USDA employee, five others arrested in $66M food stamp fraud

WASHINGTON — A U.S. Department of Agriculture (USDA) employee and five others were arrested last week over their alleged involvement in a multimillion-dollar fraud and bribery scheme that exploited the federal food stamp program.

According to Fox News, the suspects are accused of generating over $66 million in unauthorized transactions under the Supplemental Nutrition Assistance Program (SNAP), also known as food stamps.

USDA Secretary Brooke Rollins described the case as “one of the largest stings” in agency history, crediting the joint efforts of the FBI and U.S. Attorney’s Office in uncovering the operation.

The scheme reportedly began in 2019 when one of the defendants, Michael Kehoe, allegedly distributed 160 unauthorized electronic benefit transfer (EBT) cards across New York. Authorities say the group, which included USDA employee Arlasa Davis, falsified applications, sold confidential data, and enabled illegal food stamp transactions through unauthorized stores.

Davis, who worked within the USDA’s compliance unit, is accused of leaking sensitive information to help facilitate the fraud.

Federal prosecutors said those involved will be held accountable for undermining a vital program that many Americans rely on for basic nutrition.