Tag Archive for: organized retail crime

DA Stephan Testifies Before U.S. House Committee on Crime, Updates Congress on National Threat of Organized Retail Crime

San Diego County District Attorney Summer Stephan testified before Congress today for the second time this year, addressing the Subcommittee on Crime and Federal Government Surveillance within the House Judiciary Committee. During her remarks, the DA provided a snapshot of how organized retail crime has evolved in the last few years, including an update on progress being made in San Diego County under Proposition 36.

“Organized retail crime is not a victimless offense,” Stephan told lawmakers. “It harms workers, consumers, small businesses, and entire communities. It undermines public safety and erodes confidence in the rule of law.”

Watch DA Stephan’s testimony here.

DA Stephan urged Congressional action to combat the growing threat of organized retail crime (ORC) and transnational theft networks that are harming communities and businesses across the nation with commercial and residential thefts and burglaries. DA Stephan was called to testify for her expertise in combatting these types of crimes in San Diego County.

Stephan cited national data estimating that U.S. retailers lost $45 billion to theft in 2024, with losses projected to exceed $53 billion by 2027. She emphasized that organized theft contributes to store closures, job losses, higher consumer prices, and increased violence against retail employees.

In San Diego County alone, the DA’s Office has filed organized retail theft cases against 336 defendants over a three-year period, resulting in more than $3.2 million in documented losses and significant prison and jail sentences for convicted offenders.

Stephan’s testimony highlighted numerous cases involving coordinated “flash mob” thefts, multi-state retail burglary rings, and transnational criminal organizations — including South American Theft Groups (SATGs) — responsible for high-end residential burglaries and large-scale commercial thefts with stolen goods shipped overseas.

Stephan pointed to California’s recent legal reforms, including voter-approved Proposition 36, which strengthened penalties for habitual theft and expanded prosecutors’ ability to aggregate thefts across locations and time periods. These changes have allowed law enforcement to better target organized criminal networks rather than treating theft as isolated incidents.

“Our experience in California shows that strong, clear laws combined with collaboration work,” Stephan said. “Prop 36 has made a real difference to local businesses and prosecuting these habitual offenders is making stores and the community safer. By emphasizing accountability alongside treatment and rehabilitation, data also shows that Prop 36 is working to address the core drivers of habitual criminal behavior. This kind of reform can serve as a model for the nation.”

District Attorney Stephan voiced strong support for the bipartisan Combating Organized Retail Crime Act, which would expand federal enforcement tools and create a national Organized Retail Crime Coordination Center. She emphasized that organized theft rings routinely cross city, county, state, and international borders — making federal coordination essential.

She also highlighted the need for improved data-sharing, stronger public-private partnerships, and public awareness campaigns to reduce the resale of stolen goods online and in informal markets.

In addition to retail theft, Stephan addressed fraud-based crimes such as gift card scams and elder fraud, noting that San Diego County alone recorded $149 million in elder scam losses in one year. She stressed that integrated national data systems could expose connections between organized theft and fraud networks operating simultaneously.

“Restoring the rule of law means accountability that fits the crime,” Stephan said. “We must distinguish between minor offenses and sophisticated criminal enterprises that prey on consumers and businesses alike.”

District Attorney Stephan reaffirmed her office’s commitment to working with Congress, law enforcement, retailers, and community partners to combat organized crime.

“We stand ready to assist in strengthening laws and resources to protect our communities, our businesses, and our consumers,” she said. “Together, we can meet this challenge and ensure justice is served.”

Also testifying at today’s hearing were Scott McBride, Chief Global Asset Protection Officer & Chief Security Officer, American Eagle Inc.; Chris Spear, President and CEO, American Trucking Association; and Shane Bennett, Principal of Cyber Defense for Theft, Fraud & Abuse, Target.

DA, Downtown Partnership Join Forces to Deter Retail Theft, Support Businesses

San Diego County District Attorney Summer Stephan joined forces with the Downtown San Diego Partnership and the San Diego Police Department today to educate businesses that the new laws under Proposition 36 passed by the People are providing accountability alongside treatment, and to encourage reporting of crimes to law enforcement.

To support the effective implementation of the new laws, businesses are being informed that free window signage courtesy of the San Diego Organized Retail Crime Alliance and the DA is available that warns those who would commit retail theft that they will be prosecuted, especially repeat offenders who chronically target businesses and threaten public safety. One year after Proposition 36 went into effect, DA Stephan also provided an update on prosecutions under the new law.

“Prop 36 has made a real difference to local businesses and prosecuting these habitual offenders is making stores and the community safer—across the county and in Downtown San Diego,” DA Stephan said. “Since the new law went into effect, business owners have been able to call police to stop repeat thieves from terrorizing their employees and customers. By emphasizing accountability alongside treatment and rehabilitation, data also shows that Prop 36 is working to address the core drivers of habitual criminal behavior.”

Data released last month shows that as of November 11, 2025, 2,721 cases have been charged with one of the two key portions of Prop 36: repeat theft offenders charged under Penal Code section 666.1 and repeat hard drug offenders charged under Health and Safety Code section 11395. About 65 percent of the cases fall under drug charges, while about 35 percent pertain to retail theft.

In about 98 percent of those cases, the court has placed defendants on a treatment track to address their addiction or other underlying causes of crime.

DA Stephan was joined at a news conference today by San Diego Mayor Todd Gloria, San Diego Police Captain Ryan Hallahan and Alonso Vivas, the Downtown San Diego Partnership’s Senior Vice President and Executive Director of its Clean and Safe program, to provide an update on Prop 36 prosecutions, explain how police are responding to calls for service when thefts occur, and highlight the support the Downtown Partnership provides to businesses in the City’s urban core.

Over the past 12 months, local small and large businesses have expressed relief over the implementation of the repeat theft offender provisions of Prop 36, with some reporting that stricter penalties are deterring theft and providing a sense of security for businesses previously targeted by recurring offenders.

“For the first time in years, Downtown businesses, residents, and visitors feel like the system is working with them instead of against them,” Vivas said. “Since Prop 36 took effect, we’re hearing from shops that they are finally seeing real relief from retail theft and fewer repeat offenders walking back through their doors.”

San Diego Police Department statistics for 2025 show there’s been a 23 percent decrease in the downtown San Diego area for theft, robbery, burglary/breaking and entering, larceny, and other property crimes. In 2024, there were 3,515 such crimes and this year there have been 2,708.

“SDPD’s efforts in downtown are about protecting our community from criminal behavior that threatens safety, commerce, and quality of life,” said SDPD Captain Ryan Hallahan. “Prop 36 provides us with the ability to enforce specific narcotic and theft violations as a felony, hold people accountable for criminal acts, and provide treatment for those battling addiction. It’s encouraging to see the statistics showing positive results for our downtown businesses, and our teams will continue working to keep it that way.”

 

“Proposition 36 is delivering results for San Diego,” Mayor Gloria said. “Downtown is seeing fewer property crimes, and we’re bringing accountability back for repeat offenders while still offering treatment and services for those struggling with addiction. Retail theft hurts everyone – small business owners, workers, and customers. I urge San Diegans to report these crimes when they happen. Every report helps us hold offenders accountable and keep our city safe for all of us.”

 

“A year after voters resoundingly approved Prop 36, we’re seeing its promise delivered,” said San Diego City Councilmember Stephen Whitburn, who represents downtown. “District Attorney Stephan and our law enforcement officers are holding repeat offenders accountable, and that’s critical for protecting downtown residents and businesses. This coordinated effort is renewing confidence for my constituents who live and work downtown.”

At today’s news conference, businesses were reminded that they can take proactive steps to maximize the impact of Prop 36, including:

  • Reporting crimes and educating employees on aspects of the new laws.
  • Investing in surveillance to better document crimes and training employees on how to document evidence and losses suffered.
  • Engaging with law enforcement to collaborate and stay informed about solutions available under the new law.

Business owners and the public should report theft, share information, and support efforts to hold offenders accountable to promote public safety and maintain a thriving community.

In addition, businesses were reminded today that free window cling stickers are available that warn would-be thieves they will be prosecuted. To request a free window cling theft warning, businesses can email SanDiegoDA@sdcda.org

Recognizing an increase in organized retail theft, several years ago the DA’s Office formed a specialized team of prosecutors and investigators to fight this crime. The team works with local businesses and law enforcement to build sound evidence, which ultimately leads to stronger cases. In addition to engaging the Downtown San Diego Partnership and Chambers of Commerce across the county, the DA’s Office also participates in the San Diego Organized Retail Crime Alliance, (SDORCA) bridging the gap between public and private investigations of organized retail theft in both large and small businesses in the county.

Proposition 36, which passed with 68 percent of the vote in 2024, took effect in December of last year. The DA’s Office has been committed to successfully implementing the transformational proposition in partnership with the Sheriff, the county’s police chiefs, the court and the community. The measure:

  • Provides stricter consequences for repeat theft offenders, those who are committing smash and grab retail crimes, and organized theft rings, to help stop the cycle of recidivism.
  • Requires convicted dealers of fentanyl and hard drugs to receive a warning that the next time they sell illegal drugs, and someone dies, they will be held responsible for a victim’s death. The law provides additional consequences for illegal drug dealers who cause great bodily injury or death, who carry firearms while dealing narcotics, or are involved in the distribution of unusually large quantities of narcotics.
  • Incentivizes lifesaving treatment for defendants suffering from addiction by creating the new Treatment Mandated Felony that offers treatment as an alternative to incarceration for those who illegally possess hard drugs like fentanyl and methamphetamine, addressing the root cause of many crimes.

More information about the implementation of Prop 36 can be found on the DA’s website here.

 

DA Summer Stephan Senate Testimony on Organized Retail Crime. July 15, 2025, Washington, D.C.

DA Stephan Testifies Before U.S. Senate Judiciary Committee

San Diego County District Attorney and President of the National District Attorneys Association (NDAA) Summer Stephan testified today before the U.S. Senate Judiciary Committee, urging swift Congressional action to combat the growing threat of organized retail crime (ORC) and transnational theft networks that are harming communities and businesses across the nation with commercial and residential thefts and burglaries. DA Stephan was called to testify as the voice for America’s prosecutors in her role as President/Chair of the National District Attorneys Association and for her expertise in combatting these organized crimes in San Diego County.

Watch a recording of the hearing here.

In her testimony, DA Stephan outlined the evolution of organized theft from isolated incidents into sophisticated, multi-state and international criminal enterprises responsible for billions in losses and threats to public safety. Drawing from her office’s successful prosecutions in San Diego County, Stephan emphasized that these crimes are far from victimless and require a coordinated, national response. DA Stephan brought the experience of the many victims such as employees of small and large businesses, and homeowners victimized by these sophisticated and at times violent criminal rings.

“Organized retail crime is not only eroding business and job stability but is also threatening the safety and well-being of our communities,” said DA Stephan. “From high-end smash-and-grabs to international burglary rings, we’re seeing an increase in violence and criminal sophistication that demands strong legislative and enforcement action.”

Stephan detailed her office’s proactive strategies in San Diego, including forming specialized teams to prosecute ORC, collaborating with the California Highway Patrol, and establishing partnerships through the Organized Retail Crime Alliance. Stephan emphasized the success of recent legislation in California which allows prosecutors to aggregate thefts and pursue more serious charges. At the national level, the NDAA has joined with the Retail Industry Leaders Association to launch initiatives like store walks and the Vibrant Communities Initiative, aimed at improving coordination and safety in retail environments. The DA also partnered with the U.S. Chamber and National Retail Federation to educate about effective prevention and prosecution.

Stephan called on Congress to pass the Combatting Organized Retail Crime Act of 2025 (CORCA), which would establish a federal Organized Retail Crime Coordination Center to enhance national collaboration among prosecutors, law enforcement, and private sector stakeholders. She also called for enforcement of the INFORM Act that requires identification of third-party sellers to expose stolen properly online. Finally, DA Stephan stressed the importance of balanced prosecution strategies that differentiate between a young person who makes a mistake from a habitual criminal who preys on small businesses and neighborhoods. She advocated for the coordination center to link the dots to combat the organized crime and transnational criminal organizations that harm our nation.

In San Diego, the DA’s Office has prosecuted over 218 ORC defendants over the past two years, in partnership with law enforcement and retailers, involving theft losses of more than $2.6 million. Cases include multi-defendant smash-and-grab operations, repeat theft rings targeting national retailers, and transnational criminal networks responsible for multi-state burglaries and multi-million-dollar jewelry heists.

“Our experience shows that smart laws, real consequences, and close collaboration across jurisdictions work,” Stephan stated. “Now we need Congress to scale these efforts nationally so that no community is left vulnerable.”

Stephan also stressed the need for public-private partnerships to extend beyond enforcement and into prevention and education. She called for a national public awareness campaign to inform consumers about the impact of buying stolen goods, particularly through online marketplaces and informal venues like swap meets.

DA Stephan argued that just as robust laws and strategic prosecution are essential, so too is the active participation of consumers and community members in curbing organized retail theft. By combining legal tools, law enforcement coordination, and informed public engagement, Stephan concluded, communities can reclaim safety and economic vitality from the grip of organized crime.