Inside Amazon's $890 Billion Returns Mafia

TL;DR

Amazon's free-return culture floods Costa Rica with cheap liquidation goods, creating a gateway exploited by drug cartels for money laundering.

Key Points

• 1.The US generates a $100 billion annual liquidation industry from e-commerce returns, with goods shipped to Latin America as "bin stores" or "outlets"
• 2.Costa Rica alone has roughly 800 outlet stores for a population of 5 million, with police and government acknowledging ties to drug trafficking and money laundering
• 3.Costa Ricans pay up to 50% more for electronics like iPhones due to import duties and no official MSRP pricing, making cheap returned goods extremely appealing
• 4.Workers at these outlet stores requested anonymity out of fear of retaliation, and insiders revealed employees are paid to lie about finding working phones or computers in bins
• 5.Items like a $900 DJI drone sold for $18 and 42-inch TVs for under $20 at grand openings attract bulk buyers, some suspected of reselling or laundering money through purchases