United States Attorney Richard B. Roper
Northern District of Texas

FORMER NEIMAN MARCUS SECURITY OFFICER
SENTENCED TO 27 MONTHS IN FEDERAL PRISON
AND ORDERED TO PAY MORE THAN $300,000 IN RESTITUTION
AFTER ADMITTING STEALING JEWELRY FROM STORE AND SELLING IT ON EBAY

DALLAS — A former security officer at a Neiman Marcus store in Dallas, Manuel Alvarez, was sentenced this afternoon, by U.S. District Judge Reed O’Connor, to 27 months in prison and ordered to pay $323,195 in restitution, announced U.S. Attorney Richard B. Roper of the Northern District of Texas. Alvarez, 37, of Mesquite, Texas, pled guilty in December 2007 to an Information charging transportation of stolen goods in interstate commerce and aiding and abetting, admitting that the stole jewelry from the store and sold it on Ebay. Judge O’Connor ordered that Alvarez surrender to the Bureau of Prisons on May 1, 2008.

Representatives from Neiman Marcus were present in the courtroom and Vice President Gary Manson addressed the Court to say that Alvarez had been a trusted member of the Neiman Marcus team, and that theft of property by Alvarez, a loss prevention specialist for many years, had meant more than a financial loss to the company and its employees.

According to the factual resume, Alvarez worked at Neiman Marcus as a store loss prevention specialist and in 2004, he met an accomplice and they agreed to sell jewelry on Ebay and split the proceeds. Alvarez would obtain jewelry from a Neiman Marcus store and then his accomplice would post the items for auction/sale on her Ebay auction site, representing that the jewelry was legitimate merchandise that belonged to her. They agreed to equally divide the profits from the sales.

From February 29, 2004, to December 10, 2005, Alvarez made only three legitimate jewelry purchases, three watch straps, from Neiman Marcus using his employee discount. He also purchased three or four jewelry items, with a total value of approximately $4000, from the Neiman Marcus catalog. All other jewelry items that Alvarez provided to two female accomplices, to sell on Ebay, were stolen by Alvarez from Neiman Marcus.

Alvarez admitted that he stole designer jewelry items and other merchandise from Neiman Marcus by taking the items from open stock drawers or by using his key as a loss prevention specialist to access items kept in locked storage in the store. He hid the jewelry on his person toremove it from the store and delivered the jewelry to his accomplices to sell on Ebay. He also provided an accomplice with gifts of jewelry which he had also stolen from Neiman Marcus, some of which she sold on Ebay and kept the proceeds for herself. In June 2005, Alvarez approached a friend who lived in the Houston area, and provided her items he had stolen from Neiman Marcus for her to sell on Ebay. This accomplice also photographed the items and placed them for auction on Ebay using her Ebay account. Both accomplices mailed the items to the purchasers using the U.S. Mail and equally divided the net proceeds with Alvarez.

The Court found that the intended loss to Neiman Marcus from Alvarez's scheme exceeded $400,000.

U.S. Attorney Roper praised the investigative efforts of U.S. Postal Inspection Service. Deputy Criminal Chief Assistant U.S. Attorney Linda C. Groves prosecuted the case.

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