Nearly 200 suspects identified in Jacksonville food stamp fraud crackdown

Jacksonville, FL — They’re accused of defrauding taxpayers of almost $4 million.

Four fraudulent businesses have been named under a long-term investigation, which then led to a crackdown on people scamming the SNAP benefits program, which was formerly known as food stamps. JSO identified this as “Operation Half-Back”, dealing specifically with the Jacksonville area, but in cooperation with state and federal partners.

JSO identified several “business” that took part in the scheme- they registered to accept SNAP, and then would debit money from SNAP recipients, while giving the recipient back half the value in cash. In other words, a SNAP recipient would debit $100 to the fake business, and receive $50 in cash on the spot.

“Once they applied and gained access to the SNAP program, these businesses offered little to no merchandise for the purchase and simply served as a clearing house for exchanging case, and in some cases illegal narcotics, for SNAP benefits,” says Jacksonville Sheriff Mike Williams.

Williams says, in at least one case, the SNAP recipient was paid in powder cocaine.

JSO and partner agencies have been working to combat this type of fraud dating back to 2012, when a Task Force was created. Initially, Williams says the focus was brick and mortar businesses conducting this fraud, but as they cracked down on the scheme, the businesses went mobile- meat and produce vendors, as an example. Over the last few years, Williams says they tracked more than 22,000 fraudulent transactions, totaling more than $3.9 million taxpayer dollars.

“Stealing money from hard working taxpayers here in our community, and abusing a program that is meant to help people in our community,” Williams says.

The Task Force then started targeting SNAP recipients taking place in this fraud as well, which is the portion known as “Operation Half-Back”. Between February and July 2017, Williams says they recorded 390 fraudulent transactions at an undercover business that was set up for this investigation.

In all, 198 suspects have been identified- 21 of the suspects are recruiters or intermediaries charged with organized schemes to defraud and public assistance fraud, 116 are sellers charged with public assistance fraud of more than $200, and 61 are sellers charged with misdemeanor public assistance fraud.

Williams says more arrests could be coming, with related cases in varying stages of development.

Among the fake businesses that were identified are RNS Mobile Meats LLC, Sisters Mobile Meats LLC, which conducted 3,958 in fraudulent SNAP transactions worth $572,282; Sheonna’s Seafood, which did 3,958 fraudulent SNAP transactions worth $1,261,751; URKO Ballers Produce, which did 7,164 fraudulent SNAP transactions worth $1,078,504; and Lawaun Walker’s Produce, which did 7,390 fraudulent SNAP transactions worth $1,012,508. JSO says some operated several years ago, while one was shut down as recent as last summer.

Williams says cutting back this kind of activity is about more than just fraud.

“That money fuels the criminal enterprises here in our community. Not only is a loss of hard earned taxpayer dollars that obviously should be used in a program to help people who need it, but now it’s being diverted to the illegal markets and it’s used in the drug trade and the trafficking of guns and all that. That money fuels that issue for us here in Jacksonville,” he says.

If you have any information about a business or person taking place in this kind of fraud, you’re asked to report it to JSO at JSOCrimeTips@jaxsheriff.org. You can also submit an anonymous tip by calling Crime Stoppers at 1-866-845-TIPS.