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National Retail Federation, eBay Partner to Fight Organized Retail Crime

April 2, 2010

The world’s largest online marketplace is partnering with the world’s largest retail trade association to tackle organized retail crime. This unique partnership between eBay and the National Retail Federation will tie in support from the Federal Bureau of Investigation, retailer participation and new technology to identify and attack organized retail crime.

The partnership provides for greater information sharing to target ORC investigations which would further support the investigative efforts of federal, state, and local law enforcement working in partnership with LP professionals.

“NRF has done a great job of shining a spotlight on the issue of organized retail crime, but retailers cannot fight this problem alone,” said Paul Jones, Global Director of Asset Protection, eBay. “Through this partnership, NRF and eBay are putting criminals on notice that they will no longer be able to steal from retailers and abuse the online marketplace for profit.”

The partnership is taking a multi-tiered approach to organized crime. The groups have agreed to:

* Bring together a core group of NRF retail members and representatives of eBay on a regular basis to discuss organized retail crime, brainstorm best practices to prevent it, and take steps to eradicate the activity.

* Identify ways to leverage new technology, including NRF’s LERPnet and eBay’s PROACT programs, to further assist law enforcement in identifying and tracking organized retail crime rings.

* Collaborate with the FBI to help identify crime rings that have been responsible for stealing merchandise in bulk.

* Work together on legislation to enhance Federal law enforcement resources to combat organized retail crime and punish major offenders through enhanced criminal penalties.

"eBay has invested in a number of new resources and is making tremendous strides assisting retailers and law enforcement with tracking illegal behavior,” said Joe LaRocca, Senior Asset Protection Advisor, NRF. “The partnership between NRF and eBay will create standards and best practices to stop criminals from fencing their stolen goods.”

Organized retail crime has long been an issue plaguing both retailers and secondary marketplaces. In an NRF survey conducted in 2009, 92 percent of retailers said they were victimized by organized retail crime within the past year, and nearly three-fourths (73%) also reported the level of organized retail crime activity had increased.

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