Buckeye Reporter

A proposed Ohio bill could afford protections for online shoppers from flash mob sellers who steal goods from retail stores throughout the country and then resell them online.

Jason Brewer, executive vice president of the Retail Industry Leaders Association, said that third-party marketplaces are ideal for thieves.

“Retailers invest heavily in deterrents to stop theft, but what is often left out of the equation is the resale of stolen product, and the effect that is having on this increase in criminal activity,” he said. “Once goods are stolen from a store, criminals increasingly turn to third-party marketplaces like Amazon and Facebook where they can quickly and anonymously sell stolen products to unsuspecting consumers.

“Third-party marketplaces like Amazon and Facebook have become a lucrative hub for criminals looking to anonymously sell massive quantities of stolen goods," he added. "Until we address how easy it is to sell stolen products, retailers and law enforcement believe the problem will only grow worse." 

The Buckeye Reporter previously reported that Ohio House Bill 272 (HB 272) would eliminate stolen goods from being sold online by asking sellers to verify who they are.

The bill was introduced in April. The last action on the bill was in May when it was referred to the Commerce and Labor committee, according to LegiScan.

Last month a Nordstrom store was looted by a flash mob in Los Angeles. The New York Post reported that the Nordstrom raid was one of a spree of cases in recent weeks.

Looters can get away with tens of thousands of dollars in goods in a matter of minutes and then resell them on a third-party marketplace, according to the Wall Street Journal. The National Retail Federation assesses organized retail stealing typically costs businesses $700,000 to $1 billion in sales.

Among the platforms that profit from the sale of stolen merchandise are Facebook and Amazon, the Wall Street Journal reported.

According to the newspaper, Amazon representatives said they work with law enforcement to hold the sellers responsible.

In September the Wall Street Journal reported on a $45 billion stolen goods organization where physical stores like CVS, Walgreens, Home Depot, Walmart and others were targets of flash mob thieves.