Clarity Systems announces seed round led by LMnT Ventures to tackle returns fraud with AI technology
Clarity Systems, an AI powered retail fraud detection specialist, has announced the close of a $4.4 million seed round backed by LMnT Ventures, with participation from Regeneration VC, Humba Ventures, and Massive Technology Ventures.
Andy Ruben, Cofounder and CEO at Clarity, says: “Retail fraud has become a professional industry, run at scale against the returns counter and the receiving dock, and most defenses were built for a shoplifting era. We built Clarity to catch it the moment it enters the building.”
Jeff Miller, Founder and Managing Partner at LMnT Ventures, says: “Return fraud is a stubborn, massive problem hiding in plain sight, costing the world’s largest brands billions and ultimately leaving everyday consumers to foot the bill. And it’s a problem that the founders, each with extensive experience in the retail and returns world have had to endure for decades.”
“With Clarity’s advanced imaging hardware and proprietary AI models, this chronic problem is finally tractable. Importantly, this isn’t AI theory- it’s already happening on Clarity systems. This is a problem whose time has come and this is the team to crack it.”
2026 RTIH Innovation Awards
AI will be a key focus area at the 2026 RTIH Innovation Awards.
The awards are now open for entries and celebrate global retail technology innovation in a fast moving omnichannel world.
Our winners will be revealed at the 2026 RTIH Innovation Awards Ceremony, taking place at The HAC in Central London on Wednesday, 4th November.
Check out our 2025 winners here.
Our 2025 hall of fame entrants were revealed during a sold out event which took place at The HAC on 16th October and consisted of a drinks reception, three course meal, and awards ceremony presided over by award winning comedian, actress and writer Tiff Stevenson.
In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “This is the awards’ fifth year as a physical event. We started off with just 30 people at the South Place Hotel not far from here, then moved to London Bridge Hotel, then The Barbican, and last year RIBA’s HQ in the West End.”
“But I’m conscious of the fact that, to quote the legend that is Taylor Swift, You’re only as hot as your last hit, baby. So, this year we’ve moved to our biggest venue yet, and also pulled in our largest number of entries to date and broken attendance records.”
He added: “This year’s submissions have without doubt been our best yet. To quote one of the judges: The examples of innovative developments across both traditional and digital retail spaces were truly remarkable.”
Congratulations to our winners, and a big thank you to our sponsors, judging panel, the legend that is Tiff Stevenson, and all those who attended our 2025 gathering.
