Stimulating the economy.
Federal prosecutors say nearly 90 people have been indicted in a multimillion dollar WIC and food stamp fraud conspiracy.
Authorities said Tuesday that 54 people have been charged with opening purported grocery stores in Savannah, Macon, LaGrange, the metro Atlanta area and elsewhere and having them approved as WIC and food stamp vendors. WIC is a federally-funded program that provides nutrition assistance for expecting and new low-income mothers.
Prosecutors say defendants solicited residents of low-income areas to exchange benefits for cash, then redeemed the benefits they illegally purchased. Defendants in that indictment are charged with mail and wire fraud and money laundering.
Authorities say 34 more people are accused of selling their WIC vouchers and food stamp benefits for cash. The defendants accused of selling benefits are charged with conspiracy.
From the FBI press release:
The 54-defendant indictment alleges that a number of defendants conspired to open purported grocery stores in Savannah, Macon, Atlanta, Garden City, Lithonia, LaGrange, Stone Mountain, Riverdale, and elsewhere for the purpose of buying WIC and Food Stamp benefits for cash. Once the purported stores were opened and approved as WIC and Food Stamp vendors, many of the defendants allegedly canvassed low-income neighborhoods and solicited WIC and Food Stamp participants to illegally exchange their benefits not for food but for cash. The defendants then allegedly bought WIC and Food Stamp benefits for cash at a fraction of the amount they received from the USDA by redeeming the benefits they had purchased. The defendants also allegedly conspired to launder over $18 million in proceeds received from their fraud upon the WIC and Food Stamp programs.
The 34 defendants charged separately from the larger indictment are alleged to have sold for cash over $1,000 worth of their own WIC or Food Stamp benefits and the WIC or Food Stamp benefits of their minor children.