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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - April 18, 1972, Lethbridge, Alberta 14 THE lETHbSlDGE HERAID Tuoidny, April 18, Security seminar draws visitors from Alberta, B.C. Police tv in fraud I'onimiTnal (raml in Canada Is [irmviiip at Mich a rale that j a moratorium were called II would lake the KCMP two years n clear Us present work IOJK That as n message delivered o W persons nuending tiic security seminar In Ihe El Rancho convention Centre -Monday afternoon Staff serpeant Dave Harrison of llio fraud section of the KCMP in Calgary, said the biggest iroblem is manpower. There just arc not enough men [i the section lo handle the white collar crime cases. "We just have to lighten our tells and continue working our GO to 70 hours o week." he said. ''We fire losing ground.1' He gave an example of the problems Involved in investigating and prosecuting a fraud case. He called the case a indicaling that some cases are much more Involved and time-consuming. A. total of manhonrs ivere spent on the case. Three hundred documents were produced In evidence. The trial lasted five days. It took three months for a court decision. Penalties for fraudulent bankruptcies nre "frivolous." he said. A person can plan and execute a bankruptcy, realizing several hjifldrcds of thousands of dollars for himself, and receive a sentence of only two years. He suggested the penalty was fl small price to pay for such years investig windfall and was "nut much of a deterrent.'' 1 He wondered if the laws do i not ncod changing. Police are not directly concerned will] the penalty, he said. Il didn't mean anything to llicm whether (lie I guilty parly got a week in jail v or a holiday in Hawaii, bill n stronger deterrent is needed. He said that liy talking lo such groups and seminars he hoped to create a public awareness of the growing while collar crimes, which could develon into indignation where the citizens won't tolerate it any longer and will get the legislators lo do something about it. In the ISHOs, said Staff Harrison, tltere was a mass exodus of criminals (rom the U.S. to Canada, mostly lo Ontario and Quchec. "They found Canada an es-ccllent place to get into business." Canada's Bankruptcy Act. designed lo assist the small businessman who legitimately go( in over his head, was ideal for the criminal. The National Cnme Intelligence Unit o( the flCMP was established to study crime or-Shopliftin up to 20 The price of consumer goods could be reduced by 10 to 20 per cent if shoplifting could be stopped, said Roy Hota, security supervisor for Simpsons-Scars in Calgary. "Shoplifting is a billion a year business in lie told delegates (o a commercia security seminar Monday. "When It loses money to shoplifters, (lie store has no choice bul lo raise its prices lo make up that loss. This is all paid for by you." Mr. fiola said drug addicts are a major force in the shoplifting movement. Fie lolcl of 17-year-olds In Calgary who had a S3W-a-day drug habit. This jnennt that each one had to steal 5900 worth Oi merchandise every day to keep in atioii fiiiizalions Iti Canada to deter-lino who's who and doing vhat, he said. It was discovered Canada oes have organized crime. In EKifi '.lip fraud section or-niiized after an agreement vas reached with provincial ULlhoritics. Thero has been considerable >ver apping i n jurisdictions, U t a f f Harrison said, but co-opemllon the re-ults to date have not been loo jad. Hut 100 men can do only so much. Law and comnicrec graduates arc in Ihe section, he -aid, but indicated more experienced personnel should be at-raclort to the force. "We shy away from talking ibout the Mafia or Cosa said Staff Harrison. "We Ica't talk these things oo much because it turns peo-ilc off. "The Mafia exists fit Canada, bu there are bigger ones in Canada of more concern." He suggested laws need changing and it is up to the public to get the Ottawa legislators doing something about it to reduce rapidly growing while collar crimes. g costs a per cent "The average is a S150-a-day habit, but Ihis slill adds up lo a lot of money in stolen he said. The novice category is the fargest single group of store tluefa, said Mr. Bola, and 85 per cent of these arc women. He said a woman can carry 35 pounds of merchandise between her legs because of the way most women walk. "We once caught a hotel employee walking away with five quarts of whiskey under her dress." Mr. Bota said closed circuit television has proven lo be ex Iremcly valuable as a dclerrcn to shoplifters. Gordon Mantle, prairie secur ily supervisor for Cox Ifc'.ai Audits, said one of Ihe bigges problems facing store employ ecs is making absolutely cer tain a person has stolen some thing before taking them into custody. He said there have been many cases of store employee being outwitted by supposed thiefs and then sued for false arresl. There have been instances o people intentionally trying to gel arrested so they can sue the store employee for false arrest. Det.-Sgt. Terry W.-mlers s get 80 pei Lcthbridgc police spend 80 er cent of their lime on _ patrols o[ businesses caving more than homes rilh "very little :ily police" chiel Ralph Michel- c on fold delegates allciuling a selling gii i multi-mi agents. Eventually a salura-ion point is reached and .several people are left holding the bag. A person has to get at the very start to make any money, Staff Harrison said. The stories and promotion are generally the same. It's a rags o riches story for a small investment. Pushers of (he scheme even help the prospec-, ve sucker borrow the money to buy in. Psychology Is well thought out, he said, and Ihe principals lave an answer for every-Ihing. Reason gives way lo emotion and the get-rich-quick lure gets to be (oo much and another sucker is hooked. When the saturation point la reached, the business is dropped and another started. Such on organization was in the cosmetics business, Staff Harrison said. When saturation was reached the principal went into a pyramid motivational course scheme. The man behind the scheme operated the businesses as private companies, owning all the stock, Being at the head of Ihe firms, his net worth increased million in the last five years. "With money like that he can match dollar for dollar with llio Crown to contest a fraud suit in Supreme Court." A section of the Criminal Code of Canada deals with pyramid selling but n conviction is difficult to obtain. Several residents of Lclh-bridgo and district have bccu "taken" by getting involved oi cent oi j )ne day commercial security 1 ofninai1 Monday night. i "Some bus! [losses either reuse or just dou't take basic 1 precautionary measures and xpccL the police to do it [or 1 he said. nmicks in llion dollc pyramid schemes, Speaking on oilier while col-ar crimes. Stall" Harrison said heft of securities in New York s a 51 billion annual business. "Canada is the dumping ground for slolcn ie said. The blue chip itocks ire used to secure loans and it can take up to tsvo years before L is discovered they are stolen. He urged businessmen 1 o ook at their own credit and extending lines nf credit to other businesses. Some businessmen obtain a ,ong line of credit to go into i] armed bankruptcy, leaving Lhe creditor holding the bag. Watch for the outfit that has high salaries, large expense ac-Staff mer in store i] Sixty per cent o( Inventory losses in a store are due to slaff, a commercial security seminar was told here Monday-Roy Bota, security supervisor for Simpsons-Sears, said "misplaced trust" is a major cause of employee pilfering. It creates a climate (or dishonesty. Management and -supervisory staff arc too busy to lake proper precautions to deter staff pilfering, he said. Employee theft is a barom-e cr ot mismanagement, jolice pat] "They are often very critical f don't. This is whal makes olicing so riifuculL. If luwe o spend so mucli time looking jftcr your carelessness. Hint caves us will] IMS lime [or >rolecUcm of olher citizens." Canada ir crime 'ounls and sells goods for less lian cosl, he advised. Another topic touched on was he credit card business. Labi frauds cost issuers of credit cards in Calgary mil-ions of dollars. There arc across Canada strictly in he b u s i n e s s of producing h o n y credit cards. Phony credit cards and travelling ,'ouths arc creating a big prob-em in Canada. Updating oi Canadian laws, sliffer penally sections, more men and especially more qualified men in the RCMP fraud section could help reduce Hie growing while collar crime rate in Canada, Staff Harrison .ndicated. nbers big nventory i contributor to 90 cent of losses, Stealing is a_s contagious as measles or the mumps, said Mr. Bola, and (here are dishonest employees from the bot-Lont lo the top. Lay down the law in a hard way, he advised. Establish safeguards. Seta realistic standard of performance, set r e a 11 a 1 1 c goals. Employees steal to cover up unrealistic goals. Supervisors are no belter than other employees. Set one rule for all, even the (op brass. Don't allow individuals to sell to Ihemselves. Make employees, supervisors, managers nnd store heads buy Iheir goods from each other. 'When returning goods, make everybody bring them through receiving. Establish one door for all employees, even the manager or owner, to use when leaving work and coming in. Continually spot check departments, making deliberate errors in the checks to determine if employees arc catching them. Let Ihe employees know about the spot checks. Don't show favoritism to any employee. It ate all employees and Ic them know they're being rated. Don't allow employees lo work for another firm, and exercise restrictions on their outside activities lo avoid fatigue and loss ot alertness while on the job. He related several ways In which employees steal: Under-ringing the cash register. Clerk doe.s not give (he customer a sales receipt. Failing to ring up sales. Leaving the register drawer open and putting the money directly into the till without ringing up n sale, taking out the stolen money later in Hip day. Itinging up "no sale" on the rcgislcr or voiding a salc.s-check afler the customer has left the depnrtmcril. Riving a cut price to friends. Quoting items below retoi] value to friends in the store, relatives or accomplices. In some cases, using employee discount then refunding at full value. Passing merchandise across the counter lo accomplices, friends or reb lives. To the observer, it looks like a routine exchange or sale. Swapping sloJen merchandise with friends in other departments, in return, getting oilier items .stolen by llipm. Iliding merchandise on the person or in handbag or parcels (such as two Lies hidden in a Taking it out of (he slorc at lunch time or during relief periods. Using an unauthorized slorc cxil. Overcharging customers so these cash coverages may >c stolen later. Stealing cash from a "com mon-drawer" register (where several people ring up their sales in the same Hiding goods in stairways public lockers, corridors, garbage for later theft by (he cm ployec or an accomplice. .Stealing unlisted packages from delivery truck. Stealing from warehouse through collision rols Chief MicheJ.son told the np-praximatoly 2M businessmen uid women attending the Lelli-widgc Chamber of Commcrcr seminar thai lliey should takn iieasuies to protect themselves against theft and burglary. I le said cri me prevention statutes may be necessary un-ess businessmen act on their 3wn initiative lo improve their security. Some areas In the United Stales have found It necessary o pass Ihcse hylaws, which are similar lo fire prevcnlion jyiaws, he said. Jn SeaKle, Wash., und Oak-aiul, Calif., businessmen can be fined and jailed for failing o (ako proper measures to pro-ccl his property. haven't reached this stage yet. Cut don't you make it necessary because of your jar el ess ness Don't give a youth a criminal record because your carelessness placed a temptation teforc him lha( he didn't resist "Don'l make it necessary by your carelessness for us to leave oilier areas imderprotect-ed while we are looking alter yours." thieves losses Ilirougli collusion between wate-liours foreman ajid oilier warehouse employees. Sometimes, such a consipracy includes a salesperson from Lhe store who furnislres a salescheck to a warehouse accomplice who uses it lo send out slolen Cashing had cheques for accomplices. Making false entries In tin store's Iwoks and t o concenl Ihefls. I in p u s I i n g on customer cliaige accounts. Holding a charge plnte after a customer las made a purchase, tlien laler making imposled charges lo the account, using Ihe stolen plale. Shoplifting on lunch hours or during relief periods. Pulling items on lo model them while selling, pretending lo forgel to take them of, wearing them home End keeping them. Al Uiesc and many more have been used tucessfully for awhile. Lay down the law and lay It down tiard for all employees, Mr. Dola suggesled. them J Sforiei by i Jim Moybio and Ron Caldwell Herald Staff Writeri j. Pyramid are now a Pyramid selling is a multimillion-dollar crime in Canada, a security seminar sponsored by Ihe Lelhbridge Chamher of Commerce and Lelhbridge city police department was told Monday. Pyramid selling, said Staff Sergeant Dave Harrison, of the Calgary RCMP fraud section, is similar to the chain letter nnd Christmas booze letter. A person buys a distributorship in the pyramid organization (or, say, So.OOO. Then ha can sell sub-distributorships, providing goods lo those for a lesser amount. They in turn, sell to jnsumer of price the I.elhbridgB city police urged businessmen to step up .heir precaution.1; against the "silent thiel" the bad cheque artist. "One of the most Important things is to ask for lots of identification and if Lhey don't have it, don't cash the he said. All cheques should be looked at carefully and every precautionary measure should he la-ken before it is cashed or the store ouTier could Jind hinise I short of merchandise with only a worthless piece ot paper to show Overture concert tonight i_-' The Tucson Arizona Boys Chorus will perform under the auspices of the Overture Concerts Association at tonight In the Yates Memorial Centre. The chorus will perform H selection of sacred music, Hungarian folk songs, carols, western songs and Broadway numbers. Tho concert Is open lo ticket holders and is the last concert In the Overture series (his planned i By JIM MAYBIE llcralil Staff Writer Thursday is bliU day for the LetlibridRe Chamber of Commerce. Chamber members assisted by members of (he local Jay-cces Mill be calling on 150 to 175 non-member city businesses and professions in an attempt lo increase membership. The chamber now has 400 member firms with 600 memberships. The one-day blitz, coincides with Chamber of Commerce Week, The chamber of commerce deserves a full measure of support from this city's citizens, said Mayor Andy Anderson in an interview. Mayor Anderson is well-acquainted with the work ot the chamber, serving as president of [he Lclhhridge chamber in 19li.1, vice-president of tliu Alberta chamber from which he resigned in 1957 to take over as mayor of Lclhbridge, and a former member of the executive council of the Canadian Chamber of Comcrce. Many communities are too insular in Iheir thinking and o not appreciate the value o uork done by the local, for Thurs rial and federal chamber bodies, he said. Representations by chambers are highly respected by all levels ot government, Ihe mayor said. Lethbridgc is a much blitz day has had fantastic success In broad representation to the federal government on such national matters as tnx and international relations. The standard of life in Canada would not be what it is today without Hie effective work of the various chamber bodies, he indicated. In some instances, especially in smaller communities, tnu chamber may nol seem to be doing (oo much, he said, but when one takes a broader loo c, looks at the prorinclnl and national scenes, results are quite evident. Each link is necessary to improve the qualily of life on the broad spectrum. The chamber is another source of programming which will aid greatly in accomplishing Canadian unity, he forecast. This is an opportune time for the chamber to establish a deepening sense of pride in Canada. The chamber deserves more credit Lhan it has received its effective work over (he years, the mayor said. The local; provincial and fctl-al chambers can contribute to the big job of preserving Western Canada's ivalcr re-i sources, he said, 'I am very opIimisUc aljoul the potenlial benefits which can accrue as a result of the continued growth of [he chamber of commerce movement.11 The local chamber, he said, can act effectively in an advisory role (o municipal government as it represents a wide view of residents, i 'We have thn same flonK and objectives of m a k i n g our re-spccHve communities better places in which ID Continued work is needed lo improve the highways, a job which the chamber can rJo more effectively than council, he said. Another area in which tho chamber can work effectively is in the development of improved airport facilities so freighter type aircraft can bring and lake out larger loads. When thinking About tlio chamber, think of Alberta anc Canada and not just southern Albert n, Mayor Anderson ad-viscil. 'For a belter lile, supporl your PETER IRLAM is pleased to announce THE OPENING OF HIS NEW OFFICES AT 32B 4TH STREET SOUTH PHONE 328-1191 AS FROM MONDAY, APRIL rules for all. of respect -for the late H MRS. MARGARET SMITH i N.C.R. H 316 13lh STREET NORTH H be closed From 12 o'clock noon. Wed., April 19 n Re-opening for business as usual R a.m., Thurs., April 201 efforts o[ Ihe chamber. The local chamber carried a lot of weight in the establishment ol the University of Lcth-uridge and has done much over Ihe years lo improve the Iran.s-portation syslems in southern Alberta, much more lhan city council has done or could do as far as highway improvement is concerned. The chamber is one group which can effectively organize he talents of ils membership, Mayor Anderson said, and is anolher medium for relating :he problems of a community to respective govemmcnls. It is the voice of the people. !ls programs are in tune the requirement of Ihe times. band here tonight The Concert Band from College Heights. Alberta and Stu-tiio I. lioth under the direction of Lorcn Frost, will appear in concert Wednesday at a p.m. in (lie St. Andrew's Presbyterian Church Hall. The concert is under lha auspice.! ol Ihe Seventh Day Advcnlisl.s and St. Andrew's Presbyterian Church. The Concert Band Js 3.1-memlK-r group of college and school-age persons currently on a seven-day lour of Western Canada. Touring with the band is Slti-rlio I, n JO-picco hand formcrl in 1971. The group has toured extensively throughout Alberla and nrilish Columbia as wcl] as providing entertainment at service cluns and receptions. The concert will include ballads end folk music as well 23 classical selections. PLAZA FLORIST 618 13 St. N., lelhbridge PHONE 327-1212 SPRINGTIME SPECIAL! Beautiful arrangement oF SPRAY MUMS and CARNATIONS Delivered, Only 5J "TRY IT YOU'LL LIKE IT" Phono 327-1312 hospital nearer FERNIE Notification ivas received today that ministerial approval was received to prepare with working drawings for the new 66-bed Fernie and District Hospital. This approval came very rapidly after all of the necessary preliminary work had been done by: architect, quantity surveyor, hospital, and HC1IIS. The planning schedule calls for completion of working drawings by July 17, calling o: tenders hy July 26, awarding 01 contract and commencement 01 construction by Sept. 18, APRIL 161 CHAMBER of to 22nd A MMERCE WEEK In 1970-71 Your Chamber of still serious Jack Slanley Soltys, 21, o( 728 8lh SI. S.. remained In serious condition at Munci-pal Hospital with a bullet wound (o his abdomen following a light and shooting incident early Saturday during a house party nt 323 20th SI. N. John David Dnlrd, 25, an occupant of the house was nnd charged with allemplcd murder following the shooting. Charges have nlso been laid against Sollys in tho incident- Lethbridga Chamber of Commerce 1 ONE-DAY I MEMBERSHIP BLITZ I THURS., APRIL 20lh Target 100 New Members LMM Expect a Chamber Rapreienled our cily at lha Alberto Chamber of Com-morce Meeting and hcfped puih through policy changel. Opftraied e Buiinflii tnFormoTion Sarvica in the of a Batter Buiineti Bureau. (he only official body in Lelhbridge lo oppoie ceilation af CPR paitenger Service, Held a Good-Will Tour ro S. Eaitarn B.C. five to call on you April THE UNUSUAL Form a life saving habit Have a health check up when ever you notice an unusua symptom, says the Canadian Cancer Society. And help support the Society's life saving activities with n contribution Lc Its annual ;