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Scammers Are Stealing Millions From Food Stamp Recipients. Congress Could Fix It — but Won’t.

24 0
13.10.2026
Jovelle Tamayo/ProPublica. Source images: Zaydee Sanchez/ProPublica, Tina Russell for ProPublica, MPfoto71/Alamy.

It wasn’t the kind of call a grocery store gets every day. A customer with a thick Eastern European accent was on the phone saying he wanted to buy several thousand cans of Red Bull. Could the store have them in stock in a few days? Also, did they have equipment to move all those stacks of energy drinks into the parking lot, where two minivans would be waiting?

When the day came, Oct. 19, 2022, employees at the Smart & Final store in San Diego sold 3,960 cans of Red Bull and 720 of Monster Energy to two men and two women, all with the same accent, and helped them wheel the pallets out back. To pay for it all — the bill came to $10,747.05 — the group pulled out piles of plastic. These weren’t credit or debit cards; they looked more like hotel-room keys. There were 25 cards in all, each with a different amount loaded onto it, and the four people took turns swiping one after another. Then, the payment complete, they drove off.

In the days that followed, people as far away as New York and Florida made panicked calls to the store. They wanted to know why their food-stamp accounts (containing their Supplemental Nutrition Assistance Program, or SNAP, benefits) had been drained at this seemingly random location in San Diego.

It would turn out that what became known as the Red Bull Crew had gotten ahold of their SNAP data and used the funds to buy the energy drinks, which they then sold online or to smaller stores. It was hardly an isolated event. From September through November of that year, the same crew, part of a criminal syndicate based in Romania, bought at least $305,274.52 in energy drinks, using SNAP account information and PINs stolen from at least 174 victims nationwide, according to court documents and federal investigators.

To hear the Trump administration tell it, the SNAP program is under siege by well-heeled recipients of food stamps. Vice President JD Vance, upon being named “Fraud Czar” this spring, said: “There are people who have Lamborghinis who currently receive SNAP benefits.” Agriculture Secretary Brooke Rollins, whose agency oversees the program, regularly goes on TV and social media to allege that masses of SNAP recipients are scamming the system, driving Bentleys, Ferraris, Maseratis and, yes, Lamborghinis.

The federal government’s own statistics tell a different story. Confirmed cases of intentional program violations — fraud — committed by SNAP recipients account for $64 million a year, or about 0.08% of all benefits issued annually, according to the most recent 50-state reports compiled by the U.S. Department of Agriculture.

Meanwhile a far bigger fraud wave has exploded over the past five years: organized theft from SNAP recipients. In 2025, $470 million was stolen electronically from beneficiaries — and thus from the U.S. taxpayer — according to data supplied to ProPublica by Propel, a company that provides a mobile app for SNAP recipients to check their account balances and transaction histories. More than 990,000 households that received food assistance last year had benefits stolen. (The reason it’s necessary to use data from a private company: The federal government has stopped tracking rates of this crime.)

ProPublica interviewed nearly 100 victims of SNAP theft, federal prosecutors, Secret Service agents, USDA officials, caseworkers and other experts to understand what’s behind this phenomenon and why more isn’t being done to stop it. The victims are almost all working people with families, or retirees, who have struggled to afford groceries in the current economy. Most didn’t learn about the crime until they were in a checkout line, only to have their benefit card declined.

Jared Chesnut, a laid-off software developer in Hoover, Alabama, had $893 in SNAP benefits stolen from him in December: “I ate rice and grits the rest of the month.” Rita Harper for ProPublica

Upon reporting the disappearance of their food assistance, victims are informed that nothing can be done under current federal law. “The only thing they said was that [my benefits] cannot be refunded unless they were lost due to a natural disaster,” said one SNAP theft victim in Ohio. “They told me they’d add my name to the list,” said another in rural Oregon. “They advised if I feel the place is sketchy, don’t run my card there,” a victim in Philadelphia said. Still another, in Virginia, added, “They even charged me $2 for a replacement card.”

Perhaps the most vexing aspect of all: The federal government knows how to prevent the vast majority of this crime in a single step. Congress just hasn’t been willing to take it.

SNAP theft is an old scheme applied to a new target. For years, scammers would surreptitiously install skimming devices on card readers at ATMs, gas pumps and corner stores. These devices could read the data on people’s cards as they swiped — while a pinhole camera or overlay keypad captured their PINs — all of which could be picked up later or sent via Bluetooth to someone sitting in a nearby cafe or parking lot. This pilfered data, in turn, was used to make online purchases, or it was loaded onto cloned cards to withdraw cash.

Skimming became exponentially more difficult when credit and debit card companies installed digital microchips in the 2010s and then introduced tap-to-pay. But........

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