“Shoplifting” is an understatement for the charges brought against six individuals by the Montgomery County police in June. These individuals were allegedly responsible for stealing goods worth $49,000 from 11 Ulta Beauty, Sephora, Target, and Nike stores in Montgomery County. Their capture on June 15 was hindered by construction traffic while they attempted to escape in a stolen car. It is believed that the group sold the stolen goods for cash and is also responsible for 80 similar thefts in D.C., with four of the alleged thieves being juveniles, the youngest being only 13.
It appears that no community is immune to the recent rise in organized retail crime (ORC), a term used by security specialists to distinguish planned, large-scale thefts for the black market from individual cases of shoplifting. The perception that the problem is growing is not only fueled by viral videos depicting masked individuals breaking display cases and stealing items, but also by data. According to a study by the National Retail Federation published in April, 70% of retailers surveyed in 2022 considered ORC to be a growing burden on stores. ORC accounted for half of the $94.5 billion in theft losses reported by companies in 2021, a nearly $4 billion increase from 2020. The surge in ORC can be attributed to various factors, including the opioid epidemic, as ORC rings often recruit addicts to steal for them, lax enforcement of shoplifting laws in some jurisdictions, and the ease of reselling stolen goods online.
While the arrested group in Montgomery was of typical size for an ORC ring, it is important to note that ORC is not organized on a national scale. However, combatting it cannot be left solely to local officials. Although aggressive local police work, demonstrated by Montgomery County, plays a significant role in the solution, federal and state action is also necessary. Some ORC cases, like the ones in the D.C. area, cross state lines, and the impact of ORC extends widely.
Although the cost of retail stores’ anti-theft measures is relatively small compared to overall sales of over $5 trillion per year, these costs are ultimately passed on to customers. Additionally, states cannot collect sales taxes on stolen goods, and unchecked theft can lead to store closures, contributing to urban decay. ORC is not simply a property crime; it also traumatizes onlookers when thieves smash glass cases with crowbars, as seen in the Montgomery County group’s modus operandi. Marcus Jones, the county’s police chief, stated that these thieves “put fear in people’s hearts – workers at stores who are just trying to earn a living and people who were out shopping”.
One significant federal measure, the Inform Act, came into effect on June 27, requiring online marketplaces like eBay and Amazon to collect, verify, and disclose identifying information about high-volume third-party sellers to deter the sale of stolen and counterfeit goods. California’s attorney general, Rob Bonta, also announced a plan in June for voluntary information-sharing between physical stores, online marketplaces, and law enforcement.
It is too early to assess the impact of these policies, but at least they acknowledge that fighting ORC is primarily an intelligence problem that requires significant improvements in data collection, as stated in the National Retail Federation’s April report. The next step should be for Congress to pass the bipartisan Combating Organized Retail Crime Act, which has been pending since early this year. This bill recognizes that ORC poses a threat to safety and liberty and grants federal prosecutors the authority to pursue money laundering connected to ORC. Most importantly, it establishes a federal ORC coordination center, housed in the Department of Homeland Security, to facilitate information sharing among investigators at all levels of government and affected businesses.
Government and business have been slow to respond to ORC, seemingly bewildered by the audacity and intelligence of the thieves and fencing rings involved. In the meantime, the economy has suffered, and the public’s sense of safety in retail spaces has been compromised. Law enforcement needs to be equipped with the necessary tools to respond to ORC swiftly and effectively.
The views expressed in this article represent the collective opinion of The Post’s Editorial Board, which is comprised of members from various areas of focus. Their opinions are separate from and independent of the newsroom. Gift this articleGift ArticlePopular opinions articlesView 3 more stories
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