Costco and Rexing Companies: Freight Broker Says $400K in Lobster Meat Stolen in Fictitious Pickup

Costco and Rexing Companies: Freight Broker Says $400K in Lobster Meat Stolen in Fictitious Pickup

**Cyber-Enabled Cargo Theft: $400K Lobster Shipment Stolen in Massachusetts Fictitious Pickup Scam**

On December 12, a $400,000 shipment of lobster meat bound for Midwest Costco stores was stolen from a Massachusetts cold storage facility in Taunton. The theft, investigated by the FBI and local police, appears to be a fictitious pickup—a cyber-enabled cargo theft tactic where criminals use stolen data to forge shipping documents and impersonate legitimate truck drivers.

Dylan Rexing, CEO of Indiana-based freight broker Rexing Companies, revealed that the thief posed as a driver for the contracted carrier, using fake paperwork and a fraudulent commercial driver’s license. Rexing emphasized that such scams are rampant, occurring "multiple times a day" across industries, with victims ranging from small businesses to large corporations. He noted that just 10 days prior, a similar theft of crab meat had occurred at the same facility.

According to the Department of Homeland Security, organized retail crime—including cargo theft—costs U.S. consumers over $500 per family annually. Rexing criticized the perception of these crimes as "white-collar" offenses, arguing that the financial burden ultimately falls on consumers. While liability remains unresolved, Rexing acknowledged his firm may bear significant losses and has engaged legal and insurance representatives.

The incident underscores the growing threat of cyber-enabled cargo theft, with Rexing advocating for stronger legislation and law enforcement resources to combat the issue. His attorney reported nine similar thefts totaling over $250,000 in the week preceding the lobster heist, highlighting the scale of the problem.

Source: https://www.insurancejournal.com/news/east/2025/12/30/852632.htm

Costco Wholesale Corporation cybersecurity rating report: https://www.rankiteo.com/company/costco-wholesale-corporation

Rexing Companies cybersecurity rating report: https://www.rankiteo.com/company/rexingcompanies

"id": "COSREX1767166389",
"linkid": "costco-wholesale-corporation, rexingcompanies",
"type": "Cyber Attack",
"date": "12/2025",
"severity": "50",
"impact": "2",
"explanation": "Attack limited on finance or reputation"
{'affected_entities': [{'industry': 'Logistics/Transportation',
                        'location': 'Indiana, USA',
                        'name': 'Rexing Companies',
                        'type': 'Freight Broker'},
                       {'industry': 'Retail',
                        'location': 'Midwest, USA',
                        'name': 'Costco',
                        'type': 'Retailer'},
                       {'industry': 'Logistics/Warehousing',
                        'location': 'Taunton, Massachusetts, USA',
                        'name': 'Massachusetts Cold Storage Facility',
                        'type': 'Storage Facility'}],
 'attack_vector': 'Fraudulent documentation and identity theft',
 'data_breach': {'sensitivity_of_data': 'Low to medium (operational data)',
                 'type_of_data_compromised': 'Shipping documentation and '
                                             'driver credentials'},
 'date_detected': '2023-12-12',
 'description': 'A shipment of lobster meat worth $400,000 was stolen from a '
                'Massachusetts cold storage facility by a person posing as a '
                'truck driver for a legitimate freight carrier. The thief used '
                'fake documents and a fake commercial driver’s license to '
                'commit the theft.',
 'impact': {'brand_reputation_impact': 'Potential reputational damage to '
                                       'freight broker and storage facility',
            'financial_loss': '$400,000',
            'legal_liabilities': 'Potential liability for Rexing Companies',
            'operational_impact': 'Disruption in supply chain and delivery of '
                                  'goods'},
 'initial_access_broker': {'entry_point': 'Fraudulent driver credentials and '
                                          'shipping paperwork',
                           'high_value_targets': 'High-value perishable goods '
                                                 '(e.g., lobster, crab meat)'},
 'investigation_status': 'Ongoing (FBI and local police)',
 'lessons_learned': 'Need for stricter verification of driver credentials and '
                    'shipping paperwork to prevent fictitious pickups. Cargo '
                    'theft is a widespread issue requiring legislative and law '
                    'enforcement attention.',
 'motivation': 'Financial gain',
 'post_incident_analysis': {'corrective_actions': 'Potential implementation of '
                                                  'stricter verification '
                                                  'protocols and enhanced '
                                                  'monitoring of cargo '
                                                  'pickups.',
                            'root_causes': 'Lack of stringent verification '
                                           'processes for driver credentials '
                                           'and shipping documents. Organized '
                                           'crime exploiting vulnerabilities '
                                           'in the logistics supply chain.'},
 'recommendations': ['Implement multi-factor verification for driver '
                     'credentials and shipping documents.',
                     'Enhance collaboration between logistics companies, law '
                     'enforcement, and regulatory bodies to combat organized '
                     'cargo theft.',
                     'Advocate for new legislation and additional resources to '
                     'address cybercrimes and cargo theft scams.'],
 'references': [{'source': 'Insurance Journal'}],
 'response': {'communication_strategy': 'Public disclosure via media '
                                        '(Insurance Journal)',
              'law_enforcement_notified': 'FBI and local police'},
 'stakeholder_advisories': 'Freight brokers, storage facilities, and retailers '
                           'should review and strengthen their verification '
                           'processes for cargo pickups.',
 'threat_actor': 'Organized retail crime group',
 'title': 'Fictitious Pickup Cargo Theft of Lobster Meat',
 'type': 'Cyber Cargo Theft (Fictitious Pickup)',
 'vulnerability_exploited': 'Lack of verification of driver credentials and '
                            'shipping paperwork'}
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