counterfeit.

On January 1, 2015, Ming was interviewed by agents and reportedly confirmed many of the facts about his counterfeit trafficking, including the identity and location of his suppliers in New York. Ming claimed he pays cash on delivery for the merchandise and uses UPS to ship items form his suppliers. At this time, he claimed he was no longer selling counterfeit merchandise. On May 18, 2017, LBI agents conducted another undercover operation at Dollar Plus, which resulted in the purchase of a counterfeit Louis Vuitton purse. Agents say Dollar Plus has a hidden area used to display the suspected counterfeit merchandise. In this area, boxes of purses, shoes, and other counterfeit merchandise. Ming was arrested on Thursday, June 15 and was booked into the East Baton Rouge Parish Prison on charges of illegal use of counterfeit trademark.  [For more: WAFB9 News]

Unraveling the “Combating Money Laundering, Terrorist Financing, and Counterfeiting Act of 2017”

The post Breaking News in the Industry: June 20, 2017 appeared first on LPM.


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