Where federal food stamp money really goes: Criminal fraud

Thursday, September 19, 2013 by: J. D. Heyes
Tags: food stamps, criminal fraud, taxpayer money

eTrust Pro Certified

Most Viewed Articles
Popular on Facebook
CDC issues flu vaccine apology: this year's vaccine doesn't work!
The five biggest lies about Ebola being pushed by government and mass media
Ultraviolet light robot kills Ebola in two minutes; why doesn't every hospital have one of these?
Tetanus vaccines found spiked with sterilization chemical to carry out race-based genocide against Africans
Biologist explains how marijuana causes tumor cells to commit suicide
Companies begin planting microchips under employees' skin
The best way to help your body protect itself against Ebola (or any virus or bacteria)
NJ cops bust teenagers shoveling snow without a permit
Russia throws down the gauntlet: energy supply to Europe cut off; petrodollar abandoned as currency war escalates
McDonald's in global profit free fall as people everywhere increasingly reject chemically-altered toxic fast food
W.H.O. contradicts CDC, admits Ebola can spread via coughing, sneezing and by touching contaminated surfaces
Top ten things you need to do NOW to protect yourself from an uncontrolled Ebola outbreak
Chemotherapy kills cancer patients faster than no treatment at all
FDA targets Dr. Bronner's Magic Soaps for sharing health benefits of coconut oil
U2's Bono partners with Monsanto to destroy African agriculture with GMOs
Why flu shots are the greatest medical fraud in history
Governments seize colloidal silver being used to treat Ebola patients, says advocate
Flu vaccine kills 13 in Italy; death toll rises

(NaturalNews) There is a biblical adage that deals with the concept of self-reliance which goes something like this: "If you give a man a fish, you feed him for a single day; if you teach him to fish, you feed him for a lifetime."

Unfortunately, the American welfare system isn't based on this concept. In fact, it has been so politicized over the years by self-centered men and women whose only aim in life is to use it and other federal "incentives" to remain in power, that the one thing it doesn't do is encourage recipients to better themselves.

As bad as that is - and as damaging as it is to an entire segment of society - what is worse is that the manner in which welfare programs are set up makes them ripe for abuse...and as such, they are abused, just like the taxpayers who fund them.

Breitbart News cites just one recent example:

Arizona authorities have broken up a massive food stamp fraud ring in Phoenix and seized almost $700,000 in cash. K&S convenience store workers Kameel Sweiss, Ameer Sweiss, and Faday Sweiss were arrested on Wednesday on charges of suspicion of illegally conducting an enterprise, fraudulent schemes and artifices, money laundering, unlawful use of food stamps, and computer tampering. "People were essentially selling their cards to [the] store," said spokesperson Stephanie Grisham.

Organized fraud in a system built for it

This isn't new. The state's attorney general, Tom Horne, said that that bust is the fifth of its kind so far in 2013, though it was the largest to date. Horne told Fox News host Neil Cavuto that the crime of food stamp fraud is a large and growing problem; nearly 48 million Americans - more than are part of the chronic "uninsured" - are now receiving some form of taxpayer-funded food stamps.

Horne explains:

"It's done in two ways. One way is a small purchase, say, a bag of potato chips, treated as though it were a very large purchase, and then they will give the customer some cash in addition to the potato chips, or they will just give them their card--let's say there's $300 on the card. They will give them $100, and then they have $200 left on the card, and they will keep ringing up as though they're sales during the day, and they will end up with that $200."

What's more, as exposed by Breitbart News, EBT cards are a huge business for corporate America - namely, JP Morgan, which earned at least $560,492,596 since 2004, in processing "EBT cards of 18 of the 24 states it has under contract for the food stamp program."

JP Morgan's Christopher Paton told Bloomberg News:

"We are the largest processor of food stamps in the country...[the EBT program] is a very important business to JP Morgan. It's an important business in terms of its size and scale.... Right now volumes have gone through the roof in the past couple of years or so. The good news from JP Morgan's perspective is the infrastructure that we built has been able to cope with that increase in volume."

Fraud, like the food stamp figure, is growing

As for food stamp fraud, a big part of the problem is the way the program is set up and permitted to operate. The other part of the problem is that there is virtually no oversight - and that has to be intentional.

For instance, while there are thousands of employees who work for the Department of Agriculture, there are only 100 tasked with monitoring EBT fraud (and remember, there are nearly 48 million EBT card users).

In 1969, a mere four years after President Lyndon B. Johnson declared his "war on poverty," just 2.8 million Americans were on food stamps.


Join over four million monthly readers. Your privacy is protected. Unsubscribe at any time.
comments powered by Disqus
Take Action: Support by linking back to this article from your website

Permalink to this article:

Embed article link: (copy HTML code below):

Reprinting this article:
Non-commercial use OK, cite with clickable link.

Follow Natural News on Facebook, Twitter, Google Plus, and Pinterest

Colloidal Silver

Advertise with NaturalNews...

Support NaturalNews Sponsors:

Advertise with NaturalNews...


Sign up for the FREE Natural News Email Newsletter

Receive breaking news on GMOs, vaccines, fluoride, radiation protection, natural cures, food safety alerts and interviews with the world's top experts on natural health and more.

Join over 7 million monthly readers of, the internet's No. 1 natural health news site. (Source:

Your email address *

Please enter the code you see above*

No Thanks

Already have it and love it!

Natural News supports and helps fund these organizations:

* Required. Once you click submit, we will send you an email asking you to confirm your free registration. Your privacy is assured and your information is kept confidential. You may unsubscribe at anytime.