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Nike employees and resellers indicted for multi-million-dollar sneaker theft scheme

Federal prosecutors have charged a network of Nike insiders and sneaker resellers with conspiring to steal at least $2 million in shoes between 2021 and 2024.

A federal case unsealed this week accuses a group of Nike employees and sneaker-resale operators of conspiring to steal more than $2 million worth of limited-edition shoes from 2021 to 2024. Detectives traced “ghost-labeled” packages from a Memphis warehouse to residences in Hollywood, inserting GPS trackers that captured the handoff to a broker who coordinated with a Memphis supervisor. The broker, Roy Lee Harvey, allegedly directed the thefts based on demand from resellers, while a former CoolKicks co-owner, Bereket Abraham, is also named in the indictment.

The scheme involved at least 28 mislabeled boxes containing coveted models such as Nike Dunk Low Off-Whites. Authorities previously seized about $500,000 of stolen goods during a warehouse raid. Harvey has entered a not-guilty plea; other defendants have not yet responded.

Why it matters

The case highlights vulnerabilities in supply-chain security and the growing illicit market for high-value sneakers.

In this story

sneaker theftghost labelingNikeresale marketfederal indictmentsupply chainlimited-edition shoes