$400,000 Live Lobster Shipment Hijacked in Suspected Organized Cargo Crime Theft

A nearly $400,000 shipment of live lobsters bound for Costco warehouses in Illinois and Minnesota was hijacked in transit, in what law enforcement and industry sources say may be part of a growing pattern of organized cargo thefts targeting high-value freight in the United States.

According to an interview with Dylan Rexing, CEO of Indiana-based logistics company Rexing Companies, by Fox Chicago, the load was picked up in Taunton, Mass., but never reached its intended Midwest destinations. The trucking brokerage tasked with the delivery, Rexing Companies, first raised the alarm after the shipment vanished from radar, with no sign of delivery or lawful diversion.  

Rexing told the outlet that the disappearance appears to be the work of a “theft ring,” with criminals impersonating legitimate carriers to intercept freight mid-transit. “This is a huge issue across the country. It’s a huge impact to our business,” he said, adding the loss will have real operational impacts – from hiring delays to reduced employee bonuses – while also pushing higher costs down the supply chain.

Officials have confirmed that the FBI is investigating, though no suspects have yet been identified or taken into custody. Local and federal law enforcement agencies, including FBI field offices in Chicago and Minneapolis, are coordinating on leads.

PEOPLE reached out to Costco and Rexing Companies, neither of which immediately provided official statements on the situation.

The lobster hijacking has drawn attention to a broader trend of cargo theft that federal authorities say costs U.S. businesses tens of billions of dollars annually. Earlier this year, Homeland Security Investigations (HSI) launched an initiative called Operation Boiling Point aimed at dismantling organized theft groups that target cargo and retail supply chains. 

According to HSI, the operation tackles a wide array of crimes linked to Organized Theft Groups (OTGs), including organized retail crime (ORC), cargo theft and large-scale freight hijackings. The goal of Operation Boiling Point is to enhance information sharing, build stronger partnerships between federal, state and private players, and disrupt the financial networks that allow OTGs to profit from stolen goods. 

Federal law enforcement defines cargo theft as theft or fraudulent acquisition of goods in transit at distribution hubs, truck stops or terminals – often orchestrated by groups that use fraud, burner phones or spoofed credentials to pose as legitimate carriers. These thefts can affect goods at any point in the supply chain and drain the economy of an estimated $15 to $35 billion each year. 

Industry experts say thefts targeting items like electronics, pharmaceuticals and even seafood have grown more brazen, with some criminal networks linked to broader illicit activity, including narcotics trafficking and counterfeiting. The Department of Transportation has sought input from industry and law enforcement to strengthen cargo security measures and combat these crimes more effectively. 

As federal authorities continue their investigation into the lobster heist, retailers and shippers alike are warning that without improved enforcement and industry collaboration, similar losses will keep driving costs higher and supply chains more vulnerable.