CHICAGO, Ill. (WAND) – The Illinois Retail Merchants Association, in partnership with Attorney General Kwame Raoul, announced a new proposal to combat criminal rings, prevent illicit trade, and provide retailers additional tools to protect the safety of employees and customers.

The proposal combats organized retail crime by addressing the problem from multiple angles, including the following: 

  • Providing prosecutors with more tools to hold criminals accountable 
  • Dedicating state funds to investigate and prosecute the criminal rings carrying out these brazen thefts
  • Requiring more oversight of third-party marketplaces where stolen goods are sold 
  • Stronger rights for victims of organized retail crime 
  • The creation of a statewide intelligence gathering and sharing platform allows retailers and law enforcement agencies to better coordinate

“The impact of organized retail crime reaches far and wide, threatening the safety of employees and customers and putting our communities at risk of further crime including illegal firearm purchases, human trafficking and even terrorism,” said Rob Karr, president & CEO, IRMA. “We are proud to stand with Attorney General Raoul to propose real changes that will aid retailers, protect our employees and consumers and provide for safer communities across the state. We look forward to working with the leaders and legislators in the House and Senate to implement these important changes.”

The new proposal would establish the Organized Retail Crime Act, an effort to combat dangerous forms of retail theft, usually performed by criminal groups to resell stolen items to fund illicit activities.

Anyone who is found participating in smash and grab robberies or looting of supply chain vehicles could be prosecuted for organized retail crime as well as by the Attorney General via the Statewide Grand Jury.
 
Prosecutors would also be given wider discretion to bring charges regardless of where the crime takes place.
 
This would give law enforcement officials another avenue by which to hold leaders of criminal rings accountable. Further, victims of organized retail crime must be given at least seven days’ notice of all court proceedings, which must be sent to the establishment where the crime occurred as well as any persons the victims designate.
 
The proposal calls for earmarking state funds on an annual basis to create new positions in the Attorney General’s office and various State’s Attorneys offices across the state solely dedicated to investigating and prosecuting retail theft and illicit trade.
 
To qualify for funding, officials must agree to prosecute offenders and seek state-imposed penalties, as well as meet annual reporting requirements that includes but is not limited to information about arrest and conviction rates, sentencing information and value of goods recovered.
 
“We cannot make the mistake of looking at organized retail crimes as being isolated events if we are to fully address the problem,” said Attorney General Kwame Raoul. “I established an Organized Retail Crime Task Force because collaborations between law enforcement, the retail industry and government are critical to interrupting the criminal enterprise behind these crimes, which are frequently connected to drug and human trafficking. I appreciate the partnership of the Illinois Retail Merchants Association as we continue working to protect communities from organized retail crime and the criminal organizations behind it.”
 
The proposal builds on the work of the Attorney General’s Organized Retail Crime Task Force, which is designed to investigate these crimes and trace them to their source. 
 
According to the IRMA, increasingly, goods stolen during the execution of organized retail crime are often sold on third party electronic marketplaces.
 
The proposal would require these online marketplaces to verify the identity of high-volume sellers using bank account numbers, taxpayer IDs or other information.
 
Those sellers would be required to provide valid contact information, and marketplaces would be required to suspend the activity of third-party sellers for non-compliance. This is a vital public safety component as these sales are used to fund illegal activity including drug trade, weapons smuggling, human trafficking and terrorism.
 
A recent study by the Retail Industry Leaders Association found that as much as $68.9 billion in products were stolen from retailers nationwide in 2019, with retail crime resulting in $125.7 billion in lost economic activity and 658,375 fewer jobs. It’s estimated that retail theft costs federal and state governments nearly $15 billion in personal and business tax revenues, not including sales tax losses.