California AG announces arrests in major retail theft case

LOS ANGELES (CN) — Thieves wielding stolen identification opened credit lines at several Southern California businesses in 2023, netting them over $100,000 in jewelry and other items across seven Golden State counties and over $300,000 when Nevada, Utah and Arizona are included.

Now, Johnny Nicklas, Steve Randy Nicklas and Anthony Limas face a 34-count indictment in Los Angeles Superior Court in what state Attorney General Rob Bonta on Friday called an ongoing investigation. Their charges include organized retail theft, grand theft and identity theft against 13 victims.

“This was very much a collaborative effort,” Bonta said of law enforcement during a press conference.

Two of the men are brothers and face over 10 years’ incarceration if convicted. The third man faces six years, Bonta said.

While there could be other victims, authorities believe they’ve caught all members of the organized retail theft group.

The thefts happened between March and July 2023 in high-end jewelry stores and Harbor Freight retailers. The law enforcement investigation stemmed from a jeweler’s corporate fraud investigator, leading to involvement by the state Department of Justice, Homeland Security Investigations and a handful of local agencies.

“These arrests are the result of excellent collaboration between HSI, private industry, state and local law enforcement partners,” said Christopher Bracken, assistant special agent in charge of Homeland Security Investigations in Orange County. “HSI will work tirelessly with our partners in California to ensure that those who commit fraud will be held accountable.”

Non-payment notices on the credit lines led victims to contact law enforcement, Bonta said.

Upon learning of the thefts, officers used surveillance to gather evidence and, ultimately, secure an indictment this month.

“We got a sense broadly of where they were operating,” Bonta said.

Both Bonta and Joe Mendoza, division chief of the Los Angeles County Sheriff’s Department Detective Division, urged victims to contact authorities when thefts occur. Mendoza said a partnership is needed between the public and law enforcement to fight crime.

“By working closely with our local, state, and federal partners, we continue to strengthen our efforts, disrupt criminal networks, protect both businesses and our communities, while holding individuals accountable,” Mendoza said in a statement.

Mendoza said that in some cases stolen goods are repackaged. In those examples, only the victims will recognize the items stolen from them — another reason collaboration with retailers is essential.

“Organized retail crime will not be tolerated,” Bonta said. “Not by businesses, not by law enforcement, not by me.”

Calling the fight against organized crime a top priority, Bonta in a statement pointed people to his website, where they can give complaints and tips: oag.ca.gov/bi/retail-crime.

Videos posted on social media of brazen, daytime retail thefts has helped push the issue into the political limelight in California. Assembly Speaker Robert Rivas in 2023 created a Select Committee on Retail Theft to address the issue.

Several bills targeting retail theft sprung from that committee. The issue loomed over the Legislature last year, with politics jockeying against policy as the legislative session progressed.

Many Republicans opposed Proposition 47, a 2014 ballot measure that had reduced penalties for certain drug and theft offenses. They favored Proposition 36, which sought to restore harsher sentences for those crimes.

The battle over what Democrats saw as preserving criminal justice reforms while tweaking Proposition 47 instead of dismantling it ultimately failed at the ballot box. Californians overwhelmingly supported Proposition 36, which became effective in December. However, Governor Gavin Newsom did sign several bills written by Democrats into law last year that focus on criminal justice.