California Attorney General Rob Bonta unveiled an unprecedented agreement on Tuesday with major retailers and online marketplaces. The agreement aims to crack down on organized theft rings that sell stolen goods online. However, with the state experiencing a rise in brazen smash-and-grab thefts at stores, Bonta faced tough questioning about the adequacy of this agreement. Despite the scrutiny, Bonta emphasized that this is an important step towards accountability in combatting organized retail crime.
Under the agreement, retailers and online marketplaces will collaborate with the state to identify stolen goods being resold online and the criminal networks behind these operations. It also establishes an online portal for consumers to report suspected theft activity on online marketplace websites. However, the announcement raised concerns about the impact of criminal justice reform measures supported by California’s governing Democrats. These measures have been blamed for the increase in high-profile retail thefts and robberies.
Bonta clarified that the agreement targets a multi-billion dollar criminal enterprise consisting of complex and highly organized schemes. These criminals engage in large-scale theft and fraud, stealing retail goods from the supply chain with the intention of reselling them for financial gain. Some of these stolen goods are sold through third-party online platforms.
Bonta highlighted that organized retail crime is not unique to California but is a nationwide problem. According to a 2020 national survey, U.S. retailers suffer losses of around $700,000 from organized retail crime for every $1 billion in sales. The agreement signed on Tuesday commits retailers and marketplaces to enhance detection and reporting of organized retail crime. It also fosters collaboration in information sharing and investigation of these criminal activities. The agreement is based on legislation proposed by state Sen. Nancy Skinner and Assemblyman Brian Maienschein.
Several prominent companies, including CVS Health, Rite Aid, Walgreens, The Home Depot, Albertsons, Safeway, Target, Meta, Amazon, eBay, OfferUp, Mercari, and Etsy, have already joined this effort. Bonta encouraged other companies to join in combating organized retail crime.
A Home Depot representative, Rory Stallard, emphasized that these criminal rings extend beyond petty shoplifting. They consist of professional thieves running a business, stealing from retailers and communities alike. These groups find it increasingly easy to resell stolen merchandise through e-commerce and third-party sites.
Bonta stated that law enforcement officials in California have already made progress in addressing organized retail theft. This year alone, authorities have charged individuals involved in several organized retail crime operations, resulting in significant losses. Bonta expressed confidence that this agreement will further strengthen ongoing efforts to combat organized retail crime.
During the press conference, Bonta faced questions about the role of recent criminal justice reform legislation in the rise of retail thefts. Proposition 47, passed in 2014, reduced penalties for drug use, shoplifting, and other forms of theft. However, Bonta made it clear that this agreement is not related to lower-level retail thefts. He emphasized the need to address all forms of crime and reaffirmed that California’s overall crime levels are among the lowest in the state.
This agreement marks an innovative and collaborative approach to tackling organized retail crime in California. By uniting retailers, online marketplaces, and law enforcement, the state aims to disrupt these sophisticated criminal operations and protect businesses and consumers.
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