The operation was dubbed “Operation Easy Money”.  Apparently the name was a pretty accurate reflection for the 62 individuals involved in food stamp fraud in Palm Beach County, Florida.  Store employees rang purchases, giving cash back to the holder of government issued food stamp cards, and keeping a cut for the store – or themselves.  Little or no food changed hands.  The simple fraudulent transactions converted the food stamps to cash, thus – easy money.

The individuals identified in the 18 month investigation involving several police jurisdictions were arrested on multiple counts of felony fraud.  The amount of money stolen in this case – just under $300,000!  “This type of fraud not only hurts those that need it the most, but also hinders our nation’s economic efforts,” says Palm Beach County Sheriff Ric Bradshaw.

I think that is a great comment.  Now let me share another story along the same lines of our easy money theme.  A similar investigation in Kingston, NY just wrapped up last month, where alleged food stamp fraud occurred at a Sunoco gas station.  In less than two years, $1 million was stolen (allegedly) in food stamp fraud – in one location!  The gas station normally processed $1,000 - $2,000 per month in food stamps.  In January, 2009 the location’s food stamp processing jumped to $6734 and escalated each month until the arrests last month when the gas station processed $60,000 in food stamps – EASY MONEY!  The police are now waiting for a worker at the gas station to return to the US after he conveniently left the country “on vacation” to India the day before the arrest warrants were issued.

For me this is disturbing on several levels.  This is two incidences of fraud well over $1.3m.  Our economy is mired in one of the worst recessions in history and many displaced workers are in dire need of government assistance to survive.  The management oversight of the food stamp program is certainly stressed because of such an increase of recipients.  Is the dishonesty of converting the food stamps into cash desperate acts to survive in a poor economy or are thieves and cheats taking advantage of opportunity?  Are business ethics being eroded to gain a competitive advantage in the marketplace?

I wonder - how many more fraud cases are out there, and how deep this goes?  I am guessing there are a lot more in pursuit of “easy money”.