Federal agents monitored more than 100 locations in Southern California last week, including several Supplemental Nutrition Assistance Program (SNAP) retailers, as part of a sweeping SNAP fraud investigation led by the U.S. Department of Agriculture (USDA) and multiple law enforcement agencies.
The coordinated crackdown focused on criminal networks accused of stealing taxpayer-funded SNAP benefits through electronic fraud. Authorities say suspects installed card skimmers and cloned payment systems to drain funds from recipients’ Electronic Benefit Transfer (EBT) cards.
Secret Service Leads Largest EBT Fraud Operation
The operation marked the most extensive EBT-related law enforcement action in the U.S. Secret Service’s history. Working alongside the Homeland Security Investigations (HSI) El Camino Real Financial Crime Task Force, agents zeroed in on high-risk sites across the region.
Many legitimate SNAP retailers colluded with criminal actors at targeted locations. According to officials, the operation resulted in several arrests and the seizure of critical evidence related to the multi-million dollar fraud scheme.
Federal Officials Cite Rising Threat of Organized Theft
Acting Deputy Under Secretary for Food, Nutrition, and Consumer Services John Walk joined agents in Los Angeles during the high-stakes SNAP fraud investigation. He emphasized the rising threat posed by increasingly sophisticated criminal operations.
“These are truly sick and depraved individuals who are stealing food from low-income Americans for their own profit,” Walk said. “International criminal organizations are now involved. That should alarm every taxpayer in this country.”
Walk added that these fraudsters exploit loopholes in the system and potentially divert public funds to finance other illegal enterprises.
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USDA Reinforces Zero-Tolerance for SNAP Fraud
USDA Secretary Brooke Rollins said the Trump administration will continue to enforce a zero-tolerance policy on SNAP fraud. He praised law enforcement agencies for actively pursuing those who cheat the system and vowed to ensure proper benefits use.
“Fraud will not be tolerated,” Rollins said. “We are fighting back to ensure benefits go to those who truly need them.”
The USDA’s Special Investigations Unit, under the Food and Nutrition Service, has stationed investigators nationwide to detect and disrupt schemes that misuse the SNAP program. Officials said some retailers actively participate in the scams, allowing cloned EBT transactions in exchange for a kickback.
EBT Skimming Cases Surge Across U.S.
Electronic theft from EBT cards has increased sharply over the past few years. Criminals plant skimming devices on card readers in stores or clone entire point-of-sale terminals to intercept PINs and card data. Once someone compromises the data, they can use fake cards to drain accounts, sometimes before recipients realize their benefits are gone.
Federal officials say these operations often originate outside the United States and are tied to transnational organized crime rings. The Secret Service and HSI continue to trace links between U.S.-based fraud networks and their international counterparts.
More Sweeps Expected as Feds Ramp Up Pressure
Authorities warned that last week’s Southern California sweep is the beginning of a broader nationwide SNAP fraud investigation strategy. Future operations will focus on high-risk areas and suspected networks exploiting EBT systems.
Investigators urged SNAP recipients to monitor their accounts closely and report suspicious activity immediately. The USDA continues to educate beneficiaries on avoiding becoming card-skimming and cloning targets.
As federal officials expand surveillance and enforcement, they reaffirmed their commitment to safeguarding public funds and protecting vulnerable Americans who depend on SNAP for daily nutrition.