The Macy’s logo is seen at its Herald Square store in New York on January 19, 2024.
Michael M. Santiago | Getty Images
A New York beauty shop a few blocks from the Empire State Building has resold more than $1 million worth of goods stolen from Macy’s and a number of other retailers, authorities said Wednesday.
Two New Yorkers have been charged with possessing more than $1 million in stolen goods and reselling them through their business, Rehana’s Cosmetics, a perfume and cosmetics store in Midtown Manhattan, District Attorney Alvin Bragg said at a news conference.
About $212,000 of the merchandise was stolen from Macy’s, while the rest came from CVSRite Aid, Walgreens and Walgreens-owned Duane Reade, Ulta, Victoria’s Secret, Bath & Body Works and the NHL Shop, Bragg said.
“Through our investigation, we found that Rehana’s Cosmetics was known to shoplifters, who willingly brought stolen items to them,” Bragg said. “We contend that this created an incentive for shoplifters to steal, and therefore that the defendants, we contend, were the ringleaders of the crime.”
Manhattan District Attorney Alvin Bragg has announced an indictment related to more than $1 million in stolen goods as part of a retail theft fencing operation.
Courtesy: Manhattan District Attorney’s Office
Rehana’s Cosmetics, Bragg claimed, claimed to be a “beauty and perfume store” but instead was found to have hundreds of boxes filled with products not usually found in such stores, including designer purses, over-the-counter medications, cookware and other. . He said the defendants obtained the stolen goods from shoplifters with the intention of reselling them.
“The root cause we’re alleging here is greed,” Bragg said. “They did this to make money. That’s a motive that’s as old as time.”
Charges come as retailers such as Target and Ulta are increasingly citing shoplifting as a growing problem in their stores. In March, a months-long CNBC investigation showed how police broke up an organized retail crime ring that stole millions of cosmetics from Ulta stores and resold them to Amazon.
While Bragg could not provide a specific number when asked how many stores are believed to be involved in similar operations, he noted that there have been “far too many assaults” on employees at stores that have been robbed.
“Using a multi-pronged prosecution strategy, we can make a lasting drop in retail theft that will keep our store employees safe, cut incentives to steal and resell stolen goods and allow our retail sector to thrive,” he said.
In a statement to CNBC, a Macy’s spokesperson said, “We appreciate the work of law enforcement and the Manhattan District Attorney’s Office and are deferring to them any further comment on the case.”
A CVS spokesman said the pharmacy is “grateful” for the work of the Manhattan district attorney’s office.
Manhattan District Attorney Alvin Bragg has announced an indictment related to more than $1 million in stolen goods as part of a retail theft fencing operation.
Courtesy: Manhattan District Attorney’s Office
“Our partnerships with law enforcement are integral to our efforts to prevent organized retail crime (ORC) rings from stealing and then selling stolen goods online. We look forward to continuing our strong partnership with the DA’s Office as we work to combat ORC throughout New York City,” the spokesperson said.
A Walgreens spokesperson told CNBC earlier this year that the chain is taking steps to “safely prevent theft” and “provide the best patient and customer experience.”
The other retailers that allegedly stole goods included in the bust did not immediately respond to CNBC’s request for comment.