700K Fraudsters Revealed

From 186,000 to 700,000: How the Numbers Grew

The investigation has grown in three phases. A November 2025 audit found 186,000 "ghost recipients" — deceased individuals still listed as active SNAP beneficiaries. By February 2026, a second review uncovered 355,000 cases of "double-dipping," where people collected benefits in two or more states at the same time. Together, those two groups account for roughly 77% of the 700,000 cases now confirmed, ABC St. Louis reported.

The remaining 22% — about 157,400 cases — involve identity theft and organized retail crime, including EBT card skimming and trafficking. USDA investigators say 60% of the newly identified fraud is concentrated in just 8 of the 32 states that have agreed to share data with the federal government.

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What 'Cooperating States' Means and Why It Matters

The 700,000 figure only covers the 32 states that signed a data-sharing agreement with the USDA. Those states gave federal investigators direct access to their EBT transaction records. The USDA then matched those records against the Social Security Administration's Master Death File and a multi-state enrollment database called the National Accuracy Clearinghouse. Local 12 reported that the number is expected to rise sharply as more states join.

Eighteen states, including California and Illinois, have not joined the compact. They argue the data-sharing rules violate the privacy rights of low-income residents. The USDA has warned that states refusing to cooperate by October 2026 could face a 15% cut in federal administrative funding.

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Criminal Charges and Retailer Crackdowns on the Way

Secretary Rollins confirmed the Department of Justice is preparing "strike force" indictments targeting 12 major retail chains and 450 individuals suspected of running multi-state EBT trafficking rings. Investigators have also flagged so-called "mule accounts," where a single address in an urban area is linked to dozens of EBT cards. Fox San Antonio reported that Rollins said the organized criminal activity involved "syndicates" operating across state lines.

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Debate Over Whether All 700,000 Cases Are True Fraud

Not everyone accepts the 700,000 number at face value. Economists at the Center on Budget and Policy Priorities warn that some flagged cases may reflect "administrative churn" — situations where a family moved states but failed to close their old account, rather than intentional theft. Senator Elena Rodriguez (D-NY) said she supports program integrity but called the rhetoric "a pretext for a broader assault on the social safety net." WSET reported her statement was issued through an official Senate press release.

Fiscal conservatives, including analysts at the Heritage Foundation, argue the findings justify overhauling how SNAP is funded entirely — pushing for block grants that would force states to take more financial responsibility. The data is already expected to shape the 2027 Farm Bill negotiations, with proposals on the table for biometric verification like photo IDs or digital fingerprinting on EBT cards.

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