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David Brightly, CFE
was named Director of Loss Prevention & Risk Management for Gordmans. Dave was formerly the Associate Vice President, Store Operations & Loss Prevention for Orchard Supply Hardware - a former division of Sears which was recently spun off from Sears. Prior to that David had spent 15 years with Sears Holdings Corporation in various Loss Prevention roles. He holds a BA degree in Psychology/ Criminal Justice from San Jose State University. Congratulations David and good luck in your new role.

Follow up to our article dated 7-26-12 on Black Hat conference showing vulnerabilities in 3 POS payment terminals - Verifone admits it manufacturers one of the hacked PIN pads and is already testing the fix. The other two vendors have not stepped forward. The two hackers who identified the vulnerabilities put tape over the labels of the PIN pads so no one could see who they were. (Source

eBay introduces eBay Now, mobile shopping app that lets consumers in San Francisco order online and have their purchases delivered the same day. One-hour delivery is the goal. Macy’s, Target, Toys ‘R’ Us and Best Buy are participating in the test. Countering Amazon's Prime program in 10 major cities. (Source

"Will Uniqlo push Gap aside as it enables Americans to experience "the joy, happiness and satisfaction of wearing such great clothes?" Time is of the essence and only time will tell. Gap, put your house in order! Uniqlo’s first store opened in Japan in 1984. At the end of FY2011, Uniqlo had sales of 600.1 billion Yen in Japan, which translated to a 5.5 percent share of the total Japanese apparel market. By 2020 the company’s goal is to reach $50 billion in global sales. As of February, 2012, Uniqlo International had 849 stores in Japan and 234 stores outside Japan. Typical store size is 16,160 square feet. Flagship stores are larger and these are located in key urban locations. Their Fifth Avenue store is 89,000 square feet. They're opening stores in the U.S. and is owned by Fast Retailing, Co., Ltd., a Japanese holding company and is Fast Retailing’s primary business although it also owns Theory, Comptoir des Cotonniers and Princess Tam Tam. The business model is SPA — specialty store retailer of private label apparel — which controls all stages of the business from design and production to final sale. Uniqlo has established a virtuous cycle of end-to-end control of the entire business process from planning and design of the product to final sale including the development of unique and proprietary fabrics. They are on fire right now. (Source

DOJ says states are losing $5B a year in tax money due to cigarette smuggling. Cigarette smuggling is more profitable to criminals than heroin or cocaine and are found in the same circles as money laundering, gun smuggling, and drug trafficking. Oh, without a doubt, it's organized crime. "This is organized crime at it's highest level because of the sophistication," said Rich Marianos, a special agent for the Bureau of Alcohol, Tobacco, Firearms and Explosives. The police are leaning more and more on the cigarette makers to help them catch the criminals. The parent company of Philip Morris USA, Altria, which owns about half of the US cigarette market, has an entire division devoted to spotting fake cigarettes. About 10 years ago, Altria created its brand integrity department. Altria invited us inside its evidence room at its Henrico County headquarters. This is where cigarettes from actual criminal cases sometimes end up. Here inspectors are trained to spot the fakes. With magnifying glasses, they look for covert features on the packages. They even check the quality of the actual cigarettes. China is the biggest maker of fake cigarettes sold in the US. (Source

Former CISO at online auction giant eBay said that a major security offensive at the company has cut fraud by 90 percent and led to 3,000 arrests globally Dave Cullinane told an audience of senior security executives meeting in Cambridge, Massachusetts, at the ISSA (The Information Systems Security Association) that a multi-year security makeover at eBay reduced the rate of fraud at the Web-based auction firm by 90 percent and has led – directly or indirectly -- to 3,000 arrests globally in connection with a number of scams in the past three years. Cullinane declined to spell out where the arrests took place, though many were outside of the U.S. He said increased spending on IT security staff and programs, including cyber intelligence and botnet detection, helped to thwart attacks against the marquis Web firm and provided crucial information that law enforcement could use to build cases. He described his former employer as one of the top online targets for cyber criminals of all stripes. With 180,000 servers and 25 major platforms, eBay's online footprint is giant. In his time as eBay's chief security officer, Cullinane more than quadrupled the company's IT security budget from $10 million annually in 2006 to $48 million annually in 2011, he said. He said he was able to increase spending by tying security investments to the company's core business, and showing the "business value" of security by sketching out the real cost of breaches and other incidents to the organization. (Source

Lawrenceville police search for beauty supply store armed robber Police in Lawrenceville are searching for a man whom they say walked into a beauty supply store in broad daylight and held up a clerk to steal money and hair weaves. The suspect walked into the store and approached an employee at the register, pulled a gun out of his backpack and demanded money, said Capt. Greg Vaughn with the Lawrenceville Police Department. While the employee got the money from the register, the man held the gun to her head. Once he had the money, he grabbed some 15 to 20 packages of hair weaves and put them in his backpack, Vaughn said. The suspect then took money from a second register and left. (Source

34 handguns stolen from a Gander Mountain in Saint Paul, reward now offered. Police and ATF are now offering a $5000 reward for information leading to the arrest of these suspects. Within the last two weeks three stores have recently reported similar thefts totaling nearly 60 handguns. Last month three suspects were caught on camera at the Gander Mountain in Woodbury. (Source

Fast Food Restaurants armed robberies setting an alarming trend in Greensville, North Carolina. In the last year, 30 armed robberies of fast food restaurants have been committed, one chain, Bojangles has been hit eight times, and one specific Bojangles was hit four times. In this recent robbery, store employees told police they were robbed by two suspects who came into the store through the open back door. The suspects forced employees into the food storage area before making off with an undisclosed amount of cash. (Source

Police release video of $8500 diamond theft from Gordon’s Jewelers. A man stole a one caret diamond ring from the Gordon’s Jewelers in Neshaminy Mall. The suspect was only in the store for a short period of time, once he choose a ring from the case, the associate handed him the ring and the suspect ran, police are still searching for the suspect. (Source

Lowes Foods in Winston-Salem, NC is still looking for a Director of Loss Prevention


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Write a Thought Challenge and get published...Who knows, you may win $5,000. Have an idea - Opinion - Industry Thought? Write it and see what happens. You never know-- The Power of the Pen

Upcoming Articles

Gregg Smith, Director Loss Prevention -
The Children's Place - The First Year

"Transitioning to YOur New Job as an LP Director" by Mike Keenan, VP of LP for GAP North America. A Chapter From Retail Crime, Security, and Loss Prevention An Encyclopedic Reference


LPNN: Your LP, Attention Vendors, Film and Broadcast Your Video on Your Channel. Upcoming episodes: 2012 IOBSE Event Coverage; Se-Kure Controls; Keith White, Sr. VP of LP, The Gap Stores.

Know about an event we should feature here?
Let us know.

National Food Service Advisory Council Conference. August 5 -8.

Disaster Recovery & Preparedness Committee (DRAP) Meeting. Chicago, IL - Sears Headquarters. August 17, 2012. Click here for more information.

11th Annual Virginia Retail Loss Prevention Conference - Virginia Beach, VA - Holiday Inn Hotel. September 6, 2012. Click here for more details.

Canada's Biggest Retail Loss Prevention Event. Mississauga, ON - International Centre. September 11-12. Click here for more information.

New England ORC Symposium & Trade Show - September 20, 2012 Worcester, MA - DCU Center

Watch for our article the day after each event!

CLEAR's 3rd Annual Training Conference, Dallas, TX. Sept. 18-20, 2012. Learn more here.

8th Annual Impact Workshop. Join other retail executives interesed in LP research on ORC prevention, packaging innovation, video analytics, benefit denial, plus much more. LPRC: October 15-17, 2012. University of Florida Campus. Gainesville, FL

Washington State Organized Retail Crime Alliance Annual Training Conference. Burien, WA. October 18, 2012. To register visit

2012 Thought Challenge Awards Committee

Northern Michigan University, located in Michigan’s incredible Upper Peninsula, offers one of the only baccalaureate loss prevention management programs in the United States. It is offered completely online and accepts up to 92 transfer credits. An affordable investment into a dynamic and growing profession. Learn more here

Protection with Class. Where EAS meet elegance. Visit us at and check out the new locik-it tag. WG

Retailer's Alert

A new column for the retailers to provide you with Daily alerts that may be impacting your stores. This column is for you the retailers and while we strive to find the information online we certainly invite your input as well. It can be anonymous or can have your direct contact information to enable the LP community to respond to you directly. Taking into consideration the Daily's broad reaching audience we wanted to provide you with a tool that can help you communicate with the entire industry in one click so to speak, which in turn will help you deliver real-time LP services to your stores. So if you want to know if stores in a certain area are seeing particular incidents, crimes, or known suspects this column is for you. Also, given the level of the incidents we would also be more than willing to provide you with an individual email alert should there be a critical situation that the industry needs to hear about 24/7. We at the Daily are absolutely committed to providing you with the tools, the information, and the vehicle necessary to deliver real-time solutions nation-wide. Please feel free to contact any of our staff for assistance.

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eBay News

eBay Investigators Support of Identity Theft Case Leads to Convictions

eBay Global Asset Protection supported investigation into identity theft committed by bank employees leads to convictions for two of the four charged. Assistant State's Attorney Joel Fletcher said one of the pair, a former Busey Bank teller, has agreed to testify against two others involved. Fletcher said the suspects were employed as tellers at Busey Bank and between June and September 2011, obtained personal information from Busey customers, which they funneled to co-defendants, who then used the information to electronically siphon money out of the accounts of at least six people, and eventually into their own accounts. The scheme came to light in July 2011 when an man found $8,000 missing from his account. Police began investigating and the four were charged in late October. Post event the bank made several changes that made it more difficult for their own employees to have access to such personal information during the course of the investigation, police said. eBay Inc. asset protection investigators travelled to Illinois to testify in the case supporting criminal charges in the matter. Click here for full article.

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"Transitioning to Your New Job as an LP Director" b Mike Keenan, VP of LP, Gap North America

Over the next few weeks the Daily will be publishing Mike Keenan's chapter   “Transitioning to Your New Job as an LP Director” from the book Retail Crime, Security, and Loss Prevention, 1st Edition, An Encyclopedic Reference.

Book authors Chuck Sennewald & John Christman
Published and released February 20, 2008.
Imprinted by Butterworth-Heinemann
ISBN: 9780123705297

 "Transitioning to Your New Job as an LP Director"

by Mike Keenan, CPP, CFI
Vice President of Loss Prevention
GAP North America

Technology should not determine your LP strategies. Technology should help you achieve your LP strategies. As part of your assessment process, you need to evaluate the technology currently available to your Department. Do you have CCTV? If so, how is it utilized? Are there fixed cameras, Pan, Tilt and Zoom (PTZ) cameras or both? Is it overt, covert or both? Do you have Digital Video Recording (DVR) technology or analog video recording technology (VHS)? Are there remote monitoring capabilities? Do your people have desktop computers or laptops with docking stations? Do they have access to LP/company systems for investigative purposes?

Physical security is a responsibility that most likely falls directly onto your shoulders. Burglar and fire alarms systems, lock strategies for doors, access control (if applicable), cabling of high value apparel, locking caselines, locking fixtures, safes, securing high value products (Pharmacy, Fine Jewelry), protecting merchandise trailers, etc. There is information available on these topics in this book. You should learn about each category so that you can incorporate your physical security strategies into your overall vision for your LP Department. When it comes to physical security, the simpler the better. The easier a physical security system is to use the better compliance you will get from the users. This is important because, even if you have a great physical security system, if no one uses it, it has little value.

Now ask yourself, does your current equipment and technology enable you to accomplish your vision for the LP Department? If not, determine what you need. How do you know what’s available? Simple, talk to the LP vendor community. There are hundreds of vendors who sell and service LP equipment and technology. All of them would be interested in educating you on their product(s). Once you have learned about and are ready to choose a type of equipment or technology, reach out to fellow LP Directors that use the particular product(s) and ask them for feedback. Most will be happy to give it to you. Or, reach out to your fellow Directors first and then talk to the vendors. Whichever approach you take, other LP Directors are a great resource.

Now you’ve done your homework on the equipment and/or technology you want to buy and you’re ready to start the process to purchase it. The first step is to learn what your Finance Department requires to justify an expenditure. All companies have different methodologies for this process but all require that you demonstrate an ROI. Learn the formula for your company and incorporate it into all of your proposals.

Continued tomorrow -- click here to read what's been published so far

Mike Keenan is currently the Vice President of Loss Prevention for GAP North America. His prior experience includes sixteen years with Macy’s West where he started as an LP Manager and worked his way to Vice President of Loss Prevention. He then held similar LP positions with Ross Stores, Longs Drugs and Mervyns. He started his career with the Federal Bureau of Investigation. Mike has a Bachelor’s Degree in Criminal Justice from California State University, Sacramento. He has served on the NRF LP Advisory Council and was the Chairperson in 2001 and 2002. He is a licensed Private Investigator in the State of California. In addition, he taught Retail and Corporate Loss Prevention classes at Golden Gate University in San Francisco, California.

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LPNN - Loss Prevention News Network

Trade Associations, Conferences & Series

2012 International Organization of Black Security Executives (IOBSE) Spring Conference

George Logan & Oliver Wainwright


The IOBSE episodes sponsored by
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George Logan & Oliver Wainwright -In this episode, the LPNN interviews George Logan and Oliver Wainwright, two of the founders of the International Organization of Black Security Executives (IOBSE). Now in it's 30th year, the IOBSE boasts 200+ members. In this interview, George and Oliver discuss how the IOBSE was started and how it has evolved over the years. They also give advice to the young leaders of tomorrow who may be watching the video. Filmed April 2012

Featured Episode

The Drug Store Industry's ORC Leaders

Learn how ORC is impacting the drug store industry
and how they're responding.



Season One Episode Release Dates

August 13

Se-Kure Controls



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Queens couple pleads guilty to role in U.S. largest identity theft case in history that hit Apple and Best Buy stores. "You are a huge criminal. A rip-off artist extraordinary," said Justice Buchter before he sentenced the two-time felon to 5 1/3 to 10 2/3 years in prison for identity theft and enterprise corruption charges. Amar Singh, admitted to Queens Supreme Court Justice Richard Buchter last month that he was the mastermind behind the creation of fraudulent credit cards with stolen account information and sent "shoppers" out to purchase items from Apple and Best Buy for resale. Singh and over 110 individuals were busted in October for racking up $13 million in stolen monies between July 16, 2010 to September 20, 2011. (Source

Major Fencing operation - Flea Market busted in Proctorville, Ohio West Virginia shoplifting case in the spring develops into what a task force says was a ORC gang of 8 to 10 drug addicts who were stealing anything and everything from stores throughout the Tri-State area. The "boosters" would then sell their goods to flea market operators in Proctorville, Ohio. This Saturday the task force raided the flea market and arrested the co-owner and one vendor. From nail polish, ladies face cream, razors, over-the-counter drugs, to just about anything they'd steal it and sell it to these operators. One co-owner of the flea market was apparently unaware of the illegal operation. (Source

Fencing operation busted in Ottawa, Canada The investigation began after officers received information that the owner of the Cobden Road business, a pizza shop, was taking stolen property into the store. Ottawa police have charged a 48-year-old man after more than $150,000 worth of stolen property was found at a west end pizza shop and inside a nearby home. "The amount of property was overwhelming when the officers went in there," said Staff Sgt. Kal Ghadban. A firearm, cellphones, cameras, passports, credit cards, clothing, toiletries, perfume and household items were found. Heavy-duty tools that may have come from construction sites were also seized. Police believe the items may have been stolen during home and car break-ins, shoplifting and robberies. There’s a possibility others could have taken orders about what items to steal based on demand. The investigation will take some time to complete; police still have to track down the stores or people the items were stolen from. (Source

Shoplifting ring identified after police pulled them over in their car in Fridley, Minnesota After searching the vehicle, officers found clothing and fragrance items with the price tags and security tags still on them. The trunk had about 100 packages of high-end fragrances, including ones from Victoria’s Secret and Ulta. There were no receipts. Marquita admitted to being the getaway driver for a group of about six people who were involved in an organized shoplifting ring. She said Ebony occasionally helped. More than $2,000 in merchandise was found in the car. Two women were arrested and the investigation in ongoing. (Source

Collier County Sheriff's Office, in Naples Florida, recently launched the the Collier County Organized Retail Theft Association. Through CCORTA an estimated 170 retailers and law enforcement representatives share intelligence information, discuss trends they are seeing, and – ultimately – prevent retail crimes such as shoplifting. (Source

Aiken, SC check forgery gang of 3 busted hitting Bi-Lo grocery stores with fraudulent payroll checks. Three out-of-state men who investigators said were in Aiken to make a quick buck by printing fraudulent checks and attempting to cash them at local businesses have been charged with multiple felony counts of check forgery. The scam came to light at Bi-Lo on the City's southside this weekend. Police were notified of the scam and found a suspect leaving the store. Investigators believe fake checks have been made under National Insurance, the Collins Group and Bridgestone Firestone. "We don't know how many other cases there are right now," Savage said. (Source


Do you have an ORC case to share? Publishing it educates the LP & retail community which might fuel even more jobs and funding.
Share your ORC news and help the industry grow

Thought Challenge

Submitted by Bill Petropoulos
Project Manager
Loss Prevention Foundation

Recently, I was asked an intriguing question, "What does courageous leadership mean to you?" To be honest I was surprised by this question. It is not often this question comes up in a conversation, but it should. Our industry is known for having courageous leaders, and there are many. Think about the LP professionals that have made a difference in our industry. Recently an industry leader left us. Fred Wilson was known for his leadership, innovative thinking, and people development style. Think about the LP leaders fighting ORC today; law enforcement partners, LP professionals, solutions providers, industry associations. Think of the leaders in our industry that innovate; Target and their state of the art forensic lab, Ebay and their fraud programs and teams, industry certifications LPQ, LPC, CFI, and CFE, and all the leaders that make a positive difference in their organizations, the industry, and in the lives of their teams. For all of these reasons I decided to submit my perception of what courageous leadership is.

1. Stay Hungry. In the words of non-other than Steve Jobs, "Stay Hungry". Never get comfortable with the current
    status of the business or personal accomplishments. Before you get comfortable is time to push to the next level.
2. Share the vision. Leadership is having a vision and being able to share that vision in a way that will inspire the
    team. What is your vision for your area of responsibility? Have you shared the vision in a way that gets your
    team is excited about the possibilities? Is the team on board? Is it the right vision?
3. Get down to the trenches. More often as we grow and advance in our career, we start to get complacent. We
    quickly forget how things were in the front lines. A courageous leader in my view will step down in the trenches
    and stay connected with the reality of the business. Connect with the team, understand the daily challenges,
    and stay close to the action if you will.
4. Humble. Courageous leadership is not about "I" but it is about "We". Leaders that are not afraid to recognize
    their team, and put the team first and not themselves.
5. I am wrong. Leaders that are not afraid to say they are wrong or made a mistake, and apologize.
6. Challenge. Leaders that are not afraid to challenge conventional wisdom in a professional and productive way.
7. Passion. Leaders that have passion for the business and expect the best from and for their team.
8. Integrity. Leaders that demonstrate integrity in their daily lives, and pass that strength on to their team.
9. Honesty. Leaders that value honesty and influence the teams to do the same.
10. Being the best. Leaders that develop and train their teams to excel and drive to be number one with the end
    result in mind.

In the words of Peter F Drucker, "Leadership is not magnetic personality, that can just as well be a glib tongue. It is not "making friends and influencing people", that is flattery. Leadership is lifting a person's vision to higher sights, the raising of a person's performance to a higher standard, the building of a personality beyond its normal limitations."

Bill Petropoulos is an executive with 20 years of progressive experience in loss prevention management. Petropoulos is currently with the Loss Prevention Foundation as a Project Manager where he manages various strategies including the newly created "Career Development" project. The Career Development project is a leading concept where Executive Loss Prevention Professionals share their success and career mile stones in order to benefit loss prevention professionals interested in advancing in the industry. Petropoulos has held various executive positions in loss prevention and asset protection, including; store, district, regional and corporate positions. Petropoulos has an Associate’s Degree in Administration of Justice, and is currently working on a Bachelor’s degree in business management. Petropoulos can be reached at or (760) 508-5518.

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Loss Prevention Mgr Sears City of Industry, CA Sears Holdings Corp.
Asset Protection Investigator Target Metro NY Target
Loss Prevention Mgr CVS Lumberton, NJ CVS
Regional AP Mgr Walmart Marietta, GA Walmart
Market AP Mgr Walmart Lafayette, LA Walmart
District LP Mgr TJMaxx Indianapolis, IN The TJX Companies
Loss Prevention Mgr Dollar General Phoenix, AZ Monster
Dept Mgr Store LP & Safety Lowe's Lexington, SC Lowe's
Dept Mgr Store LP & Safety Lowe's Lumberton, NJ Lowe's

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Leigh Kohlhaas has been named Manager of Loss Prevention Operations for J. Crew.
David Brightly, CFE
was named Director of Loss Prevention & Risk Management for Gordmans.
Efran Ali was named Area Loss Prevention Manager for Ross.

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Seems like the longer a process goes, the harder it is for everyone to stay focused on the initial purpose and maintain the enthusiasm as when it began. Time and difficulty have their impact, but maintaining the passion and enthusiasm is up to each person. With the last step seemingly the easiest, it is usually the most critical step of all and many tend to approach it as if it is a mere formality when, in reality, that last step can be the biggest and, if you do not watch out, it could be a step right off the cliff.

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