Monday, March 29, 2010

RILA Reports Increasing Organized Retail Crime


Despite the press releases from the FBI reporting that crime rates are falling, there are many that are experiencing much higher crime levels, indeed organized crime is rising for the retail sector after surveying RILA retail members. Specific rising crime trends observed include the following:
According to the survey, the largest retailers report that retail crime is continuing to rise as the
economy turns toward recovery.
· 78% of retailers report seeing an increase in amateur and opportunistic shoplifting
· 65% of retailers report seeing an increase in organized retail crime
· 74% of retailers report seeing an increase of stolen items being found in online market
places compared to 47% in traditional fencing operations, 47% in flea markets and 16%
in pawn shops
Retailers are also seeing an increase in burglary and fraud while reporting that other types of
crimes, such as robbery and ID theft, are unchanged and continue to remain problems for
retailers. These trends remain consistent with historical crime trends associated with economic
distress and job instability and therefore continue to persist alongside the current economic
climate.

RILA reports that "Estimates report that ORC costs retailers tens of billions of dollars annually. These crimes are attributable to groups of well-organized thieves who steal goods and resell them into the stream of commerce – a characteristic that distinguishes ORC from petty thievery or shoplifting. Furthermore, ORC gangs often rely on the money received from fencing stolen merchandise to fund other criminal activity."

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The Retail Industry Leaders Association (RILA) is the trade association of the world’s most
innovative and successful retail companies, whose executives participate in RILA for its unique
educational forums, its effective public policy advocacy, and its advancement of the retail
industry.
RILA members include more than 200 retailers, product manufacturers, and service suppliers,
which together account for more than $1.5 trillion in annual sales, millions of American jobs and
more than 100,000 stores, manufacturing facilities and distribution centers domestically and
abroad.
RILA Contacts:
Survey Information
Casey Chroust
Executive Vice President, Retail Operations
703‐600‐2014
casey.chroust@rila.org