US: "Smash and Grab" robberies spur retail lockdowns
US retailers like Target and Walmart have closed stores due to the growing threat of violent "smash-and-grab" robberies, another wave of organized retail crime on top of an ongoing onslaught of theft.
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00:00 Philadelphia, Los Angeles, San Francisco, Chicago.
00:06 Just a few examples of big cities across the US facing yet another wave of organized retail
00:11 crime.
00:12 Another uptick of so-called smash-and-grab and flash mob theft incidents.
00:16 A growing problem for national and local retailers, big and small, with merchandise worth billions
00:22 of dollars lost or at risk.
00:26 Director Robert Karr, president of the Illinois Retail Merchant Association, he is one of
00:31 many sounding the alarm.
00:34 We're now seeing for the first time the organized retail crime and retail theft is showing up
00:39 in the reports that are issued by publicly traded corporations.
00:43 That never used to be the case.
00:44 And that should be a wake-up call to everyone just how serious this is.
00:49 Example Philadelphia, last year, September.
00:51 A virgin megastore is hit in what appears to be a so-called smash-and-grab.
00:56 A metal gate is cut, windows and doors are smashed, then the crowd floods the store.
01:01 In less than a minute or two, it's all over.
01:04 A recipe for success.
01:06 When police finally arrive, the thieves are long gone.
01:09 These are groups of young people that are coordinated.
01:12 This is orchestrated.
01:13 This is not an impulsive crime.
01:15 This is planful.
01:17 And today, the planning is done on the phone.
01:23 I can bring together a group of my compatriots with a text.
01:28 Example Chicago.
01:30 The most popular targets, high-end retailers and department stores on Chicago's Magnificent
01:35 Mile or "Mag Mile" as locals call it.
01:38 Nordstrom, Neiman Marcus, Louis Vuitton, Canada Goose and other luxury retailers, all hit
01:44 by completed or at least attempted smash-and-grabs.
01:47 Things got so bad, the Chicago Police Department and the Cook County Sheriff's Office have
01:52 visibly stepped up their presence on "Mag Mile" recently.
01:56 More officers on foot patrol.
01:58 A nice try, but ultimately ineffective, critics say.
02:01 What we really need is aggressive, zero-tolerance prosecution.
02:06 And unfortunately, we really don't have aggressive prosecution.
02:09 And that sends the message then that it's okay.
02:13 You meet with Darius Kelly and Sabrian Sledge.
02:16 They have been victims to attempted and successful smash-and-grabs six times so far.
02:21 I think we're so attractive to them because of the product that we carry.
02:27 It's really hard to find streetwear.
02:30 In the early morning hours of October 25th, a car smashed into the storefront.
02:35 At least five masked people grab as much merchandise as they can in just minutes.
02:40 Then they leave in waiting cars.
02:43 Merchandise worth $70,000 gone.
02:46 Damage to the property around $30,000.
02:49 Insurance?
02:50 No.
02:51 It's a myth that there's insurance for retail theft.
02:53 There is no insurance for retail theft.
02:56 There is insurance for property.
02:58 So if, you know, in property, meaning if they broke a window or smashed through a window
03:02 or a door, tore down displays, those things could be covered.
03:07 But it is impacting rates.
03:09 Flea Club owners Sledge and Kelly had to eat up the cost.
03:12 On top of that, they had to invest even more in security.
03:15 More cameras and sensors, a fully armed security guard, reinforced shop window frames, bullet-resistant
03:21 glass and bullets in front of the store.
03:24 All adding to operating costs.
03:28 The Attorney General of Illinois has recently created a task force to combat smash-and-grab
03:32 crime.
03:33 California's and New York's governors have promised hundreds of millions of dollars more
03:37 over the next few years for the fight against organized retail crime.
03:42 Other states and cities in the U.S. are following suit in one way or another.
03:46 Not a quick fix, businesses say, but a first step in the right direction.
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