Screenshot / YouTube The New York Post, Cropped by Resist the Mainstream

A rampant shoplifting crisis in New York state, amounting to a staggering $4.4 billion in annual losses for retailers, has spawned a clandestine resale economy thriving in the shadows, an investigation by The New York Post has uncovered.

This illicit network, fueled by brazen thieves and savvy middlemen, capitalizes on stolen merchandise, peddling it through various channels including online platforms like eBay and Facebook Marketplace.

With a nod to Dickensian themes, some nefarious organizers even provide “shopping lists” directing thieves to specific high-value targets like cellphones and handbags.

The process involves middlemen purchasing stolen goods at a fraction of their retail value, subsequently offloading them on popular online marketplaces, law enforcement insiders told The Post.

This cycle perpetuates itself, with everyone involved reaping profits.

The crisis isn't limited to non-perishable goods; even perishable items like premium ice cream brands find their way into this shadow economy, distributed to small grocery shops.

More sophisticated schemes involve fraudulent returns of stolen merchandise at different retail locations in exchange for store credit, which is then sold for cash.

Compounding the issue, individuals deeply entrenched in this illicit trade camouflage their activities online, employing tactics such as posting single items, managing multiple profiles, and maintaining a continuous presence to avoid detection.

A report from the National Retail Federation, in collaboration with private security company K2, highlights the prevalence of organized crime in online marketplaces, with indicators like warehouse-style setups and suspiciously low pricing.

Governor Kathy Hochul disclosed that in 2022, New York retailers suffered losses amounting to $4.4 billion, with New York City bearing the brunt of the crisis, reporting over 63,000 incidents to law enforcement.

While Facebook Marketplace remained silent, an eBay spokesperson emphasized the platform's commitment to combating criminal activity, asserting a zero-tolerance policy.

Suffolk County District Attorney Ray Tierney revealed his office had dismantled a significant operation indicative of the scale of this underground economy.

“We surveilled the boosters and saw them transporting their goods to EZ Cash Pawn & Jewelry in Brentwood,” said Tierney.

“The goods, which seemed to be stolen locally, would be kept in a room behind the pawnshop. It looked like a Home Depot warehouse,” he added.