SNAP FRAUD CENTERED IN SMALL STORES

The illegal sale of SNAP benefits for cash or other ineligible items occurs mainly in smaller-sized retailers that typically stock fewer healthy foods, according to a recent USDA report. Over the last five years, the number of retailers authorized to participate in SNAP has grown by over 40%; small- and medium-sized retailers account for the vast majority of that growth. These retailers accounted for 85% of all trafficking redemptions. The rate of trafficking in larger grocery stores and supermarkets—where 82% of all benefits were redeemed—remained at less than 0.5%.

Source: National Foundation to End Senior Hunger, 8/15/13, SNAP Fraud