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Watch and listen to Loss Prevention Magazine’s conversation with Allen Vanscoy, section chief for HSI’s National Lead Development Center to learn more about the center and how HSI is putting organized retail crime out of business.
The dissemination or use of this link does not constitute or imply an endorsement by DHS, ICE, or HSI regarding Loss Prevention magazine, or any of their products or services.
The latest effort by Homeland Security Investigations (HSI) in the battle against organized retail crime (ORC) resulted in the takedown of a gang in a rural community 32 miles west of Charlotte, North Carolina. The October 20, 2022, raid resulted in the recovery of $167,000 in stolen merchandise and 28 firearms including assault rifles, silencers, and 20,000 rounds of ammunition. Over the last three years, HSI estimates the scope of loss from this gang’s activities exceeds $5 million in stolen goods.
The dissemination or use of this link does not constitute or imply an endorsement by DHS, ICE, or HSI regarding Loss Prevention magazine, or any of their products or services.
Federal, state, and local law enforcement partners from across the United States, including Homeland Security Investigations (HSI), executed a nationwide, coordinated takedown Nov. 2 of leaders and associates of a national network of thieves, dealers, and processors for their roles in conspiracies involving stolen catalytic converters sold to a metal refinery for tens of millions of dollars.
Arrests, searches, and seizures took place in California, Minnesota, New Jersey, New York, Nevada, North Carolina, Oklahoma, Virginia, and Wyoming. In total, 21 individuals in five states have been arrested and/or charged for their roles in the conspiracy.
The 21 defendants are charged in two separate indictments that were unsealed Nov. 2 in the Eastern District of California and the Northern District of Oklahoma, following extensive law enforcement arrest and search operations. In addition to the indictments, over 32 search warrants were executed, and law enforcement seized millions of dollars in assets, including homes, bank accounts, cash, and luxury vehicles.
In the initial investigation, the estimated loss was $1 million. Since June 2021, the Lancaster County Sheriff’s Office, in conjunction with Homeland Security Investigation (HSI) Omaha, has identified approximately 45 thefts that occurred across Nebraska, Iowa, Minnesota, South Dakota, North Dakota, and Wisconsin, totaling $9 million in loss. The investigation, led by the Lancaster County Sheriff’s Office and HSI Omaha’s Major Crimes Task Force, determined that a Miami-based, highly sophisticated organized criminal enterprise targeted beef and pork packaging plants in Nebraska, Iowa, Minnesota, South Dakota, North Dakota, and Wisconsin.
HSI Houston, in conjunction with the Pearland Police Department, Brazoria County Sheriff’s Office, Alvin Police Department, and Texas Department of Public Safety arrested five individuals Aug. 24 for their alleged roles in a large-scale catalytic converter theft ring that is suspected of fencing stolen catalytic converters for the three individuals charged with murdering Harris County Sheriff’s Office Deputy Darren Almendarez.
A former Springfield woman pleaded guilty in federal court Aug. 16 to her role in a conspiracy to transport tens of thousands of stolen catalytic converters across state lines as part of a multi-million-dollar business, following an HSI, joint law enforcement partners investigation. Danielle Ice, 34, of Columbia, pleaded guilty before U.S. District Judge M. Douglas Harpool to participating in a conspiracy to transport stolen property across state lines.
HSI Houston, the Harris County Sheriff’s Office, the Houston Police Department, and the Texas Department of Public Safety arrested six individuals July 28 for their alleged roles in a large-scale catalytic converter theft ring that is suspected of fencing stolen catalytic converters for the three individuals charged with murdering HCSO Sheriff’s Office Deputy Darren Almendarez.
The leader of a robbery “rip crew” that targeted game rooms, human smugglers and drug traffickers was sentenced to 26 years in federal prison July 12 following an investigation by HSI Houston and the Houston Police Department.
HSI and the Association of Certified Anti-Money Laundering Specialists (ACAMS) have formed a partnership and published a report to help combat organized retail crime, the large-scale theft of retail merchandise with the intent to resell items for financial gain, which has become an increased threat to public safety and economy.
HSI Houston and the Houston Police Department arrested three individuals and seized around 1,900 stolen electronic devices valued at approximately $1.8 million May 17 as part of an ongoing investigation into a suspected $65 million transnational organized retail crime scheme to smuggle stolen cell phones and other electronics overseas and launder the illicit proceeds.
An Illinois man was convicted at trial of running a multi-million dollar retail crime ring, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham. After four days of trial, a federal jury found Artur Gilowski, 48, of Barrington, IL, guilty of conspiracy to commit interstate transportation of stolen property and conspiracy to commit mail fraud.
According to evidence presented at trial, Mr. Gilowski’s coconspirators stole tens of thousands of products – valued at over $20 million – from brick-and-mortar retail stores across the United States, then shipped them to Mr. Gilowski, who sold the stolen goods on various e-commerce websites, generating more than $11 million in profits.
Seven Rogersville, Missouri, and Springfield, Mo., residents have been indicted by a federal grand jury for their roles in a conspiracy to transport thousands of stolen catalytic converters across state lines as part of a multi-million-dollar business following a U.S. Immigration and Customs Enforcement (ICE), HSI, joint law enforcement probe.
29 members of a large-scale theft ring were charged by federal and state prosecutors for their roles in an organization whose operations crossed state lines and caused more than $10 million in losses to retailers. Stores targeted include Reasor’s, Sprouts, Walmart, Sam’s Club, Costco, Walgreens, CVS, GNC and others.
For example, on Sept. 4, 2019, defendants allegedly boosted, or stole, $1,329 worth of over-the-counter products, such as Flonase, Mucinex, Nexium, Zegerid, and Allegra, from a Reasor’s in Jenks, Oklahoma.
The “boosters” – a person who steals goods and merchandise, specifically, but not limited to OTC from retail stores – netted $4.5 million from the sale of stolen merchandise and over-the-counter products to fencing organizations outside of Oklahoma. “Fences” – a person, organization or entity that purchases or receives stolen goods and merchandise from boosters – then sold the stolen products through e-commerce sites, like eBay and Amazon.
The indictment charged four defendants with conspiring to launder proceeds of wire fraud that were stored on gift cards issued by Target. The indictment alleges that the defendants obtained more than 5,000 gift cards from a group that called itself the “Magic Lamp” and sold gift card information via an online messenger application.
Two Houston-area men were taken into custody on charges of conspiracy to commit health care fraud relating to a pharmacy fraud scheme.
The eight-count indictment alleged that the defendants, through the parent company for several retail pharmacies that operated in Houston, Fort Worth, South Florida and elsewhere, collectively received over $134 million in payments from Medicare and other healthcare benefit programs based on fraudulent claims. The funds were allegedly used, in part, to pay for one defendant’s $1.5 million residence, $15 million in gambling and casino expenses and purchases and payments for a Ferrari and a Bentley automobile. The defendant also transferred and controlled over $6 million in health care fraud proceeds in certificate of deposit accounts at banks, according to the allegations.