Businesses accused of buying SNAP cards for cash, stealing federal funds
CHICAGO (CBS) -- Businesses were raided this week, sources say, for scamming people out of their Illinois Link cards.
The cards are used to administer SNAP benefits through the federal Supplemental Nutritional Assistance Program.
As CBS 2's Sabrina Franza reported, the raid came as part of a joint city and federal operation. Sources told CBS 2 the Chicago businesses were caught preying on people who needed cash. The investigation is ongoing.
They would buy their Link cards in exchange for that cash and then use the cards to steal whatever federal money was issued.
Maya Superstore, 6852 S. Ashland Ave.; Madison 4102 Inc., 4102 W. Madison St.; Meme Food Mart, 5467 W. Chicago Ave., and the 1st Choice Grocery Wholesale, 7122 S. Vincennes Ave., were all swarmed with law enforcement.
The four businesses, sources say, are part of an even longer list of locations where business owners would pay cash for Link cards.
They would take advantage of people in a difficult situation, then take the money allotted to the Link cards through the taxpayer-funded SNAP program, authorities said.
Our sources told CBS 2 the four locations had their Link card readers confiscated by the United States Department of Agriculture – which led the bust with the help of the U.S. Department of Homeland Security, the FBI, Chicago Police, and the Chicago Department of Business Affairs and Consumer Protection.
We are also told expired food was found in multiple locations.
The city's Department of Buildings posted bright orange signs outside each of the businesses reading: "Off limits. Do not enter."
This is just the latest Link card scam reported by CBS 2. In December, a minimart in Humboldt Park was linked to fraudulent transactions.
The story with these latest four stops is slightly different, but with the same outcomes – those who are meant to receive the SNAP benefits don't get them.
It was not clear late Wednesday how many people were impacted by this scam, or how much money was taken.
CBS 2 reached out to the Department of Homeland Security, as well as the U.S. Department of Agriculture, for a statement on all this – as well as to see if there was anyone charged in the fraud.
