Introduction to SNAP Benefit Theft
A single mother of five, Crystal Yanez, was left stranded at a checkout counter in Houston after discovering that thieves had drained her family’s SNAP benefits. This incident is just one of many in a nationwide surge of benefit theft that has caught the attention of federal investigators. Yanez’s account was emptied when her card was declined at the store, with the funds being used over 1,100 miles away in Durham, North Carolina, a place she had never visited.
The Scope of the Problem
The federal investigation has revealed that organized crime groups are using advanced skimming devices to steal electronic benefit transfer (EBT) card data from SNAP recipients across the country. The losses have exceeded $380 million in taxpayer funds over the past 18 months. These criminals install nearly undetectable electronic devices on store payment terminals that capture card information when SNAP recipients swipe their EBT cards. The stolen data is later used to create counterfeit cards, emptying victims’ accounts often hundreds of miles away from where the information was stolen.
How the Scam Works
The scam involves the use of advanced skimming devices that are installed on payment terminals at stores. When a SNAP recipient swipes their EBT card, the device captures the card information, which is then used to create counterfeit cards. The counterfeit cards are used to empty the victims’ accounts, often in different locations. This type of scam is difficult to detect, and it has been used to steal millions of dollars from SNAP recipients.
Operation Flagship
The Secret Service is leading an initiative to combat transnational organized crime groups that are targeting benefits programs. Recent operations by the Secret Service and local law enforcement have yielded significant results, including the discovery and removal of 55 skimming devices in New York City and the seizure of four devices in Washington State. Detective Daniel Allesandrino of the NYPD Financial Crimes Task Force emphasized the importance of disrupting criminal networks, stating that "the biggest thing is to disrupt the networks, and by seizing these devices, we’re saving money from the victims who need it."
Outdated EBT Cards
While credit and debit cards have evolved to include chip technology, SNAP EBT cards in nearly every state still rely on older, vulnerable magnetic stripe technology. California is the only state that offers chip-enabled SNAP cards, which provide an additional layer of security. The Texas Health and Human Services Commissions is developing similar protection, but there is no timeline on when the technology will be rolled out.
Conclusion
The theft of SNAP benefits is a serious issue that affects many families who rely on these benefits to get by. The use of advanced skimming devices and counterfeit cards has made it difficult to detect and prevent these scams. However, with the efforts of law enforcement and the implementation of new technologies, such as chip-enabled EBT cards, it is possible to reduce the incidence of these scams and protect the benefits of those who need them most. It is essential to continue to monitor and address this issue to ensure that SNAP benefits are protected and that those who rely on them are not left vulnerable to exploitation.
