Cargo thieves are ‘laundering freight’ through the supply chain, Cornell warns
Scott Cornell says sophisticated theft groups can move stolen goods into legitimate commerce, sometimes reaching overseas markets within days. The post Cargo thieves are ‘laundering freight’ through the supply chain, Cornell warns appeared first on FreightWaves .
Cargo thieves are exploiting the supply chain by "laundering freight" to disguise stolen merchandise as legitimate cargo, according to Scott Cornell, EVP and Crime and Theft Specialist at SPG Cargo & Logistics. The process involves changing a load's identity on paper, transferring it through cross-docks, warehouses, or even parking lots, and replacing shipping documents.
This can allow stolen goods to reach overseas markets within days. Cornell provided a case involving a popular headphone brand where the devices were stolen, moved to Europe within a week, and appeared legitimate. Each transfer creates a new bill of lading and seal, making it increasingly difficult to trace the origin of the goods.
Transportation companies continue to rely on paper documents, despite the trust they hold. Criminals can exploit this trust after altering shipment information. Interestingly, warehouses where this activity occurs often blend in with other businesses. Buyers may not know the origin of products, as repeated transfers can make the shipment appear legitimate.
Overseas buyers may even believe they are dealing with a regular supplier. Identifying stolen goods becomes challenging once documentation changes, and digital bills of lading could help investigators trace the altered details. The bigger challenge lies in getting all supply chain players to adopt compatible digital systems.
Written by urgent.news from FreightWaves's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
