CoolKicks CEO Arrested While Livestreaming An Auction In Warehouse Raid

SANTA MONICA, CA — The CEO of Los Angeles-based sneaker retailer CoolKicks was arrested and charged with theft following a raid of the company's Santa Monica warehouse, according to police and a report.

Adeel Shams, 33, was arrested Thursday in the 1700 block of Stewart Street in Santa Monica, a Los Angeles Police Department spokesperson told Patch. He was charged with receiving known stolen property over $950 and jailed.

Shams was released on Friday on his own recognizance, according to an arrest report.

Officers with the Commercial Crimes Division executed a search at the warehouse and detained four people, including Shams, KTLA reported. Police did not provide arrest information for the other three individuals.

In a video shared on Reddit, Shams was livestreaming a sneaker auction when police entered the warehouse, according to People. In the video, he asked if the incident was a case of swatting, or a false report that prompts a police response.

CoolKicks later released a statement on Instagram addressing the raid and Sham's arrest.

"Yesterday, the LAPD impounded a small allotment of Nike sneakers that CoolKicks purchased and received within the last 48 hours, alleging that the merchandise was stolen," the statement read. "This news came as a complete shock to our entire team."

According to the company, the CoolKicks leadership team and staff had "no knowledge" or reason to believe the products were stolen and clarified "there have been no allegations whatsoever from law enforcement that any of the products were counterfeit."

"We are confident the truth will come out and the trust we have worked so hard to earn will remain strong," the company said.

Shams is scheduled to appear in court on Oct. 23.