In part two of our Fraud is the New Dope investigation we captured New York City bodegas accepting EBT/SNAP cards for beer, a clear violation of federal and state rules.
Federal law restricts SNAP benefits to eligible food only. Alcohol is prohibited. Under 7 U.S.C. 2024 and New York State Crime S 110, knowingly using or accepting EBT benefits for unauthorized items is illegal.
In Queens and Harlem, NY our undercover journalists purchased beer with EBT cards. Clerks initially refused or attempted to run the sale as cash. When pressed, several processed the beer as “food.” In other cases, stores charged food items, issued cash back or refunds, and allowed the cash to be used for alcohol.
These NYC retailers who intentionally process alcohol as food are violating federal SNAP regulations, subject to disqualification from SNAP participation, civil penalties under 7 CFR 278.6, New York State Crime S 110, and their USDA Retailer Agreement
When confronted, one clerk claimed not to speak English despite earlier conversations in English and simply shook his head. The investigation found the practice occurring across multiple boroughs.
Even the attempt to accept SNAP benefits for alcohol constitutes a violation.
Remember, there is money in fraud. There’s no money in exposing the fraud. This is where your taxpayer dollars are going. If you are on the inside of any government agency, federal, state, or local office and you see corruption, if you know the American people are being lied to, reach out to us. Email us at [email protected] or by phone at 914-491-9395. An OMG journalist will get back to you.
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