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LP/AP Supports Total Enterprise Success
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Future of LP: Innovation, Evaluation, Collaboration
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Introducing the LPRC
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GIS releases 2017 Retail Industry Background Screening Benchmarking Report
The report gives retailers of all types insight into the hiring processes of their competitors, helping them and their background screening processes remain competitive. This year's report focuses on the types of checks being performed on each type of position common in a retailer's ecosystem. To download your copy of the report, visit http://www.geninfo.com/resources/whitepapers.asp.

Nation's Top Online Luxury Consignment Retailer Opens 1st Store in NYC's SoHo
The RealReal Chooses WG Security Products EAS System For 1st Store

In 2016, The RealReal opened a holiday pop-up in Manhattan. It reportedly brought in $2 million in revenue in two weeks.

The nation’s top online luxury consignment retailer has made the jump to brick-and-mortar with a store that brings its online experience to life and allows for even more personal interactions.

The RealReal CEO and founder, Julie Wainwright. "We not only created a concept store that represents The RealReal with the best product, but we created a next-level customer experience for buyers and consignors that leverages the speed of e-commerce with the brand experience of brick-and-mortar."

Mass shootings: An issue of anger, exploring the realities
It almost happened in Cheektowaga, N.Y. Dollar General Store Last Thursday

Last Tuesday afternoon, a lone gunman approached a Dollar General store in Cheektowaga. He wore an armored vest and camouflage and fired 20 rounds from an AR-15. The Daily reported it here.

This story - or at least variations of it - has been told far too often across America in recent years. Mass shootings have shaken our country.

Last week's shooting turned out differently. By the professionalism and grace of the Cheektowaga Police Department and some nearby good Samaritans who chased the suspect by car, this story ends without death. One person at the store was hit by a bullet. Nobody died. The suspect, 29-year-old Travis J. Green, was quickly apprehended.

Here are some numbers from the FBI: From 2000 to 2013, there were 160 active-shooter incidents in the United States. Those resulted in 1,043 people killed or wounded. Halving that time frame reveals a startling trend: From 2000 to 2007, there was an average of 6.7 incidents per year. From 2008 to 2013, the average per year jumped to 16.4.

This is a tragic problem. It's a growing problem. But it's a problem that needs to be kept in perspective.

Editor's Note: Regretfully the 145% increase stated above may dramatically increase even further once the last 24 months is calculated into these numbers. With mass casualty incidents almost happening weekly.

It's a great article that puts it in perspective but yet the reality is clear and no matter how it's explained the impact on our society and consumers is traumatic. As a number of Millennial mothers have stated they stay away from Malls and are extremely concerned about security in public places. Something no one has really researched yet and quite frankly it may not be a topic the retail industry wants publicized.

Massachusetts House and Senate lawmakers cast ballots, overriding Governor's vetoes; Felony threshold raised for $250 to $1,000
The House, by a 144- to-9 margin, approved a bill making some major changes to the state's criminal justice system, including repealing mandatory minimum sentences for low-level drug offenders, restricting the use of solitary confinement, allowing for the expungement of juvenile records and strengthening laws against fentanyl trafficking. Supporters said the bill is balanced, and updates many laws and repeals some arcane laws while still protecting the public. They argued that the bill is a big step toward ending the vicious cycles of incarceration and crime. Rep. Geoff Diehl, R-Whitman said, "Larceny felony will no longer start at $250, but rather $1,000, making everything under $1,000 a misdemeanor. That says Massachusetts doesn't consider stealing to be a serious crime." A section of the criminal justice bill debated last week proposed raising the $250 threshold to $750. The House, by a 117-to-36 margin, approved an amendment that would increase the proposed $750 threshold to $1,000. Amendment supporters said the $250 threshold has not been raised since it was established in 1987 and has not kept pace with inflation. masslive.com

Pilot Flying J's $85M Fraud Court Case Update
FBI's 'Mole' on Pilot Flying J Sales Team Recorded Coversations
Director of Sales Turns Gov't Witness to Reduce Prison Time

Nation's largest diesel fuel retailer fraud scheme generated millions in fraudulent profits by ripping off trucking firms that were too clueless to catch the fraud. Fourteen sales team members have pled guilty, two have been given immunity and 4 are on trial.

The former Pilot Flying J Dir. of Sales, Arnie Ralenkotter, spent three days as a government witness testified he routinely ordered subordinates to defraud companies, especially when those firms weren't putting money via diesel fuel purchases into the coffers of Pilot Flying J and its commission-earning sales teams

But, a recording revealed, he wasn't about to rip off the U.S. Postal Service, which had reached a six-cent per gallon discount deal with them even though they weren't reaching the quantity agreed on.

Ralenkotter has given jurors in the trial, which is expected to continue for weeks, a glimpse at what he conceded was "arrogance" among Pilot Flying J executives and salesmen about their fraud. Ralenkotter said the decisions on which trucking companies to defraud were simple - did they buy the "gallons" they promised and would they catch the fraud?

Pilot Flying J has paid $85 million so far to settle lawsuits over the fraud in addition to a $92 million criminal penalty. Pilot Flying J's board of directors has confessed criminal responsibility and is required to assist Assistant U.S. Attorneys in mounting a case against the quartet. The board is also paying for the defense as part of its employment agreements with the accused.

A Great Migration From Puerto Rico Is Set to Transform Florida
How Does This Impact Florida Retailers?

More than 168,000 people have flown or sailed out of Puerto Rico to Florida since the hurricane, landing at airports in Orlando, Miami and Tampa, and the port in Fort Lauderdale. Nearly half are arriving in Orlando, where they are tapping their networks of family and friends. An additional 100,000 are booked on flights to Orlando through Dec. 31, county officials said. Large numbers are also settling in the Tampa, Fort Lauderdale and West Palm Beach areas.

With so many arriving so abruptly, the migration is expected to transform Orlando, a city that has already become a stronghold of Puerto Ricans, many of them fleeing the island's economic crisis in recent years. The Puerto Rican population of Orlando has exploded from 479,000 in 2000 to well over one million this year, according to the Pew Research Center. The impact of this latest wave is likely to stretch from schools and housing to the work force and even politics.

"If they are not finding a house, or hotel, or need to find some independent living, we need to make sure we don't have a crisis situation," said Ms. Jacobs, the Orange County mayor. "The situation could deteriorate quickly."

Some Puerto Rican community leaders are encouraging the newcomers to head north to New York or Philadelphia, where state benefits are more robust and there are fewer new arrivals.

Santa Rosa retailers brace for change following Sonoma County fires
As the holiday season kicks off this week, business and civic leaders are trying to understand how the county's retail landscape has changed after the most devastating wildfires in U.S. history. Many are joining with Sonoma County merchants in urging residents to shop local, especially this holiday season, as a means of saving jobs and helping retailers bounce back.

The fires that broke out Oct. 8 killed 23 people and destroyed 5,100 homes in the county. In Santa Rosa alone, the blazes damaged or destroyed 29 businesses, including a Kmart discount store, a Trader Joe's supermarket, three hotels and several restaurants.

A Kohl's department store still stands on Airway Drive, but will stay closed until early spring, which sits across a parking lot from three wrecked eateries belonging to Arby's, McDonald's and Applebee's.

Natural disasters often bring immediate losses to retailers, but the impact also can throw off the normal shopping patterns in the following holiday season, said Britt Beemer, CEO of America's Research Group of Summerville, South Carolina. Beemer gave a general rule for all sorts of disasters, including hurricanes, tornadoes and floods: "Of the volume that you lose, you never recapture more than 15 percent." Thus, if sales drop by $200,000 during the disaster, a store will earn back only about $30,000 of that lost business.

Compliance Officers Want To Use Data to Measure Programs
Compliance staffers have been collecting data to keep their companies out of trouble for decades. Now, how to make the best use of that data, and what can be gained in terms of analytics from deeply embedding compliance into other processes, is getting renewed attention.

When I first started doing this sort of activity almost 20 years ago the goal was to compile statistics for what I call throughput: how many people were trained, what subjects were they trained on,"

"We are very good at compiling statistics and those statistics go only so far as to tell you that you have implemented something," Mr. Giraudo said. "They won't tell you whether or not what you are doing is effective."

To counter that, Mr. Giraudo said, he is increasingly seeking to examine the effectiveness of compliance programs, with tactics such as testing recipients of training both immediately afterward and a few months later to see how much of the training they remember, and looking at whether screening of third parties has actually led to Olin changing suppliers. "I think this is a whole new area, KPIs in the ethics and compliance space," Mr. Giraudo said, referring to key performance indicators.

"Honestly, if you dive right into implementing great analytics and great technology in the compliance space, you are going to come into lots of information that your leadership may not be ready for," Mr. Sapirman said.

'We should expect to see another outbreak': Reports of illnesses from Chipotle are soaring
Chipotle's food safety problems are persisting more than two years after the E. coli outbreak that sent the company's sales sliding, according to a website that tracks foodborne illnesses. The rate of self-reported foodborne illnesses are at least nine times higher for Chipotle than all other restaurant chains, says Patrick Quade, the founder of IWasPoisoned.com.

"At this rate of reporting, our data indicates we should expect to see another outbreak attributed to Chipotle sometime in the next six to 12 months."

Just last week, Chipotle's stock slid more than 5% after an actor claimed he "almost died" after eating at the chain. Similarly, shares fell more than 14% in July after a norovirus outbreak at a single restaurant in Sterling, Virginia. Another outbreak would be brutal for Chipotle.

Appeals Court Says Ex-Tyco Worker Can't Duck Noncompete
A Pennsylvania appeals court on Friday said it would not throw out a preliminary injunction aimed at enforcing the noncompete provision in an ex-Tyco Fire Products LP sales manager's employment agreement after he left the company to join a competitor.

A three-judge Superior Court panel agreed to bar Ralph Fuchs from engaging in any sales-related work in an 11-state region as laid out in an employment contract he signed after taking a job with Tyco in February 2004. Fuchs left his position as a senior sales manager with Tyco in January 2016 to take a similar position with competitor Reliable Automatic Sprinkler Co. Inc.

When Reliable was informed by attorneys for Tyco about the noncompete provision that Fuchs had agreed to as part of his employment contract, the opinion said that Fuchs was moved to work on an "internal project" with his new company.

However, the opinion said that Fuchs continued to accompany other Reliable employees to see customers in states covered by his restrictive covenants, including several Tyco customers who Fuchs had personally dealt with during his tenure with Tyco.

While Fuchs testified that he was not himself soliciting business as he participated in the sales trips, the opinion said that he admitted the purpose of the visits was ultimately to sell Reliable products.

The trial court agreed to grant the injunction in November 2016 after agreeing that Fuchs' calls on Tyco customers in territory covered in the noncompete agreement constituted a violation of the deal.

Celebrities who were accused of shoplifting
The most shocking aspect of the shoplifting scandal involving the three UCLA players in China is the fact that LiAngelo Bell was a part of the alleged heist of expensive sunglasses.

It's hard to rationalize or justify why the well-to-do and the famous resort to stealing items they can easily pay for. But as we can see, there can be a couple of different reasons. One is just plain arrogance or feelings of celebrity privilege. Some famous folks are so used to getting stuff for free all of their adult lives that they just feel the right to take what's in front of them without conscience.

Others resorted to stealing just to survive the mean streets when they were homeless prior to finding fame and fortune. Some were rebellious or lost adolescents, as in the case with Megan Fox. Others' criminality, whose lives that have been derailed and jumped off the tracks completely.

Like Amanda Bynes, or experienced career burnout, as in the case with Jennifer Capriati, a former tennis teen star. Still, there are others, like Courtney Cox, who was already mentally misshapen to begin with. In 2001, Wyona Ryder caught on camera stealing thousands of dollars worth of luxury goods from Saks Fifth Avenue in Beverly Hills. Brittany Spears: Who could no longer handle the pressures. Lindsay Lohan: Arguably the most notorious of the celebrity kleptomaniacs. Courtney Love: Rebellion is in Courtney Love's DNA. Stephanie Pratt: Reality TV star Pratt reportedly snatched up $1,300 worth of clothing and accessories from Neiman Marcus in Hawaii while working on an episode of 'Lost'.

Houston shopping center owners answer lawsuit filed over fatal 2015 robbery
The defendants in a lawsuit filed as a result of a late 2015 robbery at a north Houston shopping center which claimed the life of a married father of one formally responded to the allegations.

IMI Investments, Inc. and Aldine Westfield Retail LLC entered their answer into Deana Precella's suit on Oct. 31.

Deana Precella's suit states that the 26-year-old Alanis was fatally shot, alleging the defendants were responsible for the management, safety, and security of the premises.

The defendants' response asserts the decedent failed to use ordinary care for his safety. The six-page document pins the subject incident on third parties over which the businesses insist have no control.

Price Wars Continue - Amazon's Whole Foods Cuts Prices 2nd Time
Pop Up Stores & 100 Stores Selling Amazon Devices

Amazon once again lowered prices at Whole Foods stores, but this time they're targeting the chain's best-selling grocery items and holiday staples. Also rewarding Prime customers with additional discounts on these holiday birds.

To further drive holiday sales, the online giant is also adding Amazon Pop-Up stores in a handful of Whole Foods Market stores nationwide. These pop-ups augment 100 Whole Foods locations that already carry Amazon devices.

"These are the latest new lower prices in our ongoing integration and innovation with Amazon, and we're just getting started," said John Mackey, Whole Foods Market co-founder and CEO. "In the few months we've been working together, our partnership has proven to be a great fit."

Brookfield Property Partners Bids $14.8B to Buy General Growth Properties
GGP Owns 125 High-End Retail Centers in U.S.

TJX Cos. Added 139 Stores in Q3

Save Mart - Senior Director LP & Safety - website says not currently available

Quarterly Results

Smart & Final Q3 comp's up 1.5%, net sales up 4.5%
TJX Cos. Q3 comp's flat, net sales up 6%
     Marmaxx (Marshalls & T.J. Maxx) comp's down 1%
     Home Goods comp's up 3%
     TJX International comp's up 1%
Hibbett Sports Q3 comp's down 1.3%, net sales up 0.4%
Foot Locker Q3 comp's down 3.7%, sales down 0.8%
The Buckle Q3 comp's down 5.9%, net sales down 6.2%


Last week's #1 article --

List of Stores Closed On Thanksgiving Day 2017


Crimes of Deceit & Persuasion -
Thefts, Scams & Schemes Hot Topics at National Association
of Bunco Investigators 33rd Annual Conference

Our recent conference had 97 attendees, from virtually every law enforcement agency in the Philadelphia region plus attendees from Arizona, New Jersey, New York, the Poconos, Delaware, Virginia, Texas, Maryland, Kansas, Florida, Washington state, California, Canada and Wyoming and our guest introductory speaker was the Senior Deputy Attorney General of Pennsylvania.

At the conference, NABI presented an overview of common crimes based on persuasion and deceit, definitions of bunco terminology; a look at Organized Retail Crime Associations, sharing information on crime patterns, the crews or teams that perpetrate crimes and scams; a description of active Organized Retail Theft Groups, their Modus Operandi and the financial effect on the retail industry; nomadic bands of Home Services Con-Artists, how they are confused with other Transient Criminals; their methods of intimidation and operation and why the elderly are their prime targets; a case history of elder exploitation; common fraudulent schemes against the insurance industry (Staged Accidents, Slip and Falls, Life Insurance Fraud, Phony Casualty Loss Claims), emerging role of gangs in Insurance Fraud; identifying the various Transient Crime Groups and the crimes they commit; current Organized Jewelry Theft tactics and impact; ATM and Point of Sale Skimming/Shimming devices, shoulder surfing, Eastern-European Organized Skimming groups; validating the elderly as victims, interviewing techniques and considerations, proactive approaches to the crimes and enhancing police and community awareness; and prosecution recommendations.

Nelson Harrah, Gap Inc, discusses retail crime

Joint presentation by NYPD and Pennsylvania State Police on active transient crime groups with introduction by NABI President

The history of NABI and Gap Inc
Written by Nelson Harrah, Director ORC, Gap Inc.
My partnership with N.A.B.I. started in 2004 when I was asked to present at one of their conferences. It was immediately evident that this group of Law Enforcement professionals were a unique group. By that I mean that when they say they will help the private sector with cases that fall under N.A.B.I.'s umbrella of investigations, they keep their word. They are the premiere experts on criminal gypsies, travelers and South American Theft rings. I soon became an Instructor for N.A.B.I. which resulted in me becoming P.O.S.T. (Peace Officer Standards Training) certified to train Law Enforcement through the U.S. and Canada. This really opened the door for Gap Inc to connect with key agencies at all levels and further fortify our relationships. Today my team has made sincere friendships with the members of N.A.B.I. Not a week goes by where I see a BOLO on a transient criminal team and when shared with N.A.B.I. there is a quick identification of the actors. I now sit on the Board of Directors at N.A.B.I.

All the News - One Place - One Source - One Time
The D&D Daily respects your time & doesn't filter retail's reality




Know Thy Numbers: The Secret to Capital Approval

Common Pitfalls of Capital Denial
For Loss Prevention executives, there is nothing worse than failing to get capital approval for funding an initiative he or she passionately believes will reduce shrink, improve safety, or achieve some other important objective for which the CEO is holding the LP department accountable. Every LP executive has experienced this temporary feeling of defeat, and the second and third time it happens is no less painful than the first. Unlike the minimal time it takes for most failure-induced frustrations to subside, the sting felt after getting denied the capital needed to make ones mark lingers on for a very long time.

In preparation for this article, several Loss Prevention executives were asked about some of their unsuccessful attempts for capital approval over the span of their careers. What was discovered was rather interesting. Every executive attested to the fact that they knew their numbers as they pertained to the estimated returns on investment (ROI) from the capital they were asking for. However, only a handful were able to say for certain that they factored in all of the benefits their organizations would have received if they were awarded the capital.

The fact that "knowing the numbers" is extremely important for an executive is common business knowledge. But what seems to be elusive is identifying exactly which numbers should be known, particularly when seeking approval for a capital investment. For example, let's assume capital is being requested to purchase Gatekeeper Systems' Purchek® pushout theft prevention system, a solution that prevents shopping carts filled with stolen merchandise from leaving the store. In this scenario, let's also assume the ROI calculations for this solution indicate the retailer will reduce shrink by $1 million annually. Armed with this information, it would be unwise for an LP executive to simply inform the company's senior executives about this shrink reduction without including the other benefits this solution provides. Although the shrink reduction calculation may be accurate, the $1 million shrink savings does not accurately reflect all of the additional benefits such a reduction will provide.

Statistical Bliss
In order to fully understand why the approach above was unwise, let's expound on this scenario. If the LP executive requesting the capital was well in-tune with pushout theft statistical data that were unrelated to shrink, he or she would have a more comprehensive argument for supporting capital approval.

Examples of important pushout theft statistics unrelated to shrink can be found at www.PushoutTheft.com. There, we learn that 10% of all shoplifting apprehensions ended in violence. This is an extremely important statistic for supporting capital approval for Gatekeeper's Purchek solution because employee safety is always a top concern for executives. Sharing the fact that the Purchek solution actually prevents shoplifting without the need for shoplifter confrontations would be music to the ears of any executive committed to protecting assets while keeping employees safe.

Read more here.


Boards Should Think of Cyber a Bit More Like Bank Robberies, Former AT&T Security Chief Says
"Just like bank robbery, you can't say get rid of (cyber risk) and make it never happen," said Ed Amoroso, former chief security officer at AT&T Inc., during a talk at the NYU Tandon School of Engineering on Thursday.

While bank boards know there are a number of bank heists (there were more than 4,000 incidents at federally insured financial institutions in 2016, according to the FBI), they don't expect to eliminate them completely. Corporate boards should begin to think about cyber risk in similar terms, said Mr. Amoroso, now CEO of TAG Cyber LLC.

"(Cyber risk is) never going to go away, and people are going to have to keep worrying about it," he said. "Just like bank robbery, you can't say get rid of it and make it never happen.

To achieve that goal, directors should spend more time educating themselves cybersecurity and technology fundamentals, Mr. Amoroso said. Just as it would be unacceptable for someone to join a board without any finance or business experience, the same should go for technology and cybersecurity.

"We need board members to be a little more tough on themselves," he said. "They should take the time to really go off and do the homework and learn. It can't be an hour-long board session. It's got to be a commitment."

Cybersecurity has become a board-level discussion topic in recent years following massive data breaches at Target Corp. and, more recently, Equifax Inc. But some boards can be stymied by a lack of basic security knowledge. More education can give directors the knowledge they need to appropriately gauge cyber risk, as well as help the company respond in case of an attack. wsj.com

Poor Security Habits Plague Large Enterprises
25% Of Employees Try Accessing Data They Shouldn't

Despite being ripe targets for cybercriminals, most large enterprises lack control over employee data access and follow weak password practices.

According to Preempt's survey of 200 management-level professionals at organizations with 1,000 employees, employees have more access than they should. A quarter (25%) of employees have tried to access data at work that they weren't supposed to. Of those 25%, nearly 60% were successful at accessing that data.

"The prevalence of successful attempts to access off-limits data and resources is startling and should be a major concern for IT security teams,"

Also, a large majority of workers have poor security habits as well. One out of every three employees admits to having bent the rules or found a security workaround in order to get something done for work-with more than 10% of respondents having done so regularly or on multiple occasions.

In addition, nearly 41% of employees use the same password for both personal and work accounts, and 20% of employees are aware that their passwords were compromised in a breach. Even so, 56% claim they only changed their passwords for the account that was breached.

Meanwhile, more than a third of employees had no clue if their username or password was exposed in a public breach or not.

"The results of the survey clearly show that employees don't completely understand their work habits and decisions put their organization (and themselves) at risk." infosecurity-magazine.com

Mobile Malware Incidents Hit 100% of Businesses
Every business with BYOD and corporate mobile device users across the globe has been exposed to mobile malware, with an average of 54 attempts per company played out within a 12-month period, according to a Check Point report released today.

The report also notes that 94% of security professionals anticipate actual mobile malware attacks to continue to increase, with nearly 66% doubting they can prevent them. As "more and more people continue to make phones and tablets their primary device, the attacks will continue to grow."

Most of the malware that BYOD and corporate devices encounter comes from apps at third-party stores, Shaulov says.

Other forms of malicious activity against these devices are also taking place with great frequency. The report reveals 89% of organizations experience a least one man-in-the-middle incident stemming from users connecting to a risky WiFi network. "Attackers are trying to get access to the data transmitted, rather than inject malware," Shaulov says.

"We've seen mobile threats become more elaborate and go beyond malware or bad apps," says Hochmuth. "They use a mix of network-based attacks, like spoofed WiFi, or malicious management profiles to steal data. Attacks on the core mobile OS kernel, iOS and Android, are also becoming more sophisticated." darkreading.com

40% of Retailers Can't Tell Good Bots from Bad Bots: Report
Bots make up more than 75% of total traffic for some businesses, but one in three can't distinguish legitimate bots from malicious ones.

Malicious bots are a serious risk, as Web-scraping attacks can affect retailers by stealing intellectual property, undercutting prices, and holding mass inventory in limbo, the report states. In retail, 40% of businesses can't tell good bots from bad ones. darkreading.com

Reduce CNP With Dynamic CVV2
Time to Market Drastically Reduced for Banks to Deploy MOTION CODE

MOTION CODE adds a new layer of security to online transactions. It reduces CNP fraud and it is completely frictionless to the cardholders and retailers. The static printed code (CVV2) is replaced by a mini-screen that displays an automatically refreshed code generated by an algorithm (dynamic CVV2). It significantly reduces the value of stolen codes, as the issuer can identify old codes and decline the transaction. businesswire.com



The Loss Prevention Research Council's
Impact Conference Oct. 2-4 2017, A Six Episode Series
Over 35,000 Social Media views in first two weeks!

1. LPRC Introduction - Who They Are & What They Do
- Watch Now!
2. Future of LP: Innovation, Evaluation, Collaboration - Watch Now!
3. LP/AP Supports Total Enterprise Success - Watch Now!
4. LPRC Research Update - Watch Now!
5. Innovation and Action - Coming Nov. 27
6. Command & Control: SOCLab Operations - Coming Nov. 30

LPRC Research Update

Episode 4

Stuart Strome, PhD, Research Scientist, Loss Prevention Research Council

The Loss Prevention Research Council continues to work on ways to help retailers sell more while losing less using in-store and supply chain innovation efforts, interviewing offenders, shoppers and employees, while analyzing large data sets and conducting randomized controlled trials in active locations.

A major LPRC research focus is better understanding the psychology of how LP/AP efforts actually affect human behavior in stores and distribution centers. They look at how and where LP should place deterrent treatments to make the most positive impact with the least negative shopper and employee effects.

In this 22-minute episode, Dr. Stuart Strome of the LPRC explains why the offender interviews they conduct are so crucial to their research, what data they collect when studying solutions, and how they help facilitate research collaboration among retailers.

Sponsored By:



E-commerce Fraud Sizable, says LexisNexis Risk Solutions True Cost of Fraud Study
LexisNexis® Risk Solutions, a unit of RELX Group released its 2017 True Cost of Fraud study on the e-commerce sector. The study notably finds that mid/large sized e-commerce retailers face higher costs of fraud than smaller outlets who see less than $10 million in e-commerce sales. According to the LexisNexis Risk Solutions Fraud Multiplier, for every dollar of fraud, mid to large e-commerce companies incur $3.37 in costs, which includes chargeback fees, merchandise replacement and employee costs.

Based on a comprehensive survey of 190 risk and fraud executives in retail organizations that earn 80 percent or more of their revenue through online or mobile channels, the study helps online and mobile merchants grow their businesses safely, in a sales channel where the risk of fraud is still growing.

Notably, smaller e-commerce merchants, with less than $10 million in annual sales, are actually more at risk than their larger counterparts. These smaller merchants pay $2.38 in costs for every dollar of fraud they intake, and also see 48 percent of their monthly transactions come in as fraudulent. With the significant differences between and challenges that small and mid/large sized companies face, no one answer will solve for all fraud. Whether it's a domestic seller vs. an international seller, digital goods vs. physical goods, mobile based-transactions vs. non-mobile, each merchant must address its unique risk profile, and work to solve and implement solutions from a suite of options. businessinsider.com

The Grinch Who Stole Business
Don't Let Fraud Derail Your Holiday Peak Season Success

According to global consumer and business credit reporting leader Experian, e-Commerce fraud increased to 33% in 2016 compared to 2015. Much of this fraud originated from the 1,093 data breaches that occurred in 2016 - up 40% over 2015, according to the Identity Theft Resource Center (ITRC). Predictions for 2017 are for an even higher rate of fraud, based on ITRC's report that 791 breaches took place in the first half of the year, which set a very dubious half-year record.

These figures leave little doubt that e-Commerce fraud has become big business, and its practitioners are becoming more sophisticated, tenacious and dangerous. Moreover, those committing fraud grow more savvy each year. By staying a step ahead of systems meant to thwart their efforts, they are in a position to commit even more fraud acts than they did a year ago.

What this amounts to is the equivalent of climate change in the fraud world. Retailers need to recognize this and accept that they are not immune to it. Furthermore, assuming that fraudsters will go away after a single attack is akin to an ostrich burying its head in the sand; every prevented attack on the retailer's end is a lesson for the fraudster en route to a future, successful attack. retailtouchpoints.com


Two Robbery Crew Leaders Get 32 yrs & 29 yrs.
For String of Violent Armed Cellphone Store Robberies in Midwest

Two south suburban men have been sentenced to lengthy prison terms for their role in a string of armed cellphone store robberies in the Chicago area and around the Midwest.

Jeffrey A. Kemp, 41, of Dolton, was sentenced to 32 years and Lawrence D. Adkinson, 28, of Hazel Crest, was sentenced to nearly 29 years after being convicted by a jury in southern Indiana in August.

The men had used violence "to terrorize retail store employees around the Midwest," Josh Minkler, the U.S. attorney for the southern district of Indiana, said.

In the Chicago area, cellphone stores in Joliet and Orland Park were among those robbed during a series of holdups in the summer and fall of 2015, with the spree also targeting stores in Indiana, Iowa, Kentucky and Missouri, according to the U.S. attorney.

Eight other men previously pleaded guilty in connection with the robberies, but Kemp and Adkinson were described by authorities as the leaders of the group, supply vehicles and guns and deciding which stores would be robbed and who would commit the robberies

The robbers often held firearms to the faces of the cellphone store employees before restraining them in the back rooms of stores, the U.S. attorney said in the news release. chicagotribune.com

ORC Ring Operating in Fort Lauderdale - Rental Van Filled With Merchandise
Duo Busted Stealing $1,000 in Perfume From North Lauderdale Walgreens

More than $1,000 worth of perfumes vanished from a Walgreens pharmacy in North Lauderdale in October. Surveillance video showed a pair of thieves took the merchandise.

Broward Sheriff's Office detectives later identified the thieves as Shaunta Major, 28, and Desmand Lyles, 19, and arrested them Friday morning. They were in white rental van full of merchandise that police officers believe to be stolen.

Major, who was out on bond in a retail theft case in Palm Beach County, and Lyles face retail theft charges in Broward County.

BSO Detective Lisa Sokol was asking anyone with information about any other crimes Major and Lyles committed to call 954-722-5800, or Broward County Crime Stoppers at 954-493-8477. Anonymous tips that lead to an arrest are eligible for a reward of up to $3,000. local10.com

(Update) Ventura, CA: Two sentenced in $200,000 Avocado caper
Carlos Chavez, 29, of Oxnard and Joseph Valenzuela, 38, of Santa Paula will spend two years in county jail, with 18 months of probation, Ventura County District Attorney Gregory D. Totten announced. Chavez and Valenzuela entered guilty pleas to felony grand theft and conspiracy and admitted a special allegation for taking over $200,000 worth of avocados. keyt.com

Sullivan, IN: Man admits to being part of ORC Ring; latest Walmart theft was a Car Seat box filled with $4000 in electronics
Bryan Tomey was inside the Sullivan WalMart when he stuffed a car seat box full of electronics and other expensive items. Police say Tomey had an accomplice take that box to the checkout register. The Sullivan County Sheriff's Office said Tomey is banned from WalMart because of multiple theft cases. wthitv.com

Rochester, NY: Kohl's Shoplifter arrested following High Speed Chase
Three are in custody after stealing $2,200 in merchandise from Kohl's in Batavia before leading law enforcement on a high-speed chase. Reports indicated that the van reached 120 mph as the suspects attempted to elude capture. During the pursuit, suspects reportedly discarded stolen items from the windows of the vehicle. thebatavian.com

Orange, CT: Police search for a Home Improvement robbery suspect with a unique MO
Police are investigating a man who has made a reputation for himself by robbing local home improvement stores while using an outlandish mode of transportation. Police said the suspect has stolen from numerous home improvement stores around town. Police believe he works with a group that is known for taking merchandise out of the store without paying. What distinguishes this man from other thieves, police said, is that he "rides" a shopping cart into the parking lot and strikes the targeted store before being picked up by a getaway driver in a maroon-colored van. Orange police wrote on their Facebook page: "A couple of days ago we asked the Facebook community for help with one of our investigations, and we got a lot of responses to that, so we're going to ask again... Do you recognize this person?"  ctpost.com

Evanston, IN: More than $7K worth of items stolen from business in 54 second robbery

Bridgewater, NJ: Two Arrested for Theft of $1,199 in Merchandise at Microsoft Store

Man arrested after running a $1,000 Counterfeit money scheme at multiple Victoria's Secret locations

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Shootings, Stabbings & Deaths

West Palm Beach, FL: Gunman identified in shooting near Gardens Mall
One man is in custody following a report of shots fired at the Gardens Mall in Palm Beach Gardens. Officers responded to a call of a fight in progress in the mall's parking lot at around 2 p.m. on Friday. Shots were fired, but Palm Beach Gardens Fire Rescue says there were no patients taken to the hospital. cbs12.com

Orange County, FL: Armed Robbery/ Shooting leaves pawn shop worker in critical condition
Deputies said they were initially called to a shooting around 7:15 p.m., just before closing time at the pawn shop. But when deputies arrived, they found evidence that appeared to show a robbery that went wrong. clickorlando.com

Lehigh Acres, FL: Gunshots fires in Dollar General Armed Robbery
Saturday night, at approximately 7:08 p.m., a man wearing all black with a bandana covering his face entered the Dollar General on Gretchen Avenue. He demanded cash from the registers while displaying a gun, and fired a shot into the ceiling. Employees handed the thief an undisclosed amount of money, and the suspect took off. Nobody was injured. nbc-2.com

Delta, B.C., Canada: Walmart Loss Prevention stabbed during apprehension
Police say a man has been arrested following a stabbing at a Walmart in Delta. Investigators say a store security guard was stabbed while trying to apprehend an alleged shoplifter. The suspect ran, but was in custody a short time later. Police say the guard was taken to hospital with non-life threatening injuries. cfjctoday.com

South Africa: Five People killed, 2 injured on an Armed Gang Attack on a Supermarket
Among the people who died were two security guards on duty at the complex and an innocent bystander sitting in his vehicle. iol.co.za

Goffstown, NH: Shooting under investigation; 1 shot & Killed outside Ace Hardware, no employees injured

Dallas, TX: Man shot and killed in Strip Center Parking Lot

Robberies & Thefts

Smyrna gun store robbery crew caught by security guard at 3rd gun store
MURFREESBORO, Tenn. - The Outpost Armory is a mega gun store just off the interstate in Murfreesboro. Security measures came in handy on Thursday night when three men walked into the store and started acting suspicious. Outpost Armory undercover security guard pulled up images from social media and saw the exact same description of a robber in two other robberies. The first two weeks ago when robbers got away with 24 guns at "On Target." The second robbery was Thursday at around 3 a.m. when more guns were stolen from "Guns n More" in Smyrna. The three convicted felons were charged with felony gun possession gun theft, and more charges. Grimes had an outstanding warrant. fox17.com

Memphis, TN: Criminals take keys off store counter, steal manager's car, thousands in merchandise and 3 guns

Dayton, OH: Safety measures heightened at local shopping centers for Black Friday weekend

Los Angeles, CA: LaVar Ball Belittles Trump's Role In Release Of Son, UCLA Players After Theft In China

UK, Burnley, England: Security Guard fights back to deny axe-robber cash in early morning raid on ATM at Tesco

UK: Bristol, England: Crowbar used in Levi Store Smash & Grab; in and out in 30 seconds

Zales in the Gateway Mall, Lincoln, NE - reported a Grab & Run on 11/17, item valued at $1049 / Suspect Arrested

Zales in the Richland Mall, Waco TX reported a Grab & Run on 11/18, items valued at $10,375

Piercing Pagoda in the Citadel Mall, Colorado Springs, CO reported a Grab & Run on 11/18, item valued at $787

Kays Outlet in the Sawgrass Mills, Sunrise, FL reported a Distraction Theft on 11/17, Rolex watches valued at $23,300

Kay Jewelers - in the Fashion Show Mall, Las Vegas, NV reported a Distraction Theft on 11/18, item valued at $6899

Sentencings & Arrests

Lumberton, NC: Teen jailed on 3 armed robberies

Lima, OH: Walgreens armed robber sentenced to three years in prison


Skimming Crew of 8 Hits 3 States for $3.5M - Kentucky, Ohio, Indiana
The FBI, U.S.Secret Service and Louisville Metro Police Chief Steve Conrad, today announced the results of an on-going investigation involving nearly 30 law enforcement agencies, across three states, (Kentucky, Ohio, and Indiana) that has resulted in the arrest of eight individuals charged with aggravated identity theft, wire fraud and other charges, for their roles in skimming credit card information of gas station customers at gas-pumps.

Of the eight defendants, two were sentenced in United States District Court, four pleaded guilty and await sentencing, and the remaining two defendants have trial dates in January 2018. All defendants have been charged with aggravated identity theft, which carries a mandatory minimum sentence of 24 months consecutive with the sentence for any other fraud offenses. There is no parole in the federal system.

Misael Jose Fernandez Campos entered a guilty plea to all 16 counts on October 2, 2017.

On August 17, 2017, five defendants were charged in four separate cases by grand jury indictment. Specifically, Pabel Anguela-Vazquez, Andres Tomas Alvarez Hernandez, Leonardo Rodriguez Prado, Yusbel Folgosso Parrado, and Miguel Yansel Castillo Fornaris.

Defendants Anguela-Vazquez and Hernandez both pleaded guilty and sentencing is scheduled for December 1, 2017 in Louisville.

Defendant Parrado pleaded guilty and was sentenced to 28 months in prison.

Defendant Fornaris pleaded guilty to the charges and was sentenced to 45 months in prison.

The number of victims exceeds 7,000 unique card numbers belonging to both individuals and businesses. justice.gov


How did Manchester's Strangeways become the counterfeit capital of the UK?
Inner city spot named counterfeit capital of the UK in government report

Mile long stretch of shops where you can buy anything with many of the items are knock offs. Cash-rich criminals who control the counterfeit operations have a hand in drug-dealing, smuggling, and even human trafficking. Bringing in immigrants to work in the warren shops and warehouses specifically to work in the counterfeit trade. manchestereveningnews.co.uk


AT&T - Pittsburg, CA - Armed Robbery
C- Store - Wellfleet, MA - Armed Robbery
C-Store - Petaluma, CA - Burglary
C-Store - Summerfield, FL - Armed Robbery
C-Store - Newark, NJ - Armed Robbery
C-Store - Springfield, MO - Armed Robbery
C-Store - Clayton, NC - Armed Robbery
C-Store - Houston, TX - Burglary
C-Store - Lewiston, ID - Burglary
Circle K - China, ME - Armed Robbery
Circle K - Dayton, OH - Armed Robbery
• Citi-Trends - Gary, IN - Armed Robbery
Coffee Shop - New Orleans, LA - Armed Robbery
Dollar General - Lehigh Acres, FL - Armed Robbery / Shots fired, no injuries
Dollar General - Escambia County, FL - Armed Robbery
Dunkin Donuts - Barnstable, MA - Armed Robbery
Grocery Store - Bladenboro, NC - Armed Robbery
Hair Cuttery - Flagler County, FL - Burglary
Ice Cream Shop -Frederick, MD - Burglary
Jiffy Lube - Bridgewater, NJ - Burglary
McDonalds - Evanston, IL - Robbery
Pawn Shop - Orange County, FL - Armed Robbery/ employee shot & Wounded
Restaurant - Harrison Township, OH - Robbery
Subway - Santa Maria, CA - Robbery
Tobacco Shop - Flagler County, FL - Burglary
Tobacco Shop - Daleville, VA - Armed Robbery
Vape Store - Evanston, IN - Burglary
Walgreens - Ringgold, GA - Armed Robbery
Walgreens - Tulsa, OK - Robbery
7- Eleven - Newport News, VA - Armed Robbery
7-Eleven - Portland, OR - Armed Robbery


Daily Totals:
23 robberies
8 burglaries
2 shootings
0 killings



None to report.

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Featured Job Spotlights


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The Regional Loss Prevention Manager is responsible for the control and reduction of shrinkage at the stores in their Territory. Investigates and resolves all matters that jeopardize or cause a loss to the company's assets...

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The Loss Prevention Investigator is responsible for utilizing proper investigative techniques and act as the primary liaison with field operations management. Conducts investigations into cash losses, deposit shortages, associate theft, overall shrinkage, and other matters...

Wawa is a diverse, talented and customer friendly organization, where our associates are our most valuable asset. We offer educational assistance programs, advancement opportunities, competitive compensation, excellent healthcare benefits, 401(k) with company match, Employee Stock Ownership Plan, and Employee Resource Groups with a focus on veterans, women, LGBTQ, young professionals, and diverse cultures.

District Asset Protection Manager - Metro NY and Long Island, NY
Garden City, NY

Amazing opportunity! High profile, fast paced district available for a Multi-Unit Asset Protection professional with operational savvy or a General Manager passionate about Asset Protection and Safety. As the District Asset Protection Manager you will lead administration of Asset Protection programs and training for an assigned district in order to drive sales, profits, and a customer service culture...

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