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PROVIDENCE

US prosecutors detail food stamp fraud

August 20, 2011

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A former 7-Eleven franchisee in Rhode Island has been accused of taking food stamp benefits for cash at his Providence convenience store. A complaint unsealed yesterday in US District Court in Providence says Syed Shah, 43, charged customers about $30 to $40 in food stamps for every $50 they sought in cash. The complaint does not disclose how much investigators believe Shah fraudulently pocketed in food stamp benefits. Investigators say food stamp redemptions at his store rose from $228,000 in 2008 to nearly $1 million last year. Court filings show Shah was released on unsecured bond. He is charged with conspiracy to acquire and possess supplemental nutrition assistance program benefits. (AP)