A shipment of live lobsters worth nearly $400,000 bound for Costco distribution centers in Illinois and Minnesota was stolen after disappearing from tracking en route from Taunton, Massachusetts. Rexing Companies says criminals likely impersonated a carrier to intercept the load, and the FBI is investigating with Chicago and Minneapolis field offices involved. Homeland Security Investigations points to Operation Boiling Point as part of a broader effort to dismantle organized theft rings targeting high-value freight. Officials warn such thefts raise costs and increase supply-chain vulnerability.
Nearly $400K In Live Lobsters Hijacked En Route To Costco; FBI Probes Suspected Organized Cargo Theft
GettyLobster on ice; Costco Wholesale location
A shipment of live lobsters valued at nearly $400,000 that was bound for Costco distribution centers in Illinois and Minnesota was stolen while in transit, authorities and industry sources say. The trailer was picked up in Taunton, Massachusetts, but never arrived at its intended Midwest destinations after disappearing from tracking systems.
What Happened
Indiana-based trucking brokerage Rexing Companies raised the alarm after the load vanished from electronic tracking with no record of delivery or lawful diversion. Dylan Rexing, CEO of Rexing Companies, told local media the incident appears to be the work of a theft ring that impersonates legitimate carriers to intercept freight mid-transit.
John Tlumacki/The Boston Globe via GettyA lobster is removed from a trap at the Sandwich Marina in Sandwich, MA on July 17, 2019.
“This is a huge issue across the country. It's a huge impact to our business,” Rexing said, adding the loss will cause operational disruptions — from hiring delays to reduced employee bonuses — and contribute to higher costs across the supply chain.
Investigation Underway
Federal authorities have confirmed the FBI is investigating the theft. FBI field offices in Chicago and Minneapolis are coordinating with local law enforcement on leads. As of publication no suspects have been identified or arrested and Costco and Rexing Companies have not issued formal statements.
Broader Trend: Organized Cargo Theft
Law enforcement and industry officials say the incident highlights a broader trend of organized cargo theft that targets high-value freight, including electronics, pharmaceuticals and food. Homeland Security Investigations (HSI) earlier this year launched an initiative called Operation Boiling Point, which aims to dismantle Organized Theft Groups by improving information sharing, strengthening partnerships among federal, state and private stakeholders, and disrupting the financial networks used to profit from stolen goods.
GettyLobsters in yellow bucket.
Federal definitions of cargo theft include the theft or fraudulent acquisition of goods while in transit or at distribution hubs, truck stops or terminals. Investigators say criminal networks often use fraud, burner phones and spoofed credentials to pose as legitimate carriers. Estimates place annual U.S. losses from cargo theft at roughly $15 billion to $35 billion.
Business Impact
Industry officials warn that without stronger enforcement and closer collaboration between retailers, shippers and law enforcement, similar losses will continue to push costs higher and leave supply chains more vulnerable. The lobster hijacking underscores the financial and operational risks that organized cargo theft poses to businesses and consumers alike.
