Wal-Mart Stung In $1.5 Million Bar-Code Scam

KingFishKingFish
edited January 2005 in Science & Tech
Police charge two Tennessee couples in a scheme to use bogus bar codes at hundreds of stores in 19 states.
In a scheme that leveraged a little technology but relied on inattentive cashiers, Tennessee authorities have arrested two couples on charges that they used bogus bar codes to steal at least $1.5 million from hundreds of stores—some belonging to Wal-Mart—in 19 states. The group is slated to appear in court Wednesday.

Although the accused are said to have spent a lot of time and effort organizing colleagues in various parts of the country, the technology portion of their scheme was quite simple. They are accused of visiting a retailer and purchasing a low-priced item. The group would then scan the bar codes and simply print out duplicate bar codes, said Thomas Dean, the assistant Sumner County (Tennessee) district attorney who is assigned to the case.

The accused—Michael Poore, 29, and Julie Marie Simmons, 35, also known as Julie Poore; and Dewey Howerton, 39, and Laura Howerton, 39—would then go back to the store, tape the duplicate bar code on a higher-priced item and purchase the more expensive item at the lower scanned price, Dean said in an eWEEK.com interview.

One of the accused, according to the police complaint, would then remove the bogus tag and try to return the item to the store for the full purchase price. Instead of cash, the defendants would often ask for gift cards, Dean said. "Wal-Mart will more quickly put it on a gift card than hand you cash," he said.
Source: eWeek

Comments

  • RWBRWB Icrontian
    edited January 2005
    Michael Poore :D
  • Access_DeniedAccess_Denied tennessee
    edited January 2005
    honestly i think wal-mart deserves it considering how bad they treat there employes
  • ThraxThrax 🐌 Austin, TX Icrontian
    edited January 2005
    No company deserves theft.
  • MountainDewMountainDew Kentwood, MI
    edited January 2005
    wow...1.5 million dollars worth of merchandise and not one cashier reported or noticed a slapped-on barcode? they should demand IQ tests along with apps these days...
  • primesuspectprimesuspect Beepin n' Boopin Detroit, MI Icrontian
    edited January 2005
    "Okay, so that's two Playstation 2's, forty games, three hundred cans of soup, and a loaf of wheat bread... Your total is $17.46"

    ;D
  • KingFishKingFish
    edited January 2005
    Didn't they ever watch "My Blue Heaven"? Sheesh....
  • Lord_NightLord_Night Piqua Ohio
    edited January 2005
    Hey Prime, it also goes to suit that they returned these items and no one noticed they only paid 5 bucks for a 25.00 dollar item, (if thye had the reciept which I doubt) but still. not one cashier noticed that they are buying a expensive item and it is only ringing up at 5 bucks or 10....

    IQ TEST as MoutainDew states.......
  • muddocktormuddocktor
    edited January 2005
    I don't know about you all's Wal Marts' but around here they have self checkout lines besides the lines with cashiers. It's not too hard to fool a machine that the taped on bar code is normal. ;)
  • kanezfankanezfan sunny south florida Icrontian
    edited January 2005
    Wal-Mart employees are, at best, horrendous. I can't imagine how this store is affecting America's image all over the world....
  • deepseadeepsea Lancaster, PA
    edited January 2005
    The self checkout would actually be harder, unless you picked items with the same weight. The system knows what each item should weigh. That's why it has that annoying "please place last item in bag" and won't let you unload the turntable.
  • primesuspectprimesuspect Beepin n' Boopin Detroit, MI Icrontian
    edited January 2005
    muddocktor wrote:
    I don't know about you all's Wal Marts' but around here they have self checkout lines besides the lines with cashiers. It's not too hard to fool a machine that the taped on bar code is normal. ;)

    No, actually it's way easier to fool a human cashier. The machines have scales on them. Every item in inventory has weight information attached to it. You weigh each item as you ring it in. In order to fool the machine, you'd have to attached "cheap" barcodes to items that weigh almost exactly the same as the one you got the barcode off of.

    The machines win again! Skynet, here we come! :thumbsup:
  • t1rhinot1rhino Toronto
    edited January 2005
    I bet a jumbo can of soup must weigh close to that of a PS2. :D
  • ShivianShivian Australia
    edited January 2005
    I don't think cashiers even look up at the price of the items as they scan. If you are scanning barcodes day in day out for months on end you'd just go through the motions and trust the technology.
  • maxanonmaxanon Montreal
    edited January 2005
    Most of the barcodes are facing away from the cashier as well. They could have had some cashiers working for them.
  • JustinJustin Atlanta
    edited January 2005
    That would be my bet.
  • GargGarg Purveyor of Lincoln Nightmares Icrontian
    edited January 2005
    Access_Denied wrote:
    honestly i think wal-mart deserves it considering how bad they treat there employes

    Their employees find ways of getting back at the company :D

    (1 yr "horrendous" produce veteran)
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