The Loss Prevention Research Council (LPRC) proposed the term “organized retail crime” in the early 2000s. Since that time, the problem has only become more pervasive. Law enforcement and retailers work hard to stay abreast of emerging issues in ORC, as schemes and techniques tend to change over time.
LPRC experts Stuart Strome, PhD, Read Hayes, PhD, Mike Giblin, and Stephanie Lin consider the latest organized retail crime news updates and issues in an article for the December 2018 issue of LPM Online. The “diversification” of ORC groups into supply chain and cyber crimes are presenting new problems for loss prevention and asset protection professionals. From the article, just one example:
Social Engineering Schemes. These schemes involve getting unsuspecting individuals to provide personal information (social security numbers or credit card information) for fraudulent purposes (Youngblood 2015, 103‐105). Once obtained, organized retail criminals use this fraudulent personal information to take out loans or make large purchases. Some fraudsters may contact retailers pretending to be government or educational institutions, using emails that look official but lack “.gov” or “.edu” extensions. They will make large purchases from retailers, which will be charged to the official institution’s account. They will then contact the institution claiming that the shipment was made in error, providing an address (usually a drop house) for the institution to reship the products.
Read what the experts have to say on other recent ORC schemes, such as cargo theft and online fencing, in “An Update on Emerging Issues in ORC.”
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