Legislation to Combat Organized Retail Crime Introduced

    RILA applauds the 'Organized Retail Crime Act of 2008'



    ARLINGTON, Va., July 15 /EMWNews/ -- The Retail Industry

Leaders Association (RILA) applauds Congressmen Brad Ellsworth (D-IN) and

Jim Jordon (R-OH) for their introduction of the "Organized Retail Crime Act

0f 2008." The proposed legislation addresses the growing problem of

organized retail crime (ORC).



    ORC involves sophisticated crime rings that typically steal and

stockpile huge quantities of merchandise in a targeted area. They then

resell the stolen merchandise through flea markets, swap meets, pawn shops

and, increasingly, on Internet auction sites. In many cases, these crime

rings use the profits to fund other criminal enterprises.



    "RILA strongly supports the introduction of the Organized Retail Crime

Act of 2008," said Allen Thompson, vice president of global supply chain.

"This bi-partisan bill will provide law enforcement officials the tools

they need to curtail ORC and protect consumers from unknowingly purchasing

fraudulent or unsafe consumer goods."



    Because of widely varying state laws and the lack of a clear federal

criminal statute addressing ORC, gangs who move from store to store

stealing thousands of dollars of merchandise are often only subject to

minor misdemeanor charges.



    HR 6491 would criminalize the theft and subsequent sale of retail goods

and services. Organized retail crime costs consumers and businesses tens of

billions of dollars every year. This criminal activity impacts consumers,

retailers, and state and local governments. The proposed legislation would

address this issue by amending the federal criminal code to make activities

involved in furthering organized retail crime illegal. In addition, the

bill would also criminalize facilitation of this activity and impose

specific duties on online marketplaces to limit illegal activity occurring

online involving organized retail crime.



    Further, consumers who purchase health and beauty items from flea

markets and online auction sites are at serious risk of harm. Items such as

Baby formula and diabetic test strips, favorite targets of ORC criminals,

can be damaged when not handled carefully and could result in harm to

unknowing buyers.



    "This is a serious crime issue with real health and safety

implications," said Paul Jones, vice president for asset protection.

"Without a secure supply chain and the anonymity of sellers, consumers

could easily be exposed to harmful products that have been potentially

tampered with."



    For their safety, RILA encourages consumers to rely on traditional

retail sources when making these purchases.



    "RILA applauds Representatives Ellsworth and Jordon for their

leadership on this important issue and their commitment to protecting the

health and safety of consumers. We encourage Congress to act quickly to

give law enforcement the tools it needs to aggressively prosecute these

criminals and protect innocent consumers from unsafe or damaged goods,"

Thompson concluded.



    The Retail Industry Leaders Association (RILA) promotes consumer choice

and economic freedom through public policy and industry operational

excellence. Its members include retailers, product manufacturers, and

service suppliers -- which together provide millions of jobs and operate

more than 100,000 stores, manufacturing facilities and distribution centers

domestically and abroad.