Ex-Employee Arrested in $650K Watch Theft Scheme

Michael Kelly, a 32-year-old former employee of Gold & Diamond Source in Clearwater, Florida, has been arrested and charged with scheme to defraud after allegedly stealing 36 luxury watches valued at over $650,000. Authorities say Kelly manipulated the store’s point-of-sale system between October 2021 and May 2025, creating false trade-in and sales records and concealing watches in his suit jacket. Surveillance footage showed him inputting fictitious transactions with no customer present. The thefts were uncovered in May 2025, leading to his termination on May 10 and arrest on June 5. The Pinellas County Sheriff’s Office is leading the ongoing investigation. Kelly is currently being held at the Pinellas County Jail awaiting further legal proceedings.