The Sacramento County Sheriff's Office has arrested hundreds of suspects accused of duping retail chains as part of a major anti-theft operation called “Operation Bad Elf.”
The Sacramento County Sheriff's Office is warning the public about a disturbing and “very sophisticated” gift card scam with national and international implications.
The sheriff's office told Fox News Digital this week that it conducted a large-scale anti-retail theft operation at major stores across the county, making 285 felony and misdemeanor arrests in seven days. Among those arrested was a Chinese national who was found to be in possession of thousands of Target and Apple gift cards.
“During our recent retail theft operation, Operation Bad Elf, investigators observed an individual, later identified as Ningning Sun, acting suspiciously near the gift cards in the payment aisles of a Sacramento Target store,” the sheriff’s office said in a news release Wednesday .
The office said investigators observed Sun taking all of the gift cards from a shelf at a Target store and putting them in his jacket. Authorities said the suspect then replaced the missing cards with “another set of seemingly identical cards.”
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Ningning Sun's booking photo for allegedly running a massive gift card scam. (Sacramento County Sheriff's Office)
Sheriff's office deputies followed the suspect outside, where recently released footage shows detectives surrounding the man in an attempt to arrest him.
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“This guy exploded like a piñata at a kid's birthday party, dropping gift cards out of his jacket,” Sacramento County Sheriff's Office spokesman Amar Gandhi said in a phone call with Fox News Digital this week.
Sacramento County Sheriff's deputies and investigators attempt to arrest a man in a parking lot. (Sacramento County Sheriff's Office)
After the arrest, investigators went to Sun's car and found thousands of Apple and Target gift cards.
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Gandhi explained that the suspect would obtain legitimate gift cards from store shelves and “surgically remove” the glue covering the cards' barcodes. He then allegedly recorded the PINs, covered the barcodes again with glue and returned the cards to the shelves.
The Sacramento County Sheriff's Office has arrested a man with 5,000 gift cards that he allegedly used to steal money from unsuspecting shoppers. (Sacramento County Sheriff's Office)
“[The] The investigation revealed that Sun was part of a scam that tampered with gift cards, scanning the barcode and stealing money from the gift card as money was loaded onto it. The victims are completely unaware and the money is often transferred to an offshore account within seconds. Their investigation revealed that the operation spanned throughout California and multiple regions across the country,” a news release said.
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After the tampered gift cards were returned to shelves, unsuspecting shoppers purchased one of the cards and loaded money onto it. However, the money would be immediately transferred to a bank account, in this case probably a Chinese bank account, Gandhi said.
A Target gift card recovered from a suspect during an anti-theft operation in Sacramento County. (Sacramento County Sheriff's Office)
“It goes unreported because you’re going to confront someone who gave you a $0 gift card? No, that's rude. And then you sit there fat, stupid and happy and think, 'Oh, I did something nice for someone.' “Without knowing your money is gone,” he said.
The office said it had never seen a crime like this before and that Sun was likely part of a larger gift card operation. The sheriff's office is asking the public to provide information about the case.
Shoppers were warned to look out for “signs of tampering, particularly scuffs or scratches near the barcode” when purchasing gift cards.
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“The Sacramento County Sheriff’s Office urges residents to use caution when purchasing physical gift cards from a retailer,” the sheriff’s office said. “These processes are very sophisticated and changes to the gift cards are often virtually undetectable, even to the trained eye.
“Investigators suspect Sun may have done this at many stores and are seeking the public’s help in possibly linking him to other crimes.”
Sacramento County Sheriff Jim Cooper speaks during an event (Sacramento County Sheriff's Office/FB)
Authorities are still investigating Sun and his alleged crimes.
Retail theft crimes have continued to increase in California in recent years. Sacramento County Sheriff Jim Cooper said in an interview with Fox News Digital last month that crime is “well beyond crisis levels” and blamed Proposition 47. Voters approved Prop 47 through a ballot initiative in 2014, which reduced shoplifting fees by $950 or less for thefts ranging from felonies to misdemeanors.
Cooper is calling for a new ballot initiative to change California laws that “incentivize criminal behavior.”
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“Retailers must make safety a priority in their stores. Bad laws that incentivize criminal behavior need to be changed, and only you, the voters, can make that happen. I've seen the polls. If passed, they will be passed overwhelmingly” on the ballot. Retailers, support and fund the initiative,” Cooper said in a video highlighting Operation Bad Elf this week.