USDA has announced a new federal-state partnership targeting fraud by SNAP recipients. USDA will share its extensive experience in monitoring retailer fraud to help states develop a robust set of tools to identify suspicious activity and improve tactics to catch recipients who attempt to commit SNAP fraud. The partnership’s initial focus involves data-sharing agreements between USDA and Maryland and Virginia. USDA will use data collected under these agreements to develop an enhanced monitoring tool for states similar to the EBT Retailer Transactions (ALERT) system it uses to monitor the 2.5 million electronic retailer transactions that happen daily. ALERT helps USDA identify suspicious stores for analysis and investigation, better target high-risk areas, and quickly implement fraud detection scans as new schemes are identified.
Source: USDA, 3/20/13, SNAP Fraud