For Immediate Release
Contact: Brian Dodge, RILA (703) 600-2017
Bill Greer, FMI (202) 220-0667
J.Craig Shearman, NRF (202)626-8134
Chris Krese, NACDS (703) 837-4650
CONGRESSIONAL HEARING SCHEDULED
TO ADDRESS ORGANIZED RETAIL CRIME
Washington, D.C.—September 17, 2008—The Coalition Against Organized Retail Crime commends Congressman Bobby Scott (D-VA), Chairman of the House Judiciary Committee, Subcommittee on Crime, Terrorism and Homeland Security for holding a hearing devoted to tackling organized retail crime (ORC); a grave and mounting crime problem that is jeopardizing the safety and well being of communities and consumers.
The hearing will take place on September 22, 2008 at 4 p.m., 2141 Rayburn House, and will specifically visit the Organized Retail Crime Act of 2008 (HR 6491), the E-Fencing Enforcement Act of 2008, (HR 6713) and the Combating Organized Retail Crime Act (S. 3434).
ORC involves sophisticated crime rings that steal and stockpile huge quantities of merchandise that they then sell often to unwitting buyers. ORC gangs target high value consumer goods such as power tools, razors, over the counter medicine, items that are in high demand and are often easily concealable. The stolen merchandise is then sold through flea markets, swap meets, pawn shops and increasingly through internet auction sites.
This criminal activity puts consumers and communities at risk, strips states of needed sales tax revenues AND costs retailers billions each year. Merchandise, such as baby formula and diabetic test strips, which can be damaged if not stored at proper temperatures, are often mishandled after being stolen. The unwitting buyers of these goods are at risk of harm when test strips fail or baby formula spoils. Additionally, the proceeds derived from ORC are used to fund other criminal activity, threatening the safety of communities. Currently no Federal statute is in place to curtail this behavior and give law enforcement the means to put criminals behind bars.
With the recent introduction of three bills, Congress has taken a strong step forward to protect consumers and demonstrate their commitment to addressing organized retail crime (ORC).
In July Congressman Brad Ellsworth (D-IN) along with Congressman Jim Jordan (R-OH) introduced the Organized Retail Crime Act of 2008 (HR 6491). The bill would amend federal criminal code, making it illegal to engage in activities that further organized retail crime.
Soon after Congressman Bobby Scott (D-VA) introduced the E-Fencing Enforcement Act of 2008 (HR 6713). This carefully tailored bill takes on what is clearly a significant cause of ORC growth, the selling of stolen goods online.
Finally, In the Senate, S. 3434, the Combating Organized Retail Crime Act of 2008, was introduced by Senator Richard Durbin (D-IL). The Durbin bill would clarify existing law to give law enforcement the tools to prosecute ORC, require online and offline marketplaces to investigate suspicious sales, and place basic disclosure requirements on online marketplaces.
The Coalition Against Organized Retail Crime applauds Chairman Scott for his commitment to examine this issue, and bring to light the detrimental impact of ORC. The proposed legislation will give law enforcement the tools they need to prosecute these criminals effectively and protect innocent consumers from unsafe or damaged goods.
About the Coalition Against Organized Retail Crime
The Coalition Against Organized Retail Crime, formed in 2001, is composed of 32 national manufacturing and retail organizations as well as individual companies that have come together to fight a new type of retail crime. The Coalition’s Web site can be accessed at www.stopretailcrime.com.
Coalition Members: Abbott Laboratories, Ahold USA, Inc., Consumer Healthcare Products Association, Cosmetic, Toiletry, and Fragrance Association, CVS/pharmacy, Duane Reade, Eastman Kodak Company, Food Lion, LLC, Food Marketing Institute, Giant Food LLC, Giant Food Stores LLC, GlaxoSmithKline, Grocery Manufacturers/Food Products Association, The Home Depot, International Formula Council, The Kroger Co., The King Rogers Group, Macy’s, National Association of Chain Drug Stores, National Association of Convenience Stores, National Community Pharmacists Association, National Retail Federation, Nestle, Publix Super Markets, Inc., Retail Alliance, Retail Industry Leaders Association, Rite Aid Corporation, Safeway Inc., Security Industry Association, The Stop & Shop Supermarket Company, Target Corporation, Tops Markets, LLC, Wal-Mart Stores, Inc., Walgreen Co.