Retail Theft Crews Tied to Foreign Crime Syndicates
'Organized criminal gangs, with ties to drug trafficking, steal merchandise only to sell it online.'

Organized Retail Crime Wave Hits Major Cities, Consumers Bear the Brunt
In the heart of the nation's capital and other major cities, a growing crisis is gripping communities and retailers alike. What once seemed like isolated incidents of shoplifting have become a full-blown epidemic of organized retail crime, leaving citizens and businesses reeling from its ramifications.

The scourge of theft, often accompanied by violence, has not only dented the profits of retailers but also instilled fear among consumers, leading many to avoid shopping altogether.

According to David Johnson of the National Retail Federation, the scale and audacity of these crimes have reached unprecedented levels, prompting CEOs, executives, and community leaders to sound the alarm on the dangers plaguing the retail industry.

"Never before have we seen the number of CEOs, executives, and community leaders reach out and highlight the dangers taking place in our retail industry," he said.

However, the threat extends beyond traditional brick-and-mortar stores. A new phenomenon has emerged wherein organized criminal gangs, with ties to drug trafficking, steal merchandise only to sell it online. Homeland Security Investigations attribute this trend to syndicates with global networks, exacerbating the challenge for law enforcement agencies.

"There are crime syndicates that can be tied to local networks and maybe have established networks from the Chilean or Columbian or Romanian crews coming in from Eastern Europe that are comfortable in certain cities," said Raul Aguilar, a senior leader of Homeland Security Investigations.

Consequently, retailers are grappling with heightened aggression from thieves, with reports indicating a 90% increase in confrontational incidents compared to the previous year. To mitigate risks, many stores have resorted to cutting hours, bolstering security measures, and restricting access to high-value products.

The impact of this crime wave is not confined to retail outlets alone. Dining establishments are also feeling the pinch, with safety concerns prompting the closure of numerous restaurants. The situation has prompted a reevaluation of law enforcement strategies, with the Justice Department pledging to deploy additional resources to combat the surge in criminal activity. cbn.com


Is Theft Fueling Dollar Tree's 1,000 Closures?
Rampant theft just keeps getting worse for Dollar Tree

Dollar Tree says theft will remain a problem at its stores well into 2024.

Theft at some of Dollar Tree's stores is getting worse - even as other retailers appear to be making progress on the issue.

The problem is particularly pronounced at the chain's Family Dollar stores, executives said during an earnings call on Wednesday. CEO Richard Dreiling noted during the call that he had expected that the problem "would have moderated, if anything, by now, but it's continuing to accelerate."

Dollar Tree is closing about 1,000 Family Dollar stores, it also said Wednesday, a result of a review of the brand that has been months in the making. Theft was one of many factors that Dollar Tree considered when it decided which locations to close, the executives said.

"Rents, shrink, and a number of other exogenous factors have driven the stores to a point where, unfortunately, they're just operating at a very significant loss," CFO Jeffrey Davis said.

Theft was less of a problem at Dollar Tree-branded stores during the company's fourth quarter, which ended on February 4. But those stores are still "not immune to some of the issues we're having," Davis said during Wednesday's call.

Across both chains, Dollar Tree expects shrink to be "meaningfully worse than we had previously expected" during the first half of its 2024 fiscal year, Davis said.

The increase in theft comes despite efforts to combat it. Last year, Dollar Tree locked some items up and put others behind checkouts to deter would-be shoplifters. The changes were part of what Dreiling called "a very defensive approach" to the problem during an earnings call last summer. businessinsider.com

   RELATED: Dollar Tree struggles with rampant theft as it closes stores


Shoplifting is Rampant in Cities That Push Soft-on-Crime Laws
Opinion: With rampant shoplifting, progressives are killing stores where people need them most
Rampant shoplifting has now led global shopping-mall giant Westfield to break its lease on its Fulton Center location in lower Manhattan. The MTA, which owns the site, has filed suit to prevent Westfield from ducking out.

New York City's pro-crime lobby - urbanists, "Defunders," transit die-hards - have leapt to defend the MTA, possibly the first time the hipster Left has taken the landlord's side in a lease dispute. They claim that Westfield is using the myth of urban crime as cover for their own failure to attract and retain quality tenants.

Advocates of criminal justice "reform" - fewer cops, fewer arrests, and ultimately no prisons - insist that law-and-order hawks overstate the shoplifting epidemic to spread fear and reimpose tougher policing and sentencing practices.

They insist that shoplifting is driven by need. But nobody in New York steals baby formula because their baby is starving. The WIC program offers free baby formula to low-income mothers, and formula is also SNAP-eligible.

Critics say that there's no national epidemic of shoplifting, and they are mostly correct. It's a major problem in a handful of cities, which happen also to be the places where the five-finger discount has been effectively decriminalized. nypost.com

 
Business Response to New York's Retail Theft Crackdown
NYC businesses taking initiative after Gov. Hochul's new plan to combat retail theft
Gov. Kathy Hochul announced a new plan to combat retail theft, and local businesses are already being proactive in staying safe.

Hochul is pushing for a $45 million anti-theft plan to be approved in the state budget. The plan would put $25 million toward a retail theft team with the state police, $15 million would go to district attorneys and local law enforcement, and $5 million would be dedicated to cover security costs for businesses.

The owner of a brand-new bodega in Fordham says he's already working and making an extra effort to protect his business.

"The first thing we did was hook up the camera. As you can see, I got a whole bunch of cameras here on the back," said bodega owner Luis Parra, who added that he's taking more caution after his other business was robbed in February.

Hochul also mentioned increased penalties for criminals who are found guilty of retail theft as part of her plan. brooklyn.news12.com
 

Lawmakers Support NY Governor's Retail Crime Crackdown
Governor's Anti-Theft Plan Would Protect Retail and Online Business Owners Statewide
Small business owners, legislators and Gov. Kathy Hochul joined forces on Tuesday, March 12, to support a comprehensive statewide crackdown on organized retail theft. Governor Hochul has included in her FY25 Executive Budget proposal $25 million to underwrite a dedicated retail theft unit for the New York State Police; $15 million for district attorneys and local law enforcement; and $5 million to cover security costs for businesses.

Among lawmakers taking part in the event was Brooklyn State Sen. Jessica Scarcella-Spanton (D-23), whose district includes the north shore of Staten Island as well as Coney Island and Sheepshead Вау. nysenate.gov
 

Increasing Theft Penalties - Shutting Down the Online Market for Stolen Goods
New California legislation to combat retail theft
On this week's "In Focus SoCal," host Ariel Wesler talks to Assemblymember Rick Chavez Zbur and CHP Commissioner Sean Duryee for a breakdown of new laws, and what law enforcement agencies are doing to help.

Zbur, who serves as the chair of the Select Committee on Retail Theft, explains the scope of the retail theft problem. "These organized crime rings hit store after store after store, and so really our legislation is targeting those criminals, making it easier for law enforcement to apprehend them and to prosecute these crime rings," Zbur said.

In addition, new legislation will expand criminal penalties. Zbur shared the focus of new laws.

"By shutting down the market for these stolen goods will be one of the ways we can address the problem. A lot of goods that are stolen are fenced on these online retailing posts and so we're really going to start looking at making sure that these retailers have records to show that they obtained goods from a reputable wholesaler or retailer or manufacturer, and we're going to be cracking down on the use of online sources to fence stolen property," he said.

"Make harsher punishment to people who end up doing these robberies," Michelango Torchia said. He continued, "this is our livelihood and for us to have something just taken from us in a matter of just 45 seconds is frustrating."  spectrumnews1.com


Robbery & Assault Fall in Memphis - But Murder is Up
Check this out: Here's how Memphis crime rates compare to other large cities
Aggravated assault and robberies each saw a decrease of around 100 cases YTD between 2023 and 2024. Car thefts saw the largest drop, over 1,100 less cases in 2024. On the other hand, murder continues to climb in Memphis, now at 55 in 2024. These numbers may seem overwhelming but prove to be on par with other large cities.

According to Safe Home's 2024 Crime Rates in US Cities Report, Memphis now sits at 43 murders per 100,000 people, a rate that has now been passed by both Baltimore and Detroit. Memphis, however, is still one of the leading large cities in Aggravated Assaults and Robberies. localmemphis.com


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Kroger & Albertsons Pushing Back Hard Against the Feds
Kroger, Albertsons file pointed responses to FTC

Retailers allege "willful ignorance of basic facts" in FTC's "flimsy case"

Kroger and Albertsons both filed sharply worded comments this week asserting that the Federal Trade Commission defined the competitive retail and labor markets much too narrowly in its effort to block the retailers' planned merger.

Unlike their statements to the media after the FTC announced in February that it would sue to block the proposed, $24.6 billion merger, the retailers took a much more combative stance and provided detailed objections to the FTC's specific allegations in their latest filings.

"The Commission's claims are premised entirely on the Commission's distortion and willful ignorance of basic but critical facts," Albertsons said in its comments.

Albertsons said the Commission "entirely ignores" the realities of the competitive grocery landscape. It cited competition from other grocery retailers, including Walmart, Target, Costco, Amazon/Whole Foods, other specialty grocers such as Trader Joe's and Sprouts, and dollar stores. Albertsons cited Costco in particular as one of the company's "most fervent competitors."

Both Albertsons and Kroger also contested the FTC's assertion that C&S Wholesale Grocers would not be a viable operator for the hundreds of stores that the two companies plan to divest to meet antitrust concerns. The retailers assert that C&S would be well-positioned to operate the stores and that their divestiture plan bears no resemblance to previous failed divestitures that Safeway and Albertsons made to Haggen and Lawrence Bros.

The retailers also disputed the FTC's use of "union grocery labor" as a market in which Albertsons and Kroger compete, noting that the case is the first time the FTC has treated labor as a competitive "market" for antitrust purposes. supermarketnews.com


Family Dollar 'Waving the White Flag' after Years of Setbacks?
The chain faced a severe setback in 2022 when a Family Dollar distribution center in Arkansas became infested with rats. The company faced hefty penalties amounting to around $41 million in a settlement with the Justice Department.

How Will Dollar Tree and Family Dollar Survive Their Growing Difficulties?
Dollar Tree and Family Dollar are closing 1,000 stores across the nation. This seemingly sudden move is sending ripples through the retail sector as 600 Family Dollar stores are scheduled to close during the first half of fiscal 2024. The announcement comes as part of a larger restructuring plan, with approximately 370 Family Dollar and 30 Dollar Tree stores set to close over the next several years as leases expire.

This significant development sheds light on a tumultuous period for Dollar Tree and Family Dollar, marred by product safety concerns and operational challenges. The chain faced a severe setback in 2022 when a Family Dollar distribution center in Arkansas became infested with rats, prompting a massive product recall and substantial losses. Despite efforts to clean up and reopen the facility, the company faced hefty penalties amounting to around $41 million in a settlement with the Justice Department.

These setbacks underscore broader issues within the company, culminating in an operating loss of $882 million for the fiscal year that ended on Feb. 3. Despite strategic changes at the executive level and investments in supply chain infrastructure, Dollar Tree continues to grapple with disappointing performance, particularly within the Family Dollar segment.

The decision to close hundreds of Family Dollar stores marks a significant pivot from Dollar Tree's earlier strategy of rapid expansion, epitomized by its acquisition of Family Dollar in 2015.

Neil Saunders, managing director at GlobalData, characterized the move as Family Dollar waving the white flag in the competitive value grocery landscape, where rivals like Walmart, ALDI, and Dollar General have surged ahead. "Basically, almost ten years on, Dollar Tree is still sifting through the mess it inherited and has not been able to completely turn around," he said. Despite attempts to enhance pricing and store experiences, Family Dollar has struggled to keep pace with its competitors, remaining a straggler in the value segment. retailwire.com


As Dollar Tree Closes 1,000 Stores, Dollar General Plans 800 Openings
Dollar General plans 800 stores this year as rival Dollar Tree pulls back

Thirty of those will be under its Popshelf banner, though the discount retailer is taking the concept's expansion slowly given its discretionary focus.

One month after opening its 20,000th store, Dollar General said during a Thursday earnings call that it plans to open 800 more new stores, remodel 1,500 locations and relocate 85 stores this year - 2,385 real estate projects overall.

The news comes one day after chief rival Dollar Tree Inc. said it plans to close about 600 of its Family Dollar locations this year and an additional 400 stores under both banners in the coming years as leases expire.

The store growth comes on top of similar levels last year. In fiscal year 2023, Dollar General moved on over 3,000 real estate projects. That included 987 new stores, 129 relocations and 2,007 remodels. retaildive.com


Retail Spending Increased in 7 of Past 10 Months
Total retail sales are up 7% year over year

Retail sales rebounded in February amid higher gas prices
Spending at US retailers rebounded last month as Americans shelled out more for gasoline.

Retail sales at stores, online and in restaurants rose 0.6% in February from the prior month, up from January's revised 1.1% decline, the Commerce Department reported Thursday. That was slightly below economists' expectations. The figures are adjusted for seasonal swings but not inflation.

January's sharp decline was mostly attributed to the cold weather keeping consumers hunkered down at home. The broader US economy remains on strong footing, with employers continuing to hire and Americans still raking in strong wage gains. Retail spending has increased in seven of the past 10 months through February. cnn.com  retaildive.com


13% of Workplace Injuries Tied to Fatigue
Tools to Help Address Worker Fatigue
A study from the National Safety Council found that 13% of workplace injuries are attributed to fatigue. And 43% of American workers say they sometimes are too tired to function safely at their job. The cost of this was $136 billion annually in health-related lost productivity. NIOSH notes that "researchers estimate that close to 1 in 8 of all workplace injuries may relate to fatigue.

For further information see NSC Fatigue at Work Employer Toolkit.  ehstoday.com

 
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Director of Asset Protection - Stores job posted for Burlington Stores in Dublin, CA
As a Territory Director of Asset Protection , you'll be an integral part of the territory leadership team, working closely with senior AP leaders develop, direct and lead the implementation of Burlington's Asset Protection, Shortage Control and Safety programs for all markets in your assigned territory. You'll train, develop, and oversee Regional and District Asset Protection Managers to verify proper execution of company policies and procedures. burlingtonstores.jobs
 

Visa Fends Off a Half Billion Attacks Per Month
Visa spends 'billions' battling cybersecurity threats

"We are all in an arms race to protect this ecosystem, to protect the network," Visa CEO Ryan McInerney said at an investor conference last week.

Visa is investing billions of dollars in cybersecurity, both to defend its payments system and to develop services for its clients, CEO Ryan McInerney said at an investor conference last week.

"Cybersecurity is a huge topic for any company around the planet, especially for financial services firms, and especially for us as a platform for banks around the world, and as you might imagine, we're a huge attack vector," McInerney said in speaking to the RBC Capital Markets conference on March 5.

The company fends off about a half billion attacks on its perimeter on a monthly basis, ranging from average phishing emails to sophisticated nation-state-backed cyber assaults, McInerney said in describing Visa's cyber landscape.

The San Francisco-based card network has spent billions of dollars defending its system and the CEO suspects it will spend billions more. He said about 1,000 of the company's 30,000 worldwide workers are "only working on cyber."

"We are all in an arms race to protect this ecosystem, to protect the network," McInerney said.

He noted that the company blocks some 20 million malicious emails monthly before they reach those workers. cybersecuritydive.com


Ransomware Operators Regroup After Takedowns
'When one door closes, another one opens'

The effects of law enforcement takedowns on the ransomware landscape
While the results of law enforcement action against ransomware-as-a-service operators Alphv/BlackCat and LockBit are yet to be fully realized, the August 2023 disruption of the Qakbot botnet has had one notable effect: ransomware affiliates have switched to vulnerability exploitation as the primary method of delivering the malware.

The switch is obvious to Symantec's Threat Hunter Team but, unfortunately, it hasn't been accompanied by a fall in the number of ransomware victims.

"Analysis of data from ransomware leak sites shows that attackers managed to hit significantly more victims last year (4,700) compared to 2022 (2,800)," they pointed out.

Ever-changing techniques

One of the characteristics of successful cyber attackers is their ability to adapt their techniqes to the changing conditions "on the ground". When one proverbial door closes, they search for - and find - another.

The researchers pointed out other current trends related to ransomware attacks: the attackers' use of vulnerable drivers (e.g., for disabling security software), legitimate remote desktop tools (AnyDesk, Atera, etc.), custom data exfiltration tools (e.g., Lockbit's StealBit), and abuse of built-in Windows utilities (e.g., Esentutl, DPAPI) to steal credentials.

"There are significant disparities between overall, publicly claimed activity levels and ransomware activity investigated by Symantec. While LockBit was responsible for over 21% of the 4,700 attacks claimed in 2023, they were only identified as being involved in around 17% of the attacks Symantec investigated. Conversely, [Alphv/BlackCat] claimed 9% of all attacks in 2023 but it was involved in a little over 20% of all attacks Symantec investigated," they shared.  helpnetsecurity.com


Nation's Cyber Defense Agency Hit by Cyberattack
CISA attacked in Ivanti vulnerabilities exploit rush

The nation's cyber defense agency was hit "about a month ago" by widely exploited vulnerabilities in the popular remote access VPN product.

The Cybersecurity and Infrastructure Security Agency was hit by a cyberattack earlier this year after a yet-to-be identified threat actor intruded the agency's systems by exploiting critical vulnerabilities in Ivanti products.

"About a month ago, CISA identified activity indicating the exploitation of vulnerabilities in Ivanti products the agency uses," a CISA spokesperson told Cybersecurity Dive Friday. Threat actors started widely exploiting a pair of zero-day vulnerabilities in Ivanti Connect Secure and other remote access VPNs in early December.

"The impact was limited to two systems, which we immediately took offline. We continue to upgrade and modernize our systems, and there is no operational impact at this time," the spokesperson said. cybersecuritydive.com


Cybersecurity Weakness in GenAI Tools
ChatGPT Spills Secrets in Novel PoC Attack

Research is latest in a growing body of work to highlight troubling weaknesses in widely used generative AI tools.

A team of researchers from Google DeepMind, Open AI, ETH Zurich, McGill University, and the University of Washington have developed a new attack for extracting key architectural information from proprietary large language models (LLM) such as ChatGPT and Google PaLM-2.

The research showcases how adversaries can extract supposedly hidden data from an LLM-enabled chat bot so they can duplicate or steal its functionality entirely. The attack - described in a technical report released this week - is one of several over the past year that have highlighted weaknesses that makers of AI tools still need to address in their technologies even as adoption of their products soar. darkreading.com


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