A bill designed to crack down on organized retail crime has passed the US House of Representatives and is now heading to the Senate.
The bill targets organized crime involving the illegal acquisition of retail goods and cargo for sale through physical and online retail marketplaces. It also addresses the cross-jurisdictional, interstate, and international aspects of these crimes.
To combat such offences, the bill would create an ‘Organized Retail and Supply Chain Crime Coordination Center’ under the Department of Homeland Security for federal, state, local, territorial and tribal efforts. A director for the office would be appointed by the Immigration and Customs Enforcement.
“Retailers face mounting thefts and fraud because of organized retail crime in and around stores, online, and throughout the retail ecosystem,” according to the bill’s text, which cited findings that larceny incidents increased by 93 per cent in 2023 compared to 2019.
“These thefts are often orchestrated by organized theft groups reselling and redistributing the stolen goods back into the economy of the United States or overseas to gain illicit profit and to finance other criminal activity, and more than 84 per cent of retailers report that violence and aggression from these criminal activities has become more of a concern since 2022, resulting in injuries and deaths among employees, customers, security officers, and law enforcement personnel,” the text reads.
The House’s vote in favor of the bill marks a milestone for the National Retail Federation, which has pushed for this legislation for years.
“NRF has long advocated for federal legislation that strengthens coordination among federal, state and local law enforcement agencies to combat these criminal networks and better protect retail employees and customers nationwide,” EVP of government relations David French said in a statement.
“NRF has been leading the fight on behalf of retailers for passage of this legislation through direct engagement with federal, state and municipal law enforcement, coordinating fly-ins for lobbying by home state retail asset protection professionals, providing expert testimony and conducting fact-based research,” he added.
