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July 10, 2014

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News Brief
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The Global Retail Theft Barometer (GRTB) -
the only global benchmark report


Get involved and complete yours today.
This is the last week to participate.
Let's make sure the U.S. is represented.

A few highlights for the GRTB this year:

  • Report will be published in early November 2014

  • Ernie Deyle, ex-VP LP for CVS, will be the author/spokesperson for the report.

  • The questionnaire takes 10 minutes to complete - all online.

  • All information is confidential and goes to The Smart Cube, a research firm that stores and analyzes the results.

  • Checkpoint does not see ANY of the responses - only see the aggregate once the analysis is completed.

  • Report will include 25 countries, assuming there are at least 30 retailers responding for each country.

  • If US does not get up to at least 30 retailers, they will be excluded from the report.

  • Retailers that complete the report will receive a free early copy of the report.

American Apparel's fired CEO not to serve on board - investigative results determine his future role  Mr. Charney will not serve as a board member or be nominated by the Company or Standard General as a board. A continuation of the ongoing investigation into Mr. Charney’s alleged misconduct overseen by a newly appointed, independent board committee. Mr. Charney will serve as strategic consultant until the end of the investigation. Based on the findings of the investigation, the committee will determine if it is appropriate for Mr. Charney to serve as CEO or an officer or employee of American Apparel. (Source businesswire.com)

Botnet brute-forces remote access to point-of-sale systems - attacking POS systems all the time!  Thousands of compromised computers are actively trying to break into point-of-sale (POS) systems using brute-force techniques to guess remote administration credentials. The computers are part of a botnet, dubbed BrutPOS by researchers from security firm FireEye, that has been active since at least February. “Some of the usernames and passwords indicate that the attackers are looking for specific brands of POS systems such as Micros,” the FireEye researchers said Wednesday in a blog post. Micros Systems is based in Columbia, Maryland, and provides software applications, services and hardware systems, including POS terminals, to the hospitality and retail industries. If the BrutPOS malware successfully guesses the remote access credentials of an RDP-enabled system it sends the information back to a command-and-control server. Attackers then use the information to determine whether the system is a POS terminal and if it is, to install a malware program that’s designed to extract payment card details from the memory of applications running on it. (Source cio.com)

Hacking Groups Target Shipping Ports
Authorities in the U.S. and Europe are beginning to recognize that shipping ports are vulnerable to cybersecurity threats. The systems used to monitor the movements of containers from ships to trucks can be hacked, either for criminal or other nefarious purposes, according to recent reports. The GAO recommended that the sector conduct a comprehensive risk assessment which is usually the first step in mitigating potential cyberattacks. So far, the Department of Homeland Security has taken limited actions to beef up cybersecurity at maritime ports, largely, officials told the GAO, because they have only recently recognized the severity of cyber-related threats. An incident in 2013 where criminals allegedly hacked into IT systems at the Belgian port of Antwerp which enabled them to smuggle drugs into the country, one of the first known incidents of hackers infiltrating port IT systems. (Source wsj.com)

Diesel Sues Cybersquatters - Counterfeiters
The denim and sportswear brand has filed suit in U.S. District Court for the Southern District of New York charging nine defendants with selling counterfeit Diesel products through a network of 83 different Web sites, all using the Diesel brand in their domain names without authorization and all but three of them using the word “jeans” as well. Diesel said that it engaged OpSec Security to untangle the vast network of Web sites and found nine “infringing families” behind them. The largest, described in court papers as “Infringing Family 2,” controlled 45 of the sites while three of the nine supervised just two each. Some of the site names were straightforward, such as buydieseljeansonline.net, while others suggested geographic origins (dieseljeansoutletuk.com) or suggestions of the brand’s heritage (dieseljeansclassic.net). Those still in operation made extensive use of Diesel’s logo and other trademarks. (Source wwd.com)

High Point, N.C. Police launch "Larceny Theft Initiative" to crack down on shoplifting spike  Lieutenant Tracy Perry explained summer is a time in which crime rates typically increase overall, and shoplifting is prevalent. She said this Larceny Theft Initiative is an attempt to get local businesses more involved in the reporting and prevention of shoplifting. Starting this Wednesday, the High Point Police Department is inviting anyone who works in the High Point retail sector to attend retail theft meetings at the police department to discuss loss prevention. The meetings are scheduled at 10 a.m. each second Wednesday of every other month (the next meeting is Sept. 10). Perry said currently, officers do not have a compiled record of every shoplifting suspect's past convictions. She said this Retail Theft Initiative will streamline that information and help impose harsher punishments on repeat offenders. Someone who has obtained four misdemeanor convictions for shoplifting will receive a felony charge for subsequent offenses. (Source wfmynews2.com)

The Importance of PCI Compliance in Combating Credit Card Fraud  Retailers who don’t have PCI compliance place themselves at increased risk of losses that could be prevented with adequate fraud protection in place. “No consumer wants to feel that their credit card information could be compromised at any stage," says Duncan Ellison at FastNet, South Africa’s leading wireless POS service provider. "Consumers pay with their cards thinking that their payment will be totally secure, but if the retailer does not have PCI Compliance payment systems in place, their card is passed over communications channels that might allow for the data to be compromised.” Ellison says that anywhere where ‘Cardholder Data’ is handled from the checkout operator to the bank has to be considered safe. (Source themarketingsite.com)

Whitepaper: Best Practices for EMV Migration  EMV is designed to combat card skimming and counterfeiting; EMV-compliant cards contain an embedded chip as well as a magnetic stripe. The chip contains data needed to use the card for payment transactions, but it is protected by several security technologies that prevent counterfeiting. The U.S. is one of the last countries to migrate to EMV, and the deadlines are approaching. This white paper discusses best practices for EMV migration, such as: Planning, Debit card, Evaluation, Processors and Dip card readers. (Source retailcustomerexperience.com)

Obstacles Facing Cyber Info Sharing Bill - Getting Cybersecurity Legislation Passed Isn't Easy

Ron Johnson, former J.C. Penney CEO tells Stanford University students: ‘I was a terrible fit for J.C. Penney’

Why merging PetSmart and Petco makes sense

Dodgers found partly responsible in 2011 fan beating - "inadequate security" - will pay out $14M

How to spot knockoffs and counterfeit goods; estimated $1.7 Trillion business  An estimated $1.7 trillion worth of knockoffs, counterfeit and imitation products are sold to consumers every year. While it can be difficult to spot the fakes, many counterfeiters are selling products the manufacturers never made in the first place. Can't get enough of Justin Bieber? How about wearing some of his Supra Skytop Hi skate shoes for $119? Eyewitness News found them on sale at Amazon, Taobao, a China-based website that's one of the biggest online marketplaces in the world, and on eBay. (Source abc7.com)

Pot shop security like 'a bank on steroids'
The high-value goods inside make the foray more like a cross between a bank and a jewelry store if a visit Monday to a medical marijuana dispensary here is any indication. "We have been open here for more than three years," said John Davis, chief executive of Northwest Patient Resource Center. "It is built like a bank on steroids." To protect the people working, the pot and the profits, several layers of security are needed, he said. "You can't cut in from above. You can't tunnel in from below," said Davis, pointing to a maze of circuits on the ceiling. "The system will pick you up before you ever manage to get inside." Davis also has 14 high-definition, infrared cameras always rolling. Bullet-resistant glass is part of a demolition-resistant wall that customers first see after they walk through the front door. The facility is outfitted with motion sensors, heavy-duty locks and alarms. (Source usatoday.com)

First man to legally buy Marijuana in Washington is Fired from Security Guard job after employers saw him on the news and gave him a drug test  A security guard claimed he was sacked from his job after his employers spotted him buying the first bag of legal marijuana in Washington State. Michael Kelly Boyer from Spokane posted his resume on Craigslist after being fired following his visit to the Green Leaf store in the north of the city. Boyer was determined to be the first person to buy legal marijuana in Washington - even queuing outside the store overnight in a sleeping bag. (Source dailymail.co)

June Same Store Sales Results

Costco up 6%
Zumiez up 3.1%
Cato up 3% with sales up 7%
Stein Mart up 2.6%
L Brands up 2% with net sales up 7%
The Buckle up 0.7% with net sales up 2.8%
Family Dollar flat
Fred's down 0.6% with sales up 2%

Quarterly Same Store Sales Results

Burberry Q1 up 12% with revenues up 9%
Family Dollar Q3 down 1.8% with net sales up 3.3%
Destination Maternity Q3 down 5.3% with net sales down 5.5%
 

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Steve Ippolito, Dir. of LP at Talbots and Chair of the NRF LP Content Planning Committee, and Gary Johnson, VP of LP for The Vitamin Shoppe and former Chair of the NRF LP Advisory Council, talk about the year-long process that goes into planning the NRF LP Conference & Expo. The show has evolved over the years to address the educational needs and increased scope of the LP profession. Steve and Gary tell us how the NRF conference reflects the direction and future profile of the successful senior LP executive.

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In this LPNN Quick Take, Joe LaRocca and Rex Gillette, VP National Accounts Retail for Protection 1, meet up with Barry Vaughn, Area Investigator with Old Navy. Barry was awarded the LP Case of the Year Award from the National Retail Federation. Listen as Barry discusses the case valued in upwards of $800K.
 


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e-commerce
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Data Breaches Change Consumer Habits
In the wake of what feels like a never-ending series of data breaches large and small, consumers are starting to modify where they shop, and how they pay. The recently released National Consumer League’s Data Insecurity Report indicates that consumers more and more feel retailers are responsible for data breaches that leave their personal information compromised, reports Dark Reading. Further, they are voting with their feet and going to different stores. The second study, Security Matters: Americans on EMV Chip Cards, notes that two thirds of Americans are more likely to pay in cash in the immediate aftermath of a major security breach after hearing it reported on Sponsor video, mouse over for sound. Recent breaches have also lowered confidence in retailers, nearly 60 percent of fraud victims said their trust in retailers has significantly decreased after their data was compromised. On around 10 percent believe retailers can or will keep their data safe. Financial Institutions did somewhat better: according to the source, the second study that even in the aftermath of the breaches, consumers were around 70 percent confident in the security of their banking institution. (Source pymnts.com)

Retailers swallow online food cost to lock in shoppers  Big retailers are taking a calculated hit to margins to invest in online grocery operations, in the hope they can persuade consumers to add more profitable items like clothes and computers to their orders of fruit and vegetables. Food has been one of the last things to move online because complex logistics for fresh, chilled and frozen products make it an expensive business. Retailers are also reluctant to lose the potential for the lucrative impulse buys that occur in-store. however, retailers in Europe and North America are now ramping up their online food offer to compete with Amazon.com, which is expected to expand its sale of fresh produce beyond a few trial areas with the aim of complementing its non-food sales - and eating other retailers' lunch. (Source reuters.com)

Belk plans $47 million expansion of e-commerce center

"Fraud is not a person - it is a dynamic grouping of statistics that deviate from the norm."
Stuart B. Levine, CFI, CFCI
CEO, The Zellman Group & Zellman Fraudnet

 

Retail Crime News
Sponsored by NuTech National

"Green Dot" Bomb Threat Continues - CVS & Rite Aid bomb threats "may be tied to other threats nationwide" in Lebanon County, PA  Lebanon City Police responded to a bomb threats made at Rite Aid, 415 S. 9th Street, and at CVS, 833 Bowman Street on July 9. Investigators said a man called the pharmacies and demanded the manager activate several Green Dot prepaid credit cards. The caller claimed if the manager didn’t comply, the bomb would go off. Police evacuated the stores and determined the threat to be a hoax. Nothing suspicious was found. Similar threats have been reported at retail stores nationwide, according to FBI reports. Authorities are trying to figure out who is making these threats. (Source fox43.com)

Man Shot and Killed in San Bernardino Strip Mall, Fourth Homicide in Five Days  San Bernardino Police received a report of shots fired around 11:30 p.m. at a strip mall on the 2800 block of West Rialto Avenue. When police arrived, they found the man outside a Super 99 Cents Plus store (Source nbclosangeles.com)

Man shot, killed in parking lot of Walmart in Marion County, FL  A 21-year-old man was shot and killed late Wednesday night in the parking lot of a Walmart in Marion County, according to deputies. Thomas James Brown died in the shooting, which occurred just after 11 p.m. at 34 Bahia Avenue in Silver Springs Shores, according to the Marion County Sheriff's Office. Deputies said a 911 caller reported the shooting, and Brown was found dead at the scene. Brown had been arguing with another man, who shot Brown several times, according to deputies. The suspected shooter fled in a sport utility vehicle but was later located near Ocklawaha. (Source clickorlando.com)

W. Jordan, Utah Police shoot suspect at Jordan Landing Shopping Center overnight  Police responding to a report of a suspicious vehicle and person in southwest Salt Lake County’s Jordan Landing shopping complex ended up shooting a man early Thursday morning. Public safety dispatchers received a 911 call at 11:43 p.m. Wednesday reporting the vehicle near the development’s Old Navy store. At 12:33 a.m. Thursday, a West Jordan police officer contacted and tried to stop the suspect, who apparently attempted to flee. (Source sltrib.com)

Dorchester hotel targeted in second smash-and-grab jewelry raid in a month  One of the most prestigious five-star hotels in the UK has been hit by smash-and-grab robbers for the second time in four weeks. A gang of six men on three mopeds pulled up outside the Dorchester hotel in Mayfair, central London, in the early hours of Thursday morning and three of them smashed their way through the front door and broke into display cabinets. The luxury venue was hit in exactly the same way on 10 June, when watches and jewelry were stolen in what police called a well-planned" heist. In Thursday's robbery, the thieves all fled the scene within minutes and no one has yet been arrested. (Source theguardian.com)

Female hits numerous stores in Sioux Falls for thousands - 'Just for kicks'  The 30-year-old woman from Tea is being charged with grand theft shoplifting and possession of stolen property. Katie Marie Smit stole nearly $2,200 in merchandise from retailers in Sioux Falls before she was arrested on Tuesday afternoon. She made her first court appearance Wednesday, where prosecutors said she told authorities 'it was for kicks'. (Source kdlt.com)

Fire at Lexington, KY Lowe's Sparks Arson Investigation  A large fire sent smoke in the air, able to be seen for miles at a Lexington Lowe’s. The fire department said some lumber behind the Lowe's on Old Todds Road, off Richmond Road, in Lexington caught fire Wednesday evening. The fire never got 'inside' the building, though the store was evacuated. A couple of things made this fire interesting. First, the fire department said all signs point to this being 'arson' because there was no logical reason the lumber would have suddenly burst into flames, on its own. And even though no one was hurt, they say, someone could have been. According to the fire department the heat generated by the fire was 'so' hot, it caused a steel lumber rack to partially melt, then collapse which also could have been deadly. (Source wtvq.com)

Surveillance video of Pay Half Store arson in Providence, RI  Arson investigators say they need help in identifying a woman in surveillance video of a clothing store that caught fire in late June. In exclusive surveillance video obtained by NBC 10, shoppers are inside the Pay-Half store in Providence's Eagle Plaza when a fire starts in a clothing rack. Providence arson investigator Paul Doughty tells NBC 10 the fire and subsequent water damage caused about $500,000 in damage to merchandise and the inside of the store. At the time of the fire, about 7 p.m., Doughty said there were about 30 customers and six workers inside the store. (Source turnto10.com)

Lantana, FL convenience store burglary leads to arrest, SWAT standoff  The burglary of a Lantana convenience store resulted in the arrest of a woman, a SWAT standoff and the possibility of another suspect still on the loose. Lantana Police arrested the woman after the alleged burglary near North Dixie Highway and Lantana Road. She said she had an accomplice who had .38 caliber revolver, which prompted the standoff and lockdown. By 5 a.m., police said they had not found a second person and would not confirm that two people were involved in the alleged crime. (Source wptv.com)

Armed Security guard foils would-be armed robber in Jonesboro, AL  At the entrance to a store on Tara Boulevard, a would-be robber shot at the store's armed security guard. The security guard, somehow, dodged the bullet. And by his very presence, he stopped the man from robbing the store. Even though the would-be robber got off a shot and got away, he got away empty-handed -- that is, with nothing but his life. And security guard Joseph Watkins is sure that after that quick confrontation a week ago at the store in Jonesboro, the guy won't be back. "I literally had nanoseconds" to react, Watkins said Wednesday. (Source 11alive.com)

Serial shoplifter uses 13 yr-old daughter and husband to hit Safford, Az., Walmart store

Cops looking for skimmer who placed them at three SunTrust banks in Tamp Bay

Police searching for women using stolen credit cards at multiple stores in Hilliard and Dublin, Oh

Southaven, MS., police looking for couple using stolen credit cards buying large amount gift cards at several pharmacies

Shoplifter bites an employee from Akira in the Westfield Hawthorn Mall in Vernon Hills, IL

Man receives 60-year sentence for armed robberies at Spartanburg, SC store

ConocoPhillips employee in Anchorage, AK steals 36 computers from his employer

Lebanon, MO Police investigating downtown jewelry 'smash and grab'

Kay Jewelers Outlet in the Great Mall of Bay Area, Milpitas, CA the victim of a Grab and Run, total value over $10,000

Robberies and Burglaries

Cabot Market - Portsmouth, NH - Robbery - suspect arrested
Circle T - Crockett Co, TN - Burglary - truck smashed thru wall
CVS - Kenova, WV - Armed Robbery
Dollar General - Norfolk, VA - Armed Robbery
Krush Smoothie - Alberni Valley, BC, CN - Armed Robbery
People’s Drugs - Escanaba, CA - Armed Robbery
Subway - Tulsa, OK - Armed Robbery - surveillance video released
Walgreens - Nashville, TN - Armed Robbery
7-Eleven - Killeen, TX - Robbery

 

ORC News
Sponsored by Security Resources

Fuel thieves using stolen credit cards busted in Naples, Fla.  Two men were arrested after being spotted going from gas station to gas station filling up large containers in the bed of their pick up trucks with diesel fuel. Police found out they were using stolen credit cards and the pair was arrested for transporting fuel illegally. The duo's arrest left Parker's team investigating something even bigger. "At the time, they were using several different credit cards to pay for the fuel. So, we're in the process, at this point, of seeing if those cards or those card numbers were issued to other people," Parker said. According to Parker, what happens a lot in Florida is criminals will buy diesel with stolen credit cards, then set up shop in a remote area. The criminals will sell the fuel for a fraction of the original cost. (Source abc-7.com)

Suspect charged in series of violent heists at area Radio Shack stores in Detroit  Fingerprints on duct tape helped federal agents nab a Radio Shack bandit who they charge was among a gang of robbers who went on a violent crime spree across metro Detroit, tying up employees and customers with cords at gunpoint, taping their eyes shut and stealing smartphones and bags of cash. Among the victims was a 14-year-old boy who was handcuffed to a metal chair. Today, two months after that ordeal, an indictment was handed down in U.S. District Court charging Walter Smith, 19, of Detroit, with robbing two Radio Shack stores in June — one in Royal Oak, the other in Royal Oak Township. The indictment was triggered by scraps of duct tape. (Source freep.com)

Marshall’s Shoplifter hits Apopka, FL Police Officer with vehicle; arrested 40 times before  The Apopka Police Department says a Corporal was struck by a fleeing suspect’s vehicle Wednesday night. Officers say 29-year old Berinthia Ketierra Williams is charged with Attempted Homicide, Aggravated Fleeing and Eluding and Felony Retail Theft as well as other charges. Officials say around 7:00pm, Corporal Kenny Kaisera responded to theft call at the Marshall’s store on East Semoran Boulevard. Investigators say a Loss Prevention Officer recognized Williams as being part of a shoplifting ring and contacted law enforcement to respond when he observed her concealing merchandise. Officials say as Williams left the store the Loss Prevention Officer gave her description, the vehicle she was driving and her location in the parking lot to police dispatchers. Officers say Corporal Kaiser arrived first on scene and made contact with the suspect. Investigators say he gave her verbal commands to exit the vehicle but instead she lunged the car toward him several times, then accelerated away from Corporal Kaiser in reverse onto a curb and sidewalk. Officials say as Corporal Kaiser approached her vehicle she deliberately cut her wheels toward him and quickly accelerated forward, striking him with the front center of her car. Kaiser rolled onto the hood and struck the windshield. Williams continued to accelerate through the parking lot. Corporal Kaiser fell from the vehicle as the vehicle fled. (Source myfoxorlando.com)

Logan County, OH Grand jury indicts pair for 39 counts of ID theft  Two African nationals was each the subject of 40-count indictments handed up this week by a Logan County grand jury. Isaac Weah, 23, and Mamadou Abda Ba, 25, both previously of Columbus, have been charged with 39 counts of identity fraud, and a single count of illegal use of supplemental nutrition benefits, each fifth-degree felonies. One of the suspects entered the Russells Point Village Pantry and attempted to buy a carton of cigarettes, only to have the transaction fail five times with five different gift cards. The manager provided law enforcement with an accurate description of the vehicle and license plate number, which led to the traffic stop and arrests. Police and Ohio Highway Patrol stopped the duo. A search of the car turned up 40 prepaid cards in plain view and under the dashboard. An agent from the Columbus office of the U.S. Secret Service examined the cards, finding all but four had been re-encoded with stolen account information. (Source examiner.org)

Prince Frederick woman charged with theft at Cato Fashions store  Dep. L. Kelly responded to the Cato Fashions store in Prince Frederick on July 4 at 4:57 p.m. for the report of a theft in progress. Upon arrival, Kelly made contact with a store employee who advised that a woman was in the store cutting and removing tags from clothing. Kelly spoke with the woman, identified as Belinda Jean Windsor. Windsor had a pile of clothing and a pair of scissors in her possession. The clothing had the tags cut off. (Source thebaynet.com)

Counterfeit card fraudster busted in Collier County, Fla., hitting Publix & other retailers


Busted ORC Victoria's Secret Bra thief sentenced to time served, gets probation for Upper Merion Thefts

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Vendor Spotlight
 

Detex Launches New Website

New 'Idea Center' Feature Provides Guide to Door Security Products

Detex Corporation, an industry leader in manufacturing high quality life-safety and security hardware for commercial buildings, has launched a new and improved website at detex.com. The biggest addition to the site is the new Idea Center, a tab for end users, architects and other visitors who are unfamiliar with door hardware or Detex products.

The Idea Center uses 3D building images, with labels, explaining how various Detex products can be used within the example building. There are various doors labeled with different product categories. Once you click on the image or the application, you will see a list of product applications that Detex can provide to address the needs of that application. These short descriptions allow the visitor to know all the various options available from Detex, each providing a link to specific product information. Detex will be adding to the list of industries over time.

Other features on the new website include:


 
The scrolling banner on the front page that displays Detex’s sub-brands. Any of them can be clicked on to go to the overview page associated with that sub-brand.
The menu, which has drop down menu links, enabling less clicks to find information.
The Help & Support pages got a facelift and are now more user friendly than on the old site.
New, user-friendly domestic and international rep maps.

 
The whole layout is responsive, so there is only one site for monitor and mobile. The mobile version of the site is easy to user and very lightweight.

Detex Corporation is a world-class manufacturer and distributor of products that protect people, secure property, and assure the life safety and security objectives of our customers. A USA company, Detex designs, manufactures, markets and ships products from New Braunfels, Texas. Detex Corporation is known internationally for life safety and security door hardware, loss prevention and architectural hardware, integrated door security systems, and guard tour verification.

To learn more about the Detex Lockdown System, e-mail marketing@detex.com or visit www.detex.com.

 

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