U.S. Attorney Wifredo Ferrer said Wednesday the scheme used electronic benefit cards at locations authorized to accept Supplemental Nutrition Assistance Program benefits. The cards would be swiped in exchange for cash payments far less than the amount the store owners would bill to the program.
Most of the fraudulent retailers were located at the Opa-locka Hialeah Flea Market, but they also include a fish delivery business and a convenience store. Ferrer says many locations actually sell no food.
Those arrested face maximum prison terms of 20 years for each count of wire fraud and wire fraud conspiracy, as well as five years for food stamp fraud.
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10 comments:
I believe the government needs to cancel ALL food stamp credit cards, and make people reapply. Because of the crack down, A lot of people will be scared to reapply.
this goes on around here as well
Your tax dollars at work!
This happens all the time. I think it's disgusting but I'm not surprised.
If they would truly look into the amount of fraud in the food stamp program it would be unbelievable. But they will never do that.
When is the last time anyone was arrested around here for it ?? It is a joke and somebody has a gravy job. Tax dollars wasted.
the md lottery depends on snap cards so these hard working folks can bet on imaginary horses
As a sales manager for a co. that dealt with c-store businesses for over 30 years, I can tell you that these independent retailer's are breaking every law in the book - sales tax fraud, food stamp fraud, lottery fraud, out of state tobacco products. etc. These businesses are owned by immigrants from India and Pakistan. They operate as a cartel, usually reporting to some kingpin out of Baltimore. How does a business stay open when there are no customers ? To avoid detection they flip the ownership to a relative or some other immigrant. Check the names of these cigarette smugglers they catch - 99% are foreign. The govt knows there doing it, but because of them being minorities they turn their heads. An agent told me this several years ago.
See next posting.
Like Sunsations, with no customers, no product over $10, a warehouse size store on every other block and run by Hasidic Jews? I know exactly what you are talking about.
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