Food Stamp Probe Spans Several Years

So far, 16 people are charged.  Many more are expected to be charged in a food stamp fraud case.  The News On 6 broke the story on Thursday night.  The News On 6's Emory Bryan, in a follow up, reports federal investigators targeted the A - Zee Quik Stop after a tip that customers could use food stamp cards to get cash.

After three years of monitoring the store, the government claims more than $830,000 of cash was taken from the food stamp program.

The store's owner, Zobair Baig, pleaded guilty in federal court and is awaiting sentencing.  Two of his employees pleaded guilty and were given a year of probation.

Though the program is administered by the State of Oklahoma, the money comes from federal taxes.  The Oklahoma Department of Human Services processes applications and distributes the cards.  Their Inspector General helped investigate the fraud.

"We don't often find something as deep rooted as this one," said George Johnson with DHS.

The Oklahoma Access cards work like a debit card that is supposed to only be used for food.  Federal agents say at the A-Zee Quik Stop employees would swipe the card and give customers cash, splitting the money sometimes 50/50, sometimes giving customers only 30 cents on the dollar.

The investigation began when DHS was tipped off in the fall of 2004.

In January 2005, federal agents confirmed the fraud and continued investigating until January of this year.  In February, the federal charges were filed and now state charges are pending.

Those charges apply to people like Charlotte Brown and Rhonda Pearson, who had food stamps and are accused of getting cash.  They are just two of the 16 people already facing charges of trafficking in food stamps.

DHS says food stamp recipients who make trades for cash permanently lose their benefits.  The store is no longer allowed to process food stamp transactions.

Related Story:

07/24/2008  Food Stamp Fraud Uncovered