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The D&D Daily Mobile Edition

February 13, 2014

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News Brief
Sponsored by WG Security Products, Inc.

Scott McBride was promoted Vice President Global Loss Prevention - Safety & Security for American Eagle Outfitters, Inc. Scott has been at American Eagle Outfitters for a while, and before receiving this new position he was a Senior Director, Loss Prevention Safety & Security. Scott has also worked at various other companies including MCB Computer Consulting as their Sales and Marketing Executive, and J/A Painting and Construction as their Project Manager. He was also a Sergeant in the United States Marine Corps. Congratulations Scott!

Homeland Security Software Puts Americans at Risk  For years, the Department of Homeland Security has relied on an outdated IT system from the 1980’s to store data on everyone entering and exiting the country. The system helps patrol the border, stop drug trafficking and prevent terrorist attacks. And though DHS has tried to update the system ---known as TECS---since 2008, severe management issues have jeopardized the entire project leading to potential security weaknesses. TECS, which screens more than 900,000 people each day, has relied on “obsolete technology” for more than a decade and was scheduled to be upgraded and ready to use by September 2015. However, a new report from the Government Accountability Office says meeting that deadline is highly unlikely. (Source thefiscaltimes.com)

Homeland Security warns of dangerous counterfeit cosmetics  Investigators with the U.S. Department of Homeland Security say counterfeit cosmetics are poisoning Americans and our economy. On one site we found it lists name brands at deep discounts. We saw an Urban Decay Brow Box for $14.99. That's half the cost of what is listed on the website for well-known make up store Sephora. On Ebay there are pages of postings. MAC eye shadows, for instance, are being sold for $10, compared to the actual store price of $15. The posts say 100% authentic, but there's something you should know before you click. "You may be literally poisoning yourself over time," said Special Agent Joe Ortega, U.S. Dept. of Homeland Security. (Source myfoxaustin.com)

Target Breach Started with an Email Phishing Attack on Vendor's Employees In a D&D Daily Special Report last week, we told you how the hackers in the Target data breach broke into the retailer's system by using network credentials stolen from a heating, air conditioning and refrigeration vendor named Fazio Mechanical Services in Sharpsburg, PA. Well now it appears the breach started with a malware-laced email phishing attack sent to employees at the HVAC company, which did business with Target, according to sources close to the investigation. The credentials were stolen in an email malware attack at Fazio that began at least two months before thieves started stealing card data from thousands of Target cash registers. Investigators say the reason why it took Fazio so long to detect the email malware infection was because the company's primary method of detecting malicious software was a free version of an anti-virus program that doesn't offer protection in real-time. (Source krebsonsecurity.com)

Why PCI Compliance Could be Hurting Retail Security 
PCI Security requirements from the card associations has been a pain in the rear for many a retailer for many years (according to one analyst). Some of the new EMV guidelines hold out hope for eliminating the need for PCI audits. However, one can make a strong case that the money and efforts towards PCI compliance and the velvet hammer associated with that actually pulled resources from true security. With everything connected to everything, key vendors within login connections, CMOs engaging vendors outside of the IT infrastructure, there are many potential holes. (Source ihlservices.com)

US Government grapples with credit card fraud  Millions of card numbers and personal details have been stolen from some of the biggest retailers in the US in recent months but changing systems is proving more difficult than the billions of dollars in fraud it could prevent, and Congress wants to know why.
(Source abc.net.au)

Retail In Crisis: These Are The Changes Brick-And-Mortar Stores Must Make  There is a crisis in retail. During the 2013 holiday shopping season, U.S. retailers received approximately half the holiday foot traffic they experienced just three years ago, according to ShopperTrak. With consumer confidence growing in leaps and bounds, the decline in foot traffic signifies a tectonic shift in the way consumers shop and buy. Online and mobile commerce continue to grow for both Web-based and traditional retailers. ComScore reported an increase of 10 percent in online spending during the 2013 holiday shopping season, and many retailers are reporting strong growth on their sites. (Source forbes.com)

The Best Places to Buy Fake Goods
The United States Trade Representative Office (USTR) released the results of its 2013 “Out-of-Cycle Review of Notorious Markets” Wednesday, which is meant to name and shame those websites and physical markets that most egregiously offer goods that are rip-offs of American products. The report identifies the top websites that host or link to pirated music and movies, many of which intellectual property thieves can watch while they are still playing in theaters. The list released by USTR Wednesday is only a sampling of the notorious markets that the U.S. government has been keeping track of since 2006. USTR has released a report on the highest priority markets causing concern annually since 2011. (Source gnom.es)

Amazon to hire 2,500 nationwide to staff fulfillment centers  The online giant said the jobs include picking, packing and shipping customer orders, and are available in Chester, Va.; Coffeyville, Kan.; Columbia, S.C.; Dupont, Wash.; Murfreesboro, Tenn.; and Petersburg, Va. (Source chainstoreage.com)

Casey's Signs Agreement to Acquire 24 Stop-n-Go Stores  Casey’s General Stores, Inc. today announced that it has signed an asset purchase agreement to acquire 24 Stop-n-Go locations. Twenty of the stores are located in North Dakota and four are located in Minnesota. (Source businesswire.com)

J.C. Penney Texas Land Deal Seen Generating $200 Million  J.C. Penney Co’s plan to develop land around its Texas headquarters could generate $200 million, according to an analysis of property records and a project estimate. The retailer said Feb. 6 that it hired three firms to develop 240 acres in Plano acquired in 1987 upon moving its headquarters from New York. The land has been appraised at about $90 million, according to public records. The value could at least double once the property has been developed for commercial use. (Source bloomberg.com)

Cyber attack on Bitcoin a big warning to currency's users  A massive cyber attack from unknown sources that has been spamming bitcoin exchanges is highlighting some of the dangers people can encounter when they exchange cash for digital currencies like the bitcoin, experts said on Wednesday. The attack, which is technically known as a distributed denial of service attack, involved thousands of phantom transactions, forcing at least three of the online platforms that store bitcoins and trade them for traditional currencies to halt withdrawals of bitcoins until they can determine which transactions were real. (Source reuters.com)

Georgia bill intended to deter cargo theft
If a Georgia state lawmaker gets his way, the punishment for truck, rail or container cargo thieves would be stiffened. Rep. Geoff Duncan, R-Cumming, introduced a bill that he calls tough on crime and business friendly. It would establish cargo theft as a specific offense and impose escalating fines and punishment based on the value of goods or controlled substances stolen. Duncan said the state was identified as one of the top three states for cargo theft in 2013. Reasons cited are the interstate system and the Savannah Port. (Source landlinemag.com)

Home Depot announces 2 new sites for “direct fulfillment centers”; Perris, CA and Troy, Ohio

Toys R Us McCarran, NV Distribution Center to Close; Toys R Us says it will stop outbound shipments from its McCarran distribution center next month – and leave the area on June 1

Comcast to buy Time Warner Cable for $45.2 Billion

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Interviews

Episode 1 - "Can Wages Buy Honesty" with Harvard Professor Tatiana Sandino and Jim O'Connor, VPLP, Bed Bath & Beyond - Part 1

In this three-part interview, LPNN and Tatiana Sandino, discuss her study, "Can Wages Buy Honesty: The Relationship between relative wages and employee theft." Her and her co-author wrote this study based on an interest of the challenges that can be faced when controlling employee theft in the retail sector, and how companies paying higher wages could affect employee theft.

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Press Releases
 

Axis Announces Its Most Cost-effective Full HDTV 1080p Network Camera Ideal for Small System Surveillance

AXIS M1025 Network Camera offers retailers and offices high resolution video, easy installation and support for HDMI output, edge storage, Power over Ethernet and Corridor Format

CHELMSFORD, Mass. – February 13, 2014 – Axis Communications, the market leader in network video, today announces the indoor, compact AXIS M1025 Network Camera that delivers full frame rate video in full HDTV 1080p or 2-megapixel resolution. The camera includes intelligent features for increased image usability, including support for HDMI output (Micro) for live streaming to a monitor at HDTV 720p, internal memory card to store video, Axis Corridor Format that optimizes the surveillance of narrow corridors and aisles and support for Power over Ethernet in addition to DC power.

“AXIS M1025 is the first full HDTV 1080p / 2-megapixel camera in the successful AXIS M10 Series. With this camera we have added support for HDMI output [Micro] and also Power over Ethernet,” said Erik Frännlid, Axis’ director of product management. “The HDMI output will be useful for those retail stores where a public view monitor is required, and Power over Ethernet simplifies installation and saves time and cost. Small system surveillance users will enjoy the flexibility of this stylish and affordable camera.”

Thanks to the support for memory cards, AXIS M1025 is also ideal for AXIS Camera Companion, the cost-effective IP video solution designed for small installations. AXIS M1025 includes support for multiple H.264 video streams and features support for AXIS Video Hosting System with one-click camera connection, making the camera ideal for a hosted video solution.

The camera is supported by the industry’s largest base of video management software through the Axis Application Development Partner Program as well as AXIS Camera Station. The camera includes support for ONVIF for easy camera system integration and AXIS Camera Application Platform for application developers to provide the camera with intelligent capabilities. AXIS M1025 is planned to be available in Q1 2014 through Axis’ standard distribution channels at the suggested retail price of $299.

 

Retail Crime News
Sponsored by Sony

Million dollar 3-state Luxury Jewelry theft ring busted, NYPD and FBI working together  More than a million dollars in watches — mostly from a Cartier store in Manhattan — were snatched from luxury jewelry shops in New York, New Jersey and Virginia before authorities say they were able to arrest a smash-and-grab crew of four men. Two of the suspects stole more than $700,000 in timepieces from the Cartier store, authorities said Wednesday. The four suspects were charged in federal court in Manhattan with conspiracy to commit robbery. Authorities say they terrorized customers and employees by smashing display cases with hammers and stealing high-end timepieces at stores including the Bernie Robbins Jewelers at the Borgata Hotel and Casino in Atlantic City, N.J., on July 1, Schwarzschild’s Jewelers in Richmond, Va., on Aug. 3 and Martin Jewelers in Cranford, N.J. on Jan. 9. Police Commissioner William Bratton said the break in the case came when two men were arrested shortly after the Manhattan Cartier store robbery. (Source washingtonpost.com)

Suspected 'Pink Panthers' jewel theft gang member arrested in Spain  Years on the run as a suspected member of the feared "Pink Panthers" gang of international jewel thieves have ended for a Serbian man who's been arrested in a Madrid suburb, Spanish police said Wednesday. Police say Borko Ilincic, 33, took part in a bold robbery of a jewelry store in Dubai in 2007, when thieves drove two cars inside a shopping mall by the store. Spanish police said that robbery netted $4 million in jewels, but the international police agency Interpol says "the gang made away with jewelry worth an estimated $15 million." Ilincic is facing a life sentence in the United Arab Emirates for the 2007 jewel heist. (Source cnn.com)

Suspect in Atlanta Kroger store shooting held; charged with aggravated assault, weapons counts  Police say a man accused of shooting two women in a suburban Atlanta grocery store crowded with shoppers is being held without bond. Lawrenceville police Capt. Greg Vaughn said that 42-year-old Leevon Young has been charged with three counts of aggravated assault and weapons violations after Monday's shooting. Police said the shooting erupted as shoppers stocked up on essentials before an approaching winter storm. Vaughn says a 66-year-old woman was wounded in the abdomen and a 19-year-old woman in one leg. Both were taken to a medical center with non-life threatening injuries. (Source foxnews.com)

Domestic disturbance leads to shot fired at a Jackson Hewitt office in the North Towne Mall, Rockford, IL  Police arrested 58 year-old Frederick Williams. He's charged with aggravated discharge of a firearm at a person and unlawful use of a weapon by a felon. His bond is set at $500,000. He was arrested at his home just before 5pm Tuesday. Investigators say a 48 year-old female employee at Jackson Hewitt was opening the business this morning. She was accompanied by her boyfriend. Her ex-husband showed up with a gun around 10:30am and allegedly fired one shot at her boyfriend. (Source mystateline.com)

Domino's Pizza shooting, Inland Empire, CA: Manager killed, ex-boyfriend arrested  The manager of a Domino's Pizza in San Bernardino is dead after a shooting at the restaurant on Wednesday. Authorities have arrested the victim's ex-boyfriend, who is believed to be the gunman. The shooting occurred around 11:30 a.m. at the store on the 1600 block of East Highland Avenue. Police believe 55-year-old Pedro Duquesne confronted the victim, 39-year-old Nelly Kantun, inside the Domino's Pizza, opened fire and continued to shoot as she tried to escape. Kantun suffered multiple gunshot wounds to her abdomen. She was taken to St. Bernardine Medical Center, where she was pronounced dead. (Source abclocal.go.com)

Burglars hit several Cell Phone Stores in the Puget Sound, WA area  Burglars caught on surveillance camera seem to be responsible for multiple break-ins and thefts at different cellphone stores around Puget Sound. Early Tuesday morning, they broke into a Port Orchard cellphone store, stealing $12,000 worth of phones from an inventory room, according to the store owner. On Friday, the same two people are suspected of breaking into the same place to steal phones on display in the main room. (Source kirotv.com)

Teen arrested in Clermont, Florida for ACE Hardware store robbery after manhunt  Clermont police and Lake County deputies set up a perimeter around hundreds of homes southwest of the interchange at U.S. Highway 27 and State Road 50 as they searched for a suspect wanted for holding up and robbing nearby Ace Hardware store. No one was hurt in the robbery, police said. Clermont police eventually found and apprehended the 17-year-old suspect. (Source mynews13.com)

Staples employee charged after trying to steal computers from the store in Mansfield Township, PA  Richard Partridge took two laptops and a computer monitor from the shelves of the Staples store in Mansfield Township, township police said in a news release. He then hid the electronics in a dumpster outside the store where he planned to retrieve them later, police said. The devices were valued at nearly $1,200. (Source lehighvalleylive.com)

Payless Shoe Employee pocketed cash from 23 fake returns in Ames IA  Sheena Larson, 26, was charged with second-degree theft in connection with the case. Police said Larson made 23 returns to the store using the names of store customers or made up names. She then took the money from the returns, police said. The Tribune reported that a loss prevention manager investigated the returns after Larson showed up as having the most returns of any employee in the region. (Source kcci.com)

J.C. Penney Store Employee Arrested for Embezzlement of $14,300 at Oak View Mall in Omaha  Police were called to the store to respond to a report of a disturbance about 6:30 p.m. When they arrived, a loss prevention associate told police that Colbert issued ten credits to his J C Penney credit card totaling $13,300. He also issued himself two $500 gift cards. The associate says the theft happened between 7 a.m. February 3 and 11 p.m. February 4. (Source wowt.com)

Burglar broke into Sandy, Utah jewelry store, but couldn't get out  A man broke into a jewelry store through the ceiling Wednesday, but then couldn't escape because of a security door, police say. The burglar broke into a neighboring business of Sierra West Jewelry, and then entered the jewelry store through the ceiling.. He then attempted to get out by trying to break through the shatter-proof glass door with a fire extinguisher, but failed. (Source deseretnews.com)

Man's girlfriend believed to be involved in theft from JC Penney in Richmond Heights, OH

Zales in Palm Desert, CA. hit with a diamond switch for $6,669.00, suspect even went as far a making a call to his “girlfriend's father” while inside the store
 

Robberies and Burglaries

Check Into Cash – Armed Robbery – San Dimas, CA - 2 employees and family with 2 small children were unharmed
Dale’s Corner – Armed Robbery –Springfield, MA – suspect was carrying a rifle, no one was injured
Dollar General – Armed Robbery - Baldwin County, AL – 2 employees locked in restroom
Dollar General – Robbery – Deland, FL – Police seeking one suspect, no injuries
Gassy Minnow – Armed Robbery – Hugo, OK – suspect w/ shotgun/ no injuries
Kingdom Skateboards – Burglary – Hamilton, MT – 2 suspects charged with 5 counts of felony burglary
Radio Shack – Armed Robbery – Deer Park, NY – 4 men-one armed held 2 employees at gunpoint
Smoke Box – Burglary – Store owner shot one suspect in head (stable condition), Police arrested 2nd suspect
Super Mas Market – Armed Robbery – Lawrence, MA – one suspect lifted his ski mask to the camera
Thrifty Outlet – Armed Robbery – Glen Burnie, MD – no weapon displayed, clerk did not comply, suspect fled
Walgreens – Armed Robbery – Alliance, OH - suspect was demanding drugs, fled empty handed
7-Eleven – Armed Robbery – Colorado Springs, CO – same suspect believed hit the store a second time

 

ORC News
Sponsored by Protection 1

Henderson, Nevada Man Arrested in Series of Target Store Thefts  Henderson Police have arrested a man in connection with thefts at two Target stores in Henderson. Police arrested 30-year-old Harold Joseph Michael on charges of burglary, grand larceny, petit larceny, conspiracy and possession of burglary tools. He took items in five different incidents, police said. Small electronics were the most common items stolen. Police are investigating Michael and believe he may be responsible for a series of thefts at Target stores in Las Vegas and North Las Vegas. (Source 8newsnow.com)

Shoplifters choke Target clerk in Greenwood Village, CO, fill shopping cart with electronics  Greenwood Village Police are asking for the public's help in identifying shoplifters who choked a Target clerk into unconsciousness and then escaped out a back door with a shopping cart full of merchandise. The suspect asked a clerk to open the electronics merchandise case so they could look at some high-end Beats Headphones. The headphones typically range in price from $200 to $400. When the clerk bent over to open the case, one of the suspects grabbed the employee from behind by his neck, causing him to lose consciousness. (Source thedenverchannel.com)

Beaumont, TX Case of Shoplifting from Dillard’s turns into a Short Police Chase  A 33-year-old Beaumont woman refused to stop her car, the officer pursued her. The chase ended a short time later at an apartment complex. "We know for sure some shirts were taken, there may have been some other items and they're working that out," said Sergeant Rob Flores, with the Beaumont Police Department. "She also had two outstanding felony warrants for a prior theft, and a failure to ID. She's in custody right now for the felony warrants, failure to ID, for felony evading in a motor vehicle as well." Organized shoplifting rings have been on the rise in Southeast Texas for the past few years. (Source kfdm.com)

WFTV Inv. Reporter looks at Organized Retail Crime and how the Daytona Beach Police are successfully working with Retailers  Channel 9's Vanessa Welch spent months looking into the issue and learned detectives with the Daytona Beach Police Department are aggressively going after thieves. Daytona Beach police Detective Scott Frantz said we are all affected by this kind of crime. Frantz and his team go after people who keep the thieves in business, including smaller store owners who are buying the stolen goods for pennies on the dollar and using them to stock their shelves. (Source wftv.com)

“Protection 1 is proud to be sponsoring the D&D Daily ORC column to ensure the LP industry gets the information, education and critical data they need to fight this  national epidemic.” Rex Gillette, VP Retail Sales, Protection 1.

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Vendor Spotlight
 

The Situation

The Payment Card Industry Data Security Standard (PCI DSS) requires the ability to authenticate and identify access to systems containing confidential and secure payment information.

This identification of access to secure systems includes retail store servers where the information is maintained. Retailers can either choose to implement an access control system or monitor the server room with video equipment. The video requirement includes a minimum of 90 days of storage.

The Challenge

A Fortune 500 national retailer needed its 1,500 locations PCI Compliant within 90 days.

Since access control would be an entirely new venture for its stores, this retailer decided to select the video option since there was a current infrastructure in place. However, the current infrastructure couldn’t support the 90-day requirement necessary without an enormous investment to upgrade each DVR in operation.

Ultimately, the retailer needed a recording solution that:
 

Captured and recorded 90 days of video
Functioned in low light and complete darkness
Could easily plug into their network
Functioned both as a camera as well as a recording device

The Checkview Solution

Checkview worked with its leading industry partners to source both the hardware and software that the retailer needed for a cost-effective solution meeting the necessary PCI DDS requirements as well as its internal network needs.

Checkview was able to install this solution in 1,500 locations in 90 days thereby achieving 100% PCI compliance.

“The project details from camera programming, scheduling and coordination of installation was a
massive undertaking that Checkview handled with ease,”
said the Director of Loss Prevention
Operations for this retailer with over 600 million shoppers annually.

Checkview efficiently and methodically executed this roll out through its certified and thoroughly
trained Field Service team.

“I don’t know what we would have done without Checkview,” said the Director. “Checkview came to
the table with several viable solutions. Once we selected one and decided to implement, Checkview managed every detail of the process. They truly are a valuable member of my asset protection team.”


What’s your challenge? Challenge us to solve it at Checkview.com.

 

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Scott McBride was promoted Vice President Global Loss Prevention - Safety & Security for American Eagle Outfitters, Inc.
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What this Winter is Doing to Employee's Productivity  This extremely cold weather and unpredictable snow storms are doing more than just freezing your tails off; it is also affecting your team's ability to be productive, but not in the way you would expect. It could be helping your team to tackle their workloads and get things done! (When it rains, it pours)

How to Quit Your Procrastination Habit Once and for All  Have you had enough with putting things off over and over again? Well, you're in the right direction with being aware of procrastination's effects! Now, follow these steps to figure out what's going on when you procrastinate. (Be aware)

Are You the Right Kind of Busy?
You may think that checking all those unanswered emails this morning, and getting your affairs in order as far as what you need to do today means that you have been busy. However, did any of that produce results? We may think we're busy but there are two different types of work and only one produces results. (Motion and action)

What to Do When You Run Out of Ideas
You've exhausted about every idea you can think of,  you start to panic and feel desperate for a spark, you just can't take it anymore. Take a breath, relax, and try following these tips when you run out of ideas. It's not the end of the world, you just need to go looking for some inspiration. (Keep an idea list)

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Tip of the Day
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Agreeing to give a reference on someone is a serious obligation and responsibility because that executive is now depending on you to provide a favorable account of their work performance. Most often executives who ask you don't ask what are you going to say about my weaknesses or mistakes. They naturally assume that your long-term friendship and desire to see them succeed will rule the day and in some cases they're legitimately right. However, when making this commitment you also have a responsibility to make sure you don't overextend your support and help put them in a position to fail. And if the executive conducting the reference is extremely thorough, then you will be reviewing the executive’s weaknesses and strengths.

Just a Thought,
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