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LSC Articles
We have also written articles and documents to better answer your questions and help you learn more about security and how it affects your business. Click on the title of the article you are interested in for more information.
| Do you know the correct way to apprehend a shoplifter? |
| One of the subjects I discuss with store owners on my visits is if they have a shoplifter policy or procedure. In most cases, the owners do not have any formal guidelines for the management staff, security, or associates to follow. : 2005-03-01 |
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| Employee Theft, Who Can You Trust? |
| Employee theft accounts for the largest amount of theft in the retail business. 2002 statistics provided by The University of Florida indicated that theft by employees account for 48% of the total retail shrink or over $15 billion annually. : 2004-12-14 |
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Security Related News Articles
On this page, you will find articles that are related to security and safety. Click on the title of the story you wish to view and it will load in a new window.
| $660 Billion Employee Fraud |
| - Biz Journals |
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| Best Buy LP Manager Indicted On Theft Charges |
| - Wave 3 TV |
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| Cutting-edge technology helps catch thieves |
| - American City Business Journals / Dayton, Ohio |
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| Former loss prevention employee gets 4 years' probation in thefts |
| - Milwaukee Journal Sentinel |
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| Preventing employee pilferage |
| - The Financial Gazette |
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| Retailer Seeking Tougher Laws |
| - New House News |
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| Statistics show $660B lost annually to fraud; median loss $93K |
| - Philadelphia Business Journal |
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| Take a bite out of shoplifting |
| For business owners and consumers alike, shoplifting comes at a higher cost than just the price of the stolen merchandise. In fact, additional dollars spent on security measures and higher merchandise costs passed on to the consumer are the other factors that make up the shoplifting equation. "It's awful," said Dean Avery, owner of Ariel Booksellers Inc., in New Paltz, about the effect of shoplifting on his business. Avery said while consumer theft isn't a huge problem at his Plattekill Avenue store, it does cost him about 3 percent in inventory shrinkage annually. Inventory shrinkage is defined by publisher Prentice Hall as losses businesses incur from employee theft, shoplifting and vendor fraud.
The National Association for Shoplifting Prevention reports that more than $10 billion worth of goods are stolen each year. The number of those who pilfer from retailers is staggering. There are about 23 million shoplifters in this country, or about one in 11 people. According to Avery, when a book is stolen from Ariel it takes two more copies of that same book to pay for the cost of the stolen one. Still, the business owner balks at the idea of installing check-point systems at the store's entrances. "We would never do that," Avery said. Waging a war against shoplifting would put Avery in a compromising position. During the week, Ariel's business is primarily people from the community, and the weekends bring additional volume from the tourist population. Avery said the presence of the security systems would be unnerving to his customers.
Patrick Adams, general manager of the family-owned Adams Fairacre Farms, said the business, which started as a farm stand in 1932 on Route 44 in Poughkeepsie to three grocery stores in Dutchess, Ulster and Orange counties, also faces a dilemma when it comes to putting security measures into place. "It's a tough balance. We don't want people running around like vigilantes. We want to maintain a comfortable environment," Adams said, adding that some surveillance is necessary. To combat the problem, Adams relies mostly on cameras and the watchful eyes of its store managers to keep the amount of stolen goods to a minimum. Adams said the current economy, coupled with a growing population, means the problem will probably worsen. "I don't see it getting any better," Adams said.
$2 billion stolen
Nationally, the problem is severe. Hayes International's Sixteenth Annual Retail Theft Survey reports that of the 24 U.S. retail companies surveyed, $2 billion was lost due to shoplifting and employee theft in 2003. Only 4.6 percent of those losses were recovered, meaning that for every dollar recovered, another $20.76 is lost to retail theft. Mark R. Doyle, Vice President at Hayes International, said everyone pays a price when people steal. "To the business it's not only profits stolen, but the sales because they can't sell the item. For the consumer, the retailer has to pass the cost along resulting in higher prices for the consumer," Doyle said. The National Retail Federation reported in its 2004 Holiday Survival Kit that shoplifting made up 32 percent of the retail inventory shrinkage nationwide in 2003. And since it is a low-risk crime with no jail time attached to it, coupled with retailers who won't prosecute, Doyle said there's not much to discourage thieves. Steve Warren, owner of M&M Army Navy in the City of Poughkeepsie, said business owners must make sure their employees are always observant. "I tell them you're in a rough neighborhood. If you're not observant they'll steal, but if they see someone watching they're not going to take anything," Warren said. Doyle said that's good advice.
"Shoplifters want and need privacy. Our goal is to take away that privacy."
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| Three sentenced for defrauding Home Depot, Lowe's stores |
| ATLANTA - A federal judge sentenced three people to prison Tuesday for defrauding Home Depot and Lowe's stores in five states out of more than $200,000 by switching bar codes on rugs and other merchandise.
Marcus Abercrombie, 34, of Atlanta was sentenced by U.S. District Judge Richard Story to 20 months, while David Oliver, 36, and Mindy Oliver, 40, of Hampton were sentenced to three years, 10 months and a year and eight months respectively.
Abercrombie has forfeited over $186,000 to go toward restitution for the two companies, and the Olivers are responsible for $229,000 in restitution, the U.S. Attorney's Office said.
The three pleaded guilty to fraud charges earlier this year in a scheme in which bar codes were taken from cheaper items and affixed to high-end goods at the home-improvement stores in Georgia, Tennessee, Alabama, North Carolina and South Carolina.
Investigators said the three would return merchandise at other Home Depot and Lowe's stores for a refund at the actual price. They sold vouchers for store credits on the Internet or through a pawn shop run by Abercrombie, authorities said. They also bought items with gift-card vouchers, including refrigerators, faucets and other household goods, then sold them on eBay.
- Associated Press |
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