Suspects Surrender, Hostages Freed in Jewelry Store Holdup

Two gunmen who botched a robbery and then held six people captive at an exclusive jewelry store in Rolling Hills Estates released their hostages and surrendered Sunday morning, peacefully ending a 17 hour standoff in the upscale suburb.

With sheriff’s rifles trained on them, the two middle-aged men finally stepped through the glass front doors of Morgan’s Jewelers at 11 a.m. and were taken into custody by a team of special weapons agents.

The last three of the six hostages--all of whom work at the store--walked away unharmed. The other three were released separately during negotiations, apparently in exchange for sandwiches from a nearby Marie Callender’s restaurant and cigarettes.

Some of the captives said the robbers were strikingly affable. One gunman, who claimed he was a physical therapist, reportedly gave one of the store owners a back rub during the siege to get rid of a kink in her neck.

Sheriff’s investigators identified the suspects as Robert James Miller, 47, of the Los Angeles area and Matthew Lou Ross, 48, of Michigan. Both were booked on suspicion of robbery and kidnapping at the Lomita sheriff’s station and were held on $1-million bail. Officials said they were waiting for FBI fingerprint checks to confirm their identities.

“With the names they gave, it comes back with several a.k.a.’s” said Det. Sam Washington.

The ordeal in the quiet hillside shopping center on Hawthorne Boulevard began sometime after after 5 p.m. Saturday, when the suspects, dressed in business suits and with at least one of them wearing a black wig and face paint, entered the high-end jewelry store posing as investigators, police and eyewitnesses said.

Normally, patrons of the store are scrutinized at two sets of glass doors by employees before they are let in. But one of those held hostage told waiting friends that the men came in at a particularly busy time and, at first blush, looked like clients.

Once inside the electronically secured entrance, they announced the robbery. One of the workers managed to call the Los Angeles County Sheriff’s station in nearby Lomita, officials said.

It was unclear what if anything the suspects, armed with handguns, managed to steal before they left the store to make their getaway. But when they headed out they were confronted by deputies in the parking lot and ran back inside, setting off the overnight siege, officials said.

At times, they appeared to disagree over whether to surrender. About 9 a.m., they told negotiators that they were coming out. They approached the door with the hostages and then backed away. Authorities talking on the police radio speculated that one suspect had ordered the other back.

“There probably was a difference of opinion at that point,” said Cmdr. Bill McSweeney, “A little power struggle as to who would make the decisions.”

Nonetheless, the hostages “were treated very favorably” throughout the situation and were free to move around the store, McSweeney said.

They used the bathroom, ran the dishwasher and got coffee, tea and pie, members of the group said. When the first hostage was released at 3:10 a.m., she was accompanied by a second male hostage, who returned to the store with the sandwiches.

The two men reportedly told the group they had been casing the store for more than two weeks and gave tips to the owners about weaknesses in their security system. One gunman was described as a Vietnam veteran who was disgruntled with the government and needed money, according to the first released hostage. One of the robbers also reportedly said he was a third-strike defendant.

Outside, dozens of relatives and friends gathered at a fire station and huddled in blankets through the foggy night while some received cell phone calls from the hostages. Sheriff’s deputies eventually stopped the communications, saying they could hinder negotiations.

Co-owner Russ Varon, who was not taken captive, said he was not worried about his brother, Marshall, and sister-in-law because the hostages and their captors seemed to be getting along.

“They treated everyone well,” he said. When Marshall’s wife, Karen Varon, complained of a sore neck, one of the robbers apparently said, “You know, I used to do some chiropractic work,” and began giving her a massage, Russ Varon said.

At one point, one of the robbers became very upset about possible incarceration. “One of the gentlemen was worried about going back to prison,” Varon said.

The robber who negotiated with police at one point demanded an attorney before he would agree to release a second hostage. But ultimately, he let the man go.

The group of loved ones offered their own lawyers to the robbers, hoping that they could help reach a deal with authorities and get their friends and family members released.

Around 4 a.m., the situation grew tense as deputies reported hearing muffled noises from inside the store. One suggested the robbers might be building a barricade, while others thought they might be stacking furniture to escape through the ceiling.

The noises prompted a flurry of activity, as sheriff’s Special Enforcement Bureau agents contemplated some type of action, requesting bomb blankets and sledgehammers, according to radio transmissions. “We’re staged and ready to go,” said one officer.

But the gunmen “developed a rapport” with one of the negotiators, and agents stayed at bay. By late morning, after agreeing to surrender and then balking, the suspects were talking to a criminal defense attorney, though it was not clear if it was one provided by the hostages.

“Clearly, they were concerned about what they might face at the end of all this,” McSweeney said.

Finally, when the negotiator arrived and spoke through a bullhorn, the gunmen walked outside with their hostages, all holding their arms in the air.

Outside the fire station, the group of friends and family members broke into loud applause as a sheriff’s van carrying the final three hostages pulled up.

“Thank God you’re OK,” one cried. “I love you,” said another.

“We’re just thankful that everyone is OK . . . and it’s over with,” said Russ Varon.

Correspondent Jessica Garrison contributed to this story.