NEW YORK (WABC) — A group of defendants accused of operating what prosecutors described as a “fraud factory” stole more than $7 million in SNAP benefits by repeatedly using stolen EBT card information, according to the Manhattan District Attorney’s Office.
Prosecutors allege the scheme targeted low-income New Yorkers who rely on food assistance benefits, draining funds intended to help them buy food. Authorities say the stolen benefits were converted into cash and used to purchase luxury vehicles.
“They were people who were going to withdraw funds using an EBT card and the money was gone,” a law enforcement official said.
According to court documents, the defendants are accused of conspiring to “steal more than $7 million” by “using the names of existing or fictitious delis to obtain credit card and EBT processing accounts.”
Manhattan District Attorney Alvin Bragg said investigators…
This involves defrauding the state or using government systems to steal from individuals.
- Tax Identity Theft: A criminal uses your ID and income details to file a tax return in your name and claim a refund before you do.
- Grant/Benefit Fraud: Falsely claiming unemployment, disability, or social grants that the perpetrator is not entitled to.