Thread: Ferrari seized in food stamp fraud case

Ferrari seized in food stamp fraud case

Reuters – 6 hrs ago

WASHINGTON (Reuters) - Federal investigators uncovered two grocery store owners who trafficked in more than $1 million in food stamps apiece and seized four luxury cars, including a Ferrari, from one of them, the Agriculture Department's watchdog agency said on Wednesday.

In Lake Charles, Louisiana, the owner of two grocery stores was ordered to pay more than $1.7 million in restitution and was sentenced to five-and-a-half years in prison after trading food stamps for cash and other goods, the department's inspector general said in a report.

Investigators seized a Ferrari, Porsche, BMW and Mercedes-Benz, and two bank accounts in the case, the report said.

The food stamp program, formally named the Supplemental Nutrition Assistance Program, helps poor people buy food.

In Waco, Texas, a federal judge ordered a grocery owner to pay $1.3 million in restitution for swapping food stamps for cash, alcohol and tobacco. The owner was sentenced to 33 months in prison.

Some of the cash generated by the trafficking was spent on playing video poker machines in the store, the inspector general said.

The Agriculture Department has come under criticism by Republicans in Congress for not doing more to crack down on fraud. The program is up for renewal by Congress this year and faces complaints that its $76 billion cost is too high.

A proposal in the Republican-led U.S. House of Representatives would cut enrollment by 5 percent as part of sweeping budget cuts.

The Agriculture Department said trafficking has been reduced to 1 percent of the program's cost, down from 4 percent 15 years ago. The department permanently disqualified 1,382 stores this year for food stamp trafficking and sanctioned 772 stores for violations.

Ferrari seized in food stamp fraud case - Yahoo! News

This is all to common. I wouldn't be suprised if more then half of those recieving food stamps were abusing them and likely didn't even need them by their standard of living.

It looks like they have busy in Louisiana busting food stamp fraud.

Lake Charles man sentenced for food stamp fraud


Posted: Sep 11, 2012

Lafayette, LA (KPLC) -A Lake Charles man will serve prison time and will pay over $1.2 million in restitution for food stamp and wire fraud, according to a news release from U.S. Attorney Stephanie A. Finley.

Vincent Edward DaPrince, aka "Vincent Briggs," 46, was sentenced Tuesday in federal court in Lafayette to 51 months in prison per count, to run concurrently, and three years of supervised release per count.

According to Finley, DaPrince pleaded guilty on April 19, 2012, to one count of food stamp fraud and one count of wire fraud.
The sentence was handed down by U.S. District Judge Richard T. Haik in connection with the theft of over $1 million in food stamp benefits, Finley said.

Haik ordered DaPrince to serve 50 hours of community service for the first 12 months of supervised release and to pay $1,289,513.87 in restitution to the U.S. Department of Agriculture.

Finley said DaPrince was authorized to participate as a retailer in the Department of Agriculture Food Stamp Program on June 23, 2008, and began operating a mobile food service business from a van, "Da Store/Dr. Restaurant," in the Lake Charles area.

Federal authorities said the investigation revealed that from Jan. 1, 2009 through Dec. 16, 2010, recipients of the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program, would approach DaPrince's mobile convenience store in order to "sell" their SNAP benefits to DaPrince.

According to Finley, DaPrince would swipe the SNAP recipients' Electronic Benefit Transfer (EBT) cards, and then would provide the recipients with 60 percent of the cash proceeds. Finley said he would then deposit the full amount through wire transfers into his bank account.

Finley said the federal probe revealed that DaPrince caused more than $1 million in USDA funds to be deposited. During the investigation, the U.S. Secret Service and the USDA engaged in 11 undercover transactions at DaStore/Dr. Restaurant, during which DaPrince used electronic transactions to acquire money from SNAP EBT "Louisiana Purchase" cards in exchange for cash.

Finley said agents seized $343,511.65 in U.S. currency from accounts associated with DaPrince's scheme to defraud. She said, additionally, agents seized a 1998 Chevrolet van used in the mobile food service business, a 2006 Cherokee travel trailer purchased with funds associated with the scheme, and $2,295 located in the 1998 Chevrolet van.

On Aug. 15, 2012, Haik signed a Final Order of Forfeiture, ordering the property to be forfeited to the government as proceeds obtained directly or indirectly as a result of the defendant's violations, and property used or intended to be used to commit or facilitate the defendant's violations.

Finley stated, "This case was centered in greed. Mr. DaPrince's scheme was devised to circumvent a program designed to assist those in need. His actions hurt the program, the community and ultimately the taxpayers. Our office will continue to vigorously prosecute those who think they can cheat the system and steal from federal programs. The Judge got it right when he said that the public needs to be protected from this defendant. "
Lake Charles man sentenced in federal food stamp fraud case - KPLC 7 News, Lake Charles, Louisiana

Now just go through his records and cut the foodstamps to any customers he had that was doing that.