Sunday, December 30, 2012

SHOCK: New York Corner Stores Appear to be Facilitating Rampant Abuse of EBT Welfare Benefits

But there's nothing to cut!

Most people run to the corner bodega for a gallon of milk or a loaf of bread, but some welfare recipients are plunking down $500 at a time in suspicious transactions... Welfare users are only allowed to use their Electronic Benefit Transfer cards to buy food, yet they are rung up like fat cats in tiny stores in The Bronx and Brooklyn where the priciest item is usually an $8 pound of ham.

Earlier this year, an owner and a cashier at Glenwood Food Corp. in Canarsie, Brooklyn, were arrested for ringing up bogus transactions... A federal sting found the bodega was recording phony purchases on EBT cards, handing customers about 70 percent of the amount in cash — and pocketing the rest. Goods were rarely exchanged in the scam, which defrauded taxpayers out of $985,000 in two years...

Sheridan Mini Mart in Morrisania, The Bronx, rang up single sales of $543.40 and $473.50 on June 4, 2012, alone. That’s a lot of bread for a store where the most expensive item is an $11.99 jug of cooking oil... At Tremont’s Palenque Supermarket Corp., ETB where the priciest product is an $18.99 gallon of olive oil, transactions reached as high as $400 last year... Desi Grocery, a tiny East New York store now known as Anchor Grocery, racked up a $585 sale and several $400 sales through June 2012...

Robert Rector of The Heritage Foundation called the USDA’s anti-fraud procedures “a joke... “There’s virtually no oversight or effort from the USDA to stop this at all,” Rector said. “A store gets disqualified from the program and miraculously it’s back in business in the next two weeks with a new name on the front door.”

How many hundreds of billions of dollars in our money are "redistributed" through fraudulent Medicare, Medicaid, Social Security, and food stamp transactions?

The answer, my friend, is blowing in the wind. The answer is blowing in the wind.


Anonymous said...

Compare health insurance industry profits to the amount lost to medicare and medicaid fraud.

directorblue said...

Hey, dumbass - total health insurer profits pale in comparison to Medicare fraud, estimated to be as much as $100 billion a year.

Oh, and health insurers actually employ people, pay them benefits, send profits to shareholders (you know, the evil old ladies who own a mutual fund or a pension).

Gee, you're frickin' stupid.

Anonymous said...

Dude! I meant compare profits to fraud because yes, profits are in fact much **less** than fraud.

Not everyone out there in the blogosphere is against you :)

directorblue said...

Uhm, sorry --- I'm so used to proggie trolls screeching against the private sector, that's what I assumed you were saying.

My bad.