Warning! Government To Crack Down On Food Stamp Fraud

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Warning! Government To Crack Down On Food Stamp Fraud

WASHINGTON — Food stamp recipients are ripping off the government for millions of dollars by illegally selling their benefit cards for cash – sometimes even in the open, on eBay or Craigslist – and then asking the government for replacement cards.

The Agriculture Department wants to curb the practice by giving states more power to investigate people who repeatedly claim to lose their benefit cards.

It is proposing new rules Thursday that would allow states to demand formal explanations from people who seek replacement cards more than three times a year. Those who don’t comply can be denied further cards.