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South Dakota Governor Signs Organized Retail Crime/Consumer Protection
Legislation
The Governor has signed Senate Bill 23 into law, and it becomes effective July
1, 2014.
The measure received overwhelming approval from the House, passing by a vote of
69 to 1. The Senate, which had earlier given the bill unanimous approval, also
signed off on a minor amendment made on the House side.
This measure was one of SDRA’s priority issues this year. The bill has two main
components: it clamps down on organized retail crime, and updates the state’s
consumer protection laws.
Organized Retail Crime
Organized retail crime (ORC) is not your garden variety theft by shoplifting,
which is bad enough. ORC involves groups of people who make a living from
stealing large quantities of items which are then sold to fences, on flea
markets, via the internet, or to other unsuspecting retailers.
Nationwide, it’s estimated that thieves involved in ORC rack up $30 billion in
thefts annually. In South Dakota, the theft rings are stealing an estimated $95
million in goods each year from South Dakota merchants. The thefts result in
increased costs for stores, which in turn means every customer pays more. The
State of South Dakota is also losing out on an estimated $3.8 million in tax
revenues every year due to ORC.
This measure:
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defines organized retail crime |
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establishes tough penalties, fines and
restitution for people who knowingly organize, supervise, conspire,
finance, commit or assist in these crimes |
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makes it clear that it is a crime to knowingly
activate a fire exit alarm or to deactive an alarm in order to
facilitate the commission of organized retail crime |
This is a good law, and SDRA was pleased to work with the Attorney General’s
office on the drafting of this measure.
Consumer Protection
The consumer protection part of SB 23 will make it easier to prosecute people
who knowingly violate the consumer protection laws. It:
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sets up a tiered system of penalties ranging from
a Class 1 misdemeanor to a Class 5 felony |
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adds theft of debit cards to the current statutes
which make it a crime to steal credit cards |
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makes it clear that businesses are considered
consumers and entitled to protection |
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updates the lodging consumer protection laws |
SB 23 was developed last summer and fall by a study group put together by the
Attorney General’s office. SDRA was one of 70 stakeholders participating in the
effort.
The bill may be read in its entirety at
http://1.usa.gov/1m1cxje.
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