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July 23, 2014

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News Brief
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Jamal Evans was named Director of Loss Prevention for Modell's Sporting Goods.  Jamal was previously the Senior Director of Loss Prevention with Ashley Stewart for over three years before taking this new role. He was also their Regional Loss Prevention Director and their Regional Loss Prevention Manager. Jamal had also worked in other security and loss prevention positions such as Manager of Security for The Newark Museum, District LP Manager for Sears Holdings Management Corporation, Area Loss Prevention Manager for Sears, Roebuck, and Co., Security Director for Macy's, Regional Investigations Manager for J Baker Inc., and Security Supervisor for Bloomingdale's. Congratulations Jamal!


Safeway being investigated by DEA for Controlled Substances Record Keeping Related to Theft  DEA is looking into Safeway record keeping related to theft of controlled substances. Safeway received a subpoena from the DEA and is cooperating with the investigation. (Source wsj.com)

StubHub, the online ticket resale platform operated by EBay, hacked by global organized fraud ring  According to Reuters, cyber thieves obtained user credentials used on other sites and then used them to gain access to StubHub accounts and make fraudulent purchases. StubHub has been cooperating with international authorities for the past year and arrests are expected to be announced imminently. StubHub itself was not hacked. The Associated Press reports 1,000 user accounts were accessed by fraudsters. No total fraud amount has been publicly released. (Source chainstoreage.com)

Breaches driving organizational security strategy, survey indicates - Bigger budgets for LP and IT Security  Breaches are driving organizational security strategy, says Adam Bosnian, executive vice president of the Americas at CyberArk, citing figures from the security company's eighth Annual Global Advanced Threat Landscape survey. CyberArk interviewed 373 IT security executives and other senior management from North America, Europe and the Asia-Pacific and nearly 70 percent said that NSA leaks by Edward Snowden and the recent spike in point-of-sale breaches has had the biggest impact on their business's security strategy. As a result, organizations are making more room in the budget for security. “In the past, we [mostly] saw that from companies that were breached,” Bosnian said. “Now we're seeing it from companies that have not been breached, but are saying, we don't want to be that [organization].” (Source scmagazine.com)

Apple Facing Another Class-Action Suit by Employees  Apple Inc. is now facing another class-action lawsuit from its workers, as 20,000 hourly wage employees claim the computer company didn’t give them lunch breaks, rest breaks or final paychecks in accordance with California law. The suit over breaks and paychecks was certified as a class-action case Monday in California Superior Court after being filed originally in 2011. The hourly wage workers, who range from junior engineers to Apple Store employees and call-center representatives, argue Apple deliberately violated California wage and hour laws. In a separate case, Apple is defending itself against a class-action case by store workers who say they were not paid for time spent waiting for Apple security to check their personal bags each time they left a store. And Apple is a defendant in a large antitrust case in which tech workers claim four companies conspired to keep their wages down. (Source wsj.com)

Nordstrom pulls plug on 17 store beacon pilot - Beacon Technology Could Pose Security Challenges, Vendor Says - Other Entity's Sniffing Out Shopper's Smartphone Identifiers  Retailers and vendors are encountering a number of challenges, from customer reluctance to ‘opt-in,’ to security issues, including the potential of another entity sniffing out the unique identifiers –essentially device addresses — of retailers’ beacons in order to target a shopper’s smartphone. Mr. Buchheim, whose company has deployed nearly one million beacons in retailers, airports and hospitals, says that one challenge is securing the technology so that it cannot be intercepted by a third party. For example, a company could collect beacon data and send a shopper ads for jeans that they may have been looking at in a store. “The user will never know that there was an app that was looking at where they were, capturing analytics and pushing them very targeted advertisements based on what they’ve seen,” said Mr. Buchheim. In 2013, Nordstrom Inc.JWN +0.02% pulled the plug on a beacon pilot test that used Wi-Fi signals from smartphones to track customer movement in 17 stores after shoppers complained. The retailer had posted signs to notify shoppers about the test, which ended in May. The market for indoor tracking technology could top $10 billion over the next several years. (Source wsj.com)

Menard's former female general counsel reaches discrimination settlement over un-equal pay over male counterparts  Court documents say Sands was general counsel for Menards for six years beginning in 1999. Sands said she was paid considerably less than comparable male employees and after she repeatedly asked for a raise she was fired. An arbitration panel awarded her $1.7 million and ordered her reinstated. The Eau Claire Leader-Telegram says Menards refused to reinstate Sands, so she filed a civil suit. The Wisconsin Supreme Court later ruled Sands shouldn't be rehired because of a potentially hostile working environment. The most recent trial focused on compensation for not being rehired. Menards home improvement retailer settled. The terms of which are confidential. (Source wiba.com)

Workers at Macy’s store in Massachusetts can unionize  The National Labor Relations Board has issued a ruling that workers in the cosmetics and fragrances department in a Macy’s store located in Saugus, Massachusetts, have the right to attempt to unionize. (Source chainstoreage.com)

TargetExpress convenience store Readies for Opening Day Sunday - 20,000 square feet c-store

First half of 14' weak retail growth of only 2.9% - NRF & Others saying back half will pick up 3.6%

Crocs to shutter stores, cut workforce in major restructuring

Central Station Alarm Association's Contract Monitoring Council considers nationwide licensing bill

Dick's Lays Off More Than 400 PGA Golf Instructors - Golf Galaxy stores same store sales down 10.4%- People Dropping Golf  Dick's has been struggling with weak golf sales as players leave the sport. The retailer plans to take floor space away from golf merchandise in its Dick's stores, and expand women's and youth apparel instead. Same-store sales for Golf Galaxy dropped 10.4% for the most recent quarter, and Dick's executives said they would re-evaluate locations for potential closures, relocation, or remodeling as lease renewals come due in the next two years. (Source wsj.com)

34 European banks targeted in cybercrime wave

Quarterly Same Store Sales Results

Domino's Q2 domestic stores up 5.4% with revenue up 8.8%
McDonalds Q2 flat globally with revenue up 1%
 

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LPNN Quick Take

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His story, advice and vision of tomorrow's successful LP executive profile

Newly inducted into the NRF’s honorary “Ring of Excellence,” Dan Doyle, Chief Human Resources Officer at Beall’s Inc., provides his vision of leadership as a 25+ year veteran of the LP industry. Describing loss prevention, at its core, as a “people business,” Dan talks about the difference between passion and emotion and how maintaining an even keel helps one navigate the unpredictable nature of the retail business.

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Vicki Cantrell and Robert Moraca from the NRF

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e-commerce
Sponsored by The Zellman Group

Beware online cheats posing as PayPal
Police are investigating at least 27 cases of an online scam in which victims were duped of around $33,000 after receiving fake e-mail notifications. The tricksters posed as online payment giant PayPal and sent the e-mails to sellers on various e-commerce sites such as Gumtree, eBay and STClassifieds pretending that payments had been made for fake transactions. The sellers then shipped goods such as dresses, cellphone accessories and bags - for which they were never paid - to the overseas address given. Police have warned online sellers always to verify payments using their PayPal accounts before sending merchandise. (Source straitstimes.com)

Beat the Identity Thieves at Their Own Game
The internet is a black market for exposing and selling personal information, and NBC 7 Investigates reveals one website that is hiding it in plain sight. Stories consistently come out about massive amounts of personal information hacked from retail computers, stolen from hospitals or accidentally leaked, but where does it go? To make real money from stolen information, thieves sell identities in bulk. NBC 7 Investigates found one place where thousands of people's personal, identifiable information is blatantly advertised for sale: a website called Pastebin. One woman, who asked us to identify her as “Lisa,” is disabled and does not venture much past her front steps. Instead, she does all her shopping online. Lisa fears that is how her social security number, date of birth, phone, number and credit card ended up on Pastebin. (Source nbcsandiego.com)

"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

Maryland State Police trying to identify large counterfeit currency ring operating statewide  At least six people — two men and four women — are accused of buying high dollar merchandise with counterfeit currency and returning the items for legitimate currency at various retailers. (Source cbslocal.com)

3 men arrested in Sugar Land, TX after Radio Shack robbery; suspects arrested inside Michael’s, Office Depot and a deli  Police officers swarmed a shopping center in Sugar Land Tuesday afternoon searching for three suspects who allegedly robbed a Radio Shack. The suspects fled to First Colony Commons and split up, attempting to mix in with shoppers, but police were right behind them. Police searched store to store until they tracked each one down. One suspect was found inside Office Depot, a second suspect was located inside Michael’s and the third was arrested outside Jason’s Deli. (Source click2houston.com)

St Matthews, KY Police arrest second of three suspects in interstate jewelry theft ring  Matthews Police say the second of three suspects has been arrested in an interstate jewelry theft ring. Javier De La Noval was arrested in connection to the burglary at Genesis Diamonds where the suspects entered through the roof. De La Noval was picked up over the weekend in Miami, Florida. 32-year-old Yussuan Chamizo was arrested and charged last month in connection to the break-ins, it is believed one more is on the run. Police say the group could be behind 40 or more burglaries across three states, including Kentucky, Colorado and Florida. (Source wdrb.com)

$480K worth of Rolex watches taken in jewelry store robbery at Westfield North County Mall in Escondido, CA  Armed robbers got away with about 40 Rolex watches worth about $480,000 during a jewelry store robbery at the Westfield North County mall. The incident occurred just before 8:20 p.m. at the Royal Maui Jewelers. Escondido police say two men armed with handguns entered the store and demanded that the three employees – all women – get on the ground. They then asked one of the employees to unlock and help unload a shelf filled with approximately 40 Rolex watches worth about $480,000. No customers were inside at the time of the robbery. (Source 10news.com)

Sally Beauty Store Hit Second Time in Smash and Grab Spree in Manassas, VA  Early Tuesday morning, the Sally Beauty Supply shop on Sudley Road was struck a in a burglary attempt, the second in the past two months. Again, the suspects didn't steal anything, but it is similar to overnight break-ins at other business in the Manassas area in recent months. (Source patch.com)

Converse basketball coach accused of shoplifting at Kohl's in Spartanburg, S.C.

Converse basketball coach accused of shoplifting at Kohl's in Spartanburg, S.C.

Henderson, NV Police arrest 3 for GameStop robbery 

Angola, IN CVS robbery sparks chase, standoff

Dillard’s shoplifter accused attacking Loss Prevention officer at Wellington mall

Robber Stabs Security Guards With Ice Pick as He Flees Children's Uniform Store in NYC

Man charged with killing partner in botched El Sereno, CA C- store robbery; facing life in prison

Robberies and Burglaries

BP - Stevens Point, WI - Armed Robbery
Cigarette Exchange - Chesterfield, VA - Armed Robbery - employee tied-up
Computer Store - Wilkes-Barre, PA - Burglary - suspect tied to kidnapping
CVS - Pensacola, FL - Armed Robbery
CVS - Bucyrus, OH - Armed Robbery - suspect found guilty
CVS - Falmouth, MA - Robbery / Assault - clerk was injured
Dollar General - Columbia, MO - Armed Robbery - suspect sentenced to 20 years
Not Just Cardboard - Leesburg, VA - Armed Robbery
Pawn America - Roseville, MN - Armed Robbery - photo released
Radio Shack - Sugar Land, TX - Armed Robbery - 3 arrested
Rite Aid - Merced, CA - Armed Robbery
Tobacco Outlet - Rockford, IL - Armed Robbery
Walgreens - Desloge, MO - Burglary
7-Eleven - Berkeley Co. WV - Armed Robbery
7-Eleven - Harford, MD - Armed Robbery - 2 area 7-Eleven stores hit

 

ORC News
Sponsored by Security Resources



Submit your nominations for the 2014 New England ORC Awards
Deadline is next Thursday, July 31

In an effort to recognize those individuals within the loss prevention and law enforcement community that have gone above and beyond in the fight against ORC in New England, the N.E. ORC Symposium & Tradeshow will be presenting the 2014 N.E. ORC Awards at this year’s event on Thursday, September 18 at the DCU Center in Worcester. Professionals working within the loss prevention/law enforcement community are being invited to submit nominations for these awards. To download the nomination form, click here. It includes a description of each of the awards and instructions for completing and submitting nominations. The deadline for submission is Thursday, July 31.


Multi-state retail fraud ring busted in New Canaan purchasing gift cards  The suspects were attempting to purchase gift cards, with gift cards. Subsequently, the suspect vehicle was stopped in the Walgreens parking lot. The suspect vehicle was searched and valuable, suspected fraudulently obtained merchandise was seized. It appears that the suspects were involved in similar schemes in New Jersey and Pennsylvania. An observant employee at Walgreen's in New Canaan alerted police Monday to an attempt at fraudulently buying gift cards, resulting in the arrests of three young South Carolina people, police said. (Source newcanaan.patch.com)

4 Suspects To Be Charged In Fake Gift Card Scheme in Commerce Township, Mich.  Oakland County Sheriff deputies arrested the suspects after they went into a Meijer store on Haggerty Road in Commerce Township and paid for one item with a gift card and then used other gift cards to withdraw a bunch of cash from the self check-out lane. (Source cbslocal.com)

Cal Expo police arrest major credit card fraud suspect: hitting Bloomingdales in San Francisco  A 21-year-old man was arrested in Sacramento on Tuesday, accused of creating credit cards in his name with stolen account numbers -- and using that stolen data to spend thousands of dollars on electronics, clothes, shoes and jewelry, police said. Darius Deangelo Evans was taken into custody on a felony warrant issued by the San Francisco Police Department, alleging he used the stolen information to make large purchases at a Bloomingdale's store in the city. Evans is now held at the Sacramento County Jail on $500,000 bond. When a California State Fair attendee learned of unauthorized activity on his or her credit card at the Cal Expo event, police launched an investigation as to how that could have happened. They looked into the matter for 10 days, according to a news release from the Cal Expo Police Department. (Source kcra.com)

Ringleader of national diamond-theft heists pleads guilty in Portland   The man who masterminded a nationwide theft ring, in which members brazenly grabbed diamonds from jewelry stores around the country and sold them to a Philadelphia buyer, pleaded guilty Monday morning in federal court in Portland. Michael Young, 42, admitted to U.S. District Judge Marco Hernandez that he committed conspiracy and interstate transportation of stolen goods. He faces a maximum of five years in prison on the first count and 10 years in prison on the second count. Young was one of three defendants to enter guilty pleas on Monday. Co-defendant Samuel Livingston pleaded guilty to conspiracy to commit interstate transportation of stolen goods and receipt, possession and sale of stolen property. And the buyer, Eric Janovsky of Three Gold Brothers, pleaded guilty Monday to receipt and possession of stolen property. Several others affiliated with the diamond theft-ring have already pleaded guilty. According to Assistant U.S. Attorney Michelle Kerin, Young acted as the ringleader for the group, planning the thefts, recruiting members, assigning roles and serving as a lookout for 25 jewelry store heists that took place between December 2009 and June 2011 around the country. (Source oregonlive.com)

Chicago suspect tied to thousands in losses at multiple Walgreens and other retailers  Wilmette investigators charged Vashion T. Freeman with thefts from the Walgreens on Nov. 13 of 2013, and on March 26 and June 21 of this year, Detective Michael Clark said July 21. However, they believe his arrest will clear up another three Wilmette thefts. Freeman is also being investigated in connection with similar thefts in Elk Grove Village, Hoffman Estates, Buffalo Grove, Wheeling, Schiller Park and Highland Park. Clark credited the arrest to cooperation between member forces of the Cook County retail organized crime task force, and the ability of Wilmette investigators to make use of the task force’s bulletins. One such bulletin described a Hoffman Estates theft in which the suspect used a getaway vehicle that matched the description of a newer gray SUV used in connection with the June 21 theft from Wilmette’s Walgreens. (Source suntimes.com)

2 charged in repeat Palmetto, FL Walmart theft A Palmetto duo was charged with theft after they stole $600 of merchandise and groceries from the Palmetto Walmart Supercenter, according to the Palmetto Police Department. Eric James Sorg, 35, and Christine Ann Kerns, 34, were arrested just before 6 p.m. Monday at the store, 508 10th St. E., Palmetto. Sorg and Kerns were reportedly seen taking grocery items and leaving in a truck without paying. Police say Kerns later re-entered the Walmart and stole a bed topper, comforter set and bath carpets valued at $602. (Source bradenton.com)

Couple attacked Stop & Shop store manager after stealing $700 worth of razor blades in Wyckoff, NJ  A Kearny couple was arrested after they beat and dragged a store manager who caught them pilfering $700 worth of razor blades from a borough supermarket near police headquarters, authorities said Tuesday. The manager and a security guard confronted Robert S. Paulter III, 30, and Jennifer Y. Chen, 28, as they left the Stop & Shop Saturday afternoon. Chen knocked the manager down while Paulter grabbed the man and dragged him across the sidewalk. Police found the manager suffering from head and leg injuries after they responded to a call for a fight at the store. The pair was each charged with robbery and inflicting injury. Chen faces an additional charge of heroin possession. (Source nj.com)

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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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AP Manager in Training
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Pullman, WA
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Lowe's
Wood Village, OR
Lowe's
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Rochester, NY
Home Depot
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Portland, OR
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Dover, DE
Macy's
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Cambridge, ON, Canada
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Ross Stores
Seattle, WA
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Sacramento, CA
Orchard Supply Hardware

District LP Specialist
Orchard Supply Hardware
Pasadena, CA
Orchard Supply Hardware

 

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Jamal Evans was named Director of Loss Prevention for Modell's Sporting Goods.
Rory Stallard was named ORC Manager - East Coast for The Home Depot.
Robert Bratcher, CFI was named Sr. Manager - Field Asset Protection for Advance Auto Parts.
Curt Confer was named Area LP Manager for 24 Hour Fitness.
Robert Niewenhous III was named Asset Protection Manager for Lord & Taylor.
Mike R. Denby, CFI was named District Operations Manager for The Home Depot.

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Your Career
Sponsor this section of the Daily
Why You Lead Determines How Well You Lead  When asked what motivates you to be a better leader, what do you say? To serve your organization? Maybe it's to help progress your career? The person with the most motivations to lead may see like the obvious high performing leader, right? This study found quite the opposite, as a matter of fact! (Value-based motivation)

Lead Without Trying So Hard
As a leader it's important to have the sort of energy where people want to follow you. Allowing your mind to let go, and find that state of mind where you can do difficult things, like give a speech or negotiate a tough situation, with great ease. With this state of mind comes trust and relaxation from others around you. (Clear your mind)

Why Asking the Right Questions Trumps Having the Right Answers  Knowing what question to ask is better than having the right answers, contrary to what you may think. The fastest way to change the answers you receive, both from yourself and your team, is to change the questions you ask. In order to get positive responses, ask empowering questions! (Direct relationship)

4 Common Vocal Mistakes Leaders Make
You can command a room simply by adjusting the tone of your voice. Instead of focusing on the words you want to deliver, the tone with which you deliver your message can cause it to fall flat. Here are some mistakes to avoid in vocal communication. (Use vocal punctuation)

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Tip of the Day
Sponsored by Vector Security

As decision makers for our companies, we all have a responsibility to our organizations and our teams to make the best possible informed decisions based on the facts, the cost, the ROI, and our due diligence. With the due diligence process being the only variable impacted by human opinion, therein lies the grey. Opinions can vary to the extremes with pitted rivalries being masked as confidential tidbits all the while being fueled by agendas on steroids, with even the most casual reference having intentions of deep meaning. All of us are relegated to our competitors' comments. Retailer or vendor, we all share that mutual circumstance. But at the end of the day, it's about rising above it and taking the high road, as difficult as that may be, and providing the most accurate information and knowledge that we can in order to help the industry.

Just a Thought,
Gus Downing

Gus Downing

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Upcoming Events

The 35th Annual RLPSA Conference
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CCROC Annual Training & Conference
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RCC Retail LP Conference
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September 9-10, 2014
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NE ORC Symposium and Trade Show
September 18, 2014
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