The FBI's Jewelry and Gem (JAG) Program was initiated in 1992 when thefts from jewelry retailers and robberies of traveling jewelry salespersons rose all across the United States.
What are the costs associated with JAG thefts? Huge: the jewelry industry loses more than $100 million dollars each year—and, because the crimes are often committed with weapons, sometimes they result in serious physical injury or death too.
Since 1992, the criminal enterprises involved have been South American Theft Groups (SATGs). The SATGs target traveling salespersons, and, along with some Balkan and African-American groups, target retail stores--organizing "smash and grab" armed robberies. Rookie SATG members commit other types of major theft such as clothing boosting, computer software and supplies, over-the-counter-drugs, infant formula, and various other items before they graduate to "big money" jewel thefts.
How do “fences” play into the crimes? Of course, they're integral to the success of the criminal enterprise because they provide a means to convert stolen jewels into instant cash. Commonly, jewelry is stolen in one city, fenced in another, and the proceeds are then laundered in another city or country. Many fences will even travel across the country and around the world to buy the stolen jewels—we call these specialists “flying fences.”
The most popular “fencing” cities? Los Angeles, Houston, Miami, and New York City.
Bottom line: These theft rings are sophisticated; they’re organized; they’re violent—and they require a sophisticated and multi-jurisdictional response. That’s what the FBI provides--giving law enforcement agencies and the jewelry industry a means to combat crime problems in the jewelry trade in a unified and coordinated approach.
Jewelry and gem theft? You might ask, why is the FBI involved? For three good reasons: