Nike employees divert $2 million in Nike shoes from a Memphis warehouse in a cargo theft scheme

Nike cartons were redirected using unauthorised UPS labels (Representational photo- Shutterstock) Federal prosecutors in the United States have charged 12 people in an alleged cargo theft conspiracy that diverted at least $2 million worth of Nike shoes from the company's logistics centre in Memphis, Tennessee.According to a report by Freight Waves, the indictment said the alleged operation ran from July 2021 to June 2024 when Nike employees placed unauthorised UPS shipping labels on selected cartons, allowing the products to be sent to addresses across the country instead of their intended destinations.Nike's North American Logistics Center in Memphis receives imported products before distributing them to retailers. Prosecutors said people involved in the scheme first identified the shoes they wanted to resell. Nike employees then located those cartons inside the warehouse and attached unauthorised UPS labels that redirected the shipments to different addresses.Court records say a person named Roy Harvey Jr allegedly created UPS labels for selected destinations and sent them to Nike employees, who then placed them on the cartons. It further claims, Harvey kept some of the shoes and...