A looter robs a Target store in Oakland, Calif., on May 30, 2020. (Josh Edelson/AFP via Getty Images)
The case of a California mother accused of running a multi-million dollar makeup theft ring has renewed concerns over the rise in organized crime across the country.
Michelle Mack, 53, has been charged over the sprawling operation that stole eight million dollars worth of beauty products from retail stores nationwide, including 21 counties in California.
The suspect allegedly hired shoplifters to steal from Ulta Beauty stores and other retail outlets. In some cases, she even bought plane tickets, rented cars, and paid for hotels for them to carry out the crimes at targeted stores.
An investigation found the mother of three coordinated the theft ring from her residence in Bonsall, a wealthy suburb in northern San Diego county.
Authorities found countless cosmetic items organized in a warehouse-style operation in her home. Ms. Mack sold the stolen beauty products online in her Amazon storefront at a fraction of the retail costs to turn a profit, prosecutors allege.
In February, California Attorney General Rob Bonta filed more than 140 charges against Ms. Mack, her husband Kenneth, and seven other alleged members of the crime ring. The charges include conspiracy to commit retail organized theft, grand theft, and receipt of stolen property, according to the criminal complaint.
All the defendants have pleaded not guilty.
Organized retail crime has significant financial and safety implications for businesses, retailers, and consumers, the attorney general said in a statement.
Dan Petrousek, Senior Vice President of Loss Prevention at Ulta Beauty, said the rise in organized retail crime affects all retailers, consumers, and communities. The beauty executive said it also results in potentially unsafe or damaged products being resold online to consumers under false pretenses.
We believe it’s important to take action to deter the criminals perpetuating this problem, Mr. Petorusek said in a statement.
Organized retail crime has worsened over the years, according to the National Retail Federation (NRF). A survey conducted by the NRF says 67 percent of retailers report more aggression and violence from shoplifters compared to the previous year. A separate poll found retail-related crimes have increased since the COVID-19 pandemic.
Retailers nationwide have spent billions of dollars to protect their stores and employees from theft. Lawmakers have pushed to make changes in state and federal policy to crack down on the crimes.
Sen. Chuck Grassley (R-Ia.) introduced the Combating Organized Retail Crime Act of 2023. It would make it easier to prosecute theft as a federal felony and set up a multi-agency group under the Department of Homeland Security that would share intelligence from states and local law enforcement sources.
States have pushed for harsher penalties on offenders, including California, which recently experienced a series of brazen, smash-and-grab thefts. Under California’s proposed Assembly Bill 1772, store thefts would no longer be considered a misdemeanor without jail time if the offender had been convicted of two or more theft-related offenses. Instead, prosecutors would have the ability to add up the cumulative amount of stolen goods to make the crime a felony.
