$20 Million Crime Spree Hits Home Depot, Lowe's And More
Occasionally, retail theft at stores like Home Depot evolves past simply grabbing a Milwaukee impact wrench off the shelf and ducking out the door before anyone notices. Sometimes it's downright sophisticated, as was the case with a fraud ring that managed to swindle huge retail outlets like Home Depot and Lowe's out of millions of dollars.
ABC 7 News out of New York reported that five people were arrested for fraud. The scheme involved opening credit card accounts and buying kitchen appliances and construction materials, and then later selling them at a profit. It's worth noting that neither Home Depot nor Lowe's appear in the indictment by name, which instead refers to home improvement retail chains headquartered in Atlanta and Mooresville, respectively.
The crime was big enough that it attracted the attention of the federal government. Reportedly, the suspects were able to obtain more than $20 million in merchandise. That's quite a step above your average shoplifter, and the plot didn't involve the typical targets for people who wanted to make a quick profit off of stolen power tools. The stolen goods were stored in a warehouse in Brooklyn, New York.
Home Depot is no stranger to multimillion dollar crimes
Reportedly, the crime ring operated for a little over two years before the suspects were caught. The suspects have been charged with fraud, although it's not yet known what kind of prison time they may face if they're convicted.
Strangely, that's not the only multi-million dollar crime spree targeting home improvement stores that happened this year. ABC News reported back in August that 14 people were arrested as part of a theft ring that stole $3.7 million in merchandise from 71 different Home Depots. That merchandise was also resold for a profit.
Home Depot reported that it had net earnings of $4.6 billion for the second quarter of this year. As such, a few million in theft, while unprecedented in scope, isn't exactly going to put Home Depot in bad shape financially. However, it certainly isn't something to just shrug off like it didn't happen.