Authorities: Self-Checkout Scheme Nets Nearly $100,000 From Lowe’s


File photo.

Two New York men are facing felony charges for allegedly stealing nearly $100,000 from Lowe’s stores across eastern Pennsylvania using a customer account takeover scheme, Pennsylvania Attorney General Dave Sunday announced.

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Jose Gomez, 48, and Ysaias Arajuo, 53, both of Middletown, New York, were charged this week with felony counts of corrupt organizations, organized retail theft, theft by unlawful taking, and other related offenses.

The total loss to Lowe’s from the scheme is $99,689, authorities said.

Gomez is in custody, and a warrant has been issued for Arajuo’s arrest.

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Investigators allege the duo was involved in at least 56 retail thefts at 18 Lowe’s stores in eight counties: Bucks, Lehigh, Luzerne, Northampton, Monroe, Montgomery, Philadelphia, and Pike.

According to investigators, Gomez and Araujo used self-checkout kiosks to pay for purchases with information stolen from Lowe’s customer accounts. The men reportedly used their cell phones, linked to the stolen accounts, to complete the transactions.

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When the compromised customers received bills with the fraudulent charges, they disputed the purchases with their bank. The bank subsequently declined payment to Lowe’s, forcing the company to absorb the cost of the theft, authorities said.

“These defendants orchestrated a sophisticated scheme that targeted unsuspecting customers as well as Lowe’s businesses across numerous counties,” Sunday said. “Organized retail theft impacts consumers who will be forced to pay higher prices for goods as businesses raise prices to recover losses.”

Sunday applauded the “dedicated efforts” of the Pennsylvania Attorney General Office’s Organized Crime Section for ensuring the men are “brought to justice.”

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Gomez is being held in the Pike County Prison on $100,000 bail as of Thursday


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