The Food-Stamp Crime Wave
By JAMES BOVARD JUNE 23, 2011
Millionaires are now legally entitled to collect food stamps as long as they have little or no monthly income. Thirty-five states have abolished asset tests for most food-stamp recipients. These and similar "paperwork reduction" reforms advocated by the United States Department of Agriculture (USDA) are turning the food-stamp program into a magnet for abuses and absurdities.
The Obama administration is far more enthusiastic about boosting food-stamp enrollment than about preventing fraud. Thanks in part to vigorous federally funded campaigns by nonprofit groups, the government's AmericaCorps service program, and other organizations urging people to accept government handouts, the number of food-stamp recipients has soared to 44 million from 26 million in 2007, and costs have more than doubled to $77 billion from $33 billion.
The USDA's Food and Nutrition Service now has only 40 inspectors to oversee almost 200,000 merchants that accept food stamps nationwide. The Government Accountability Office reported last summer that retailers who traffic illegally in food stamps by redeeming stamps for cash or alcohol or other prohibited items "are less likely to face criminal penalties or prosecution" than in earlier years.
Lax attitudes toward fraud are spurring swindles across the nation:
• Earlier this month, the Milwaukee Journal Sentinel revealed that Wisconsin food-stamp recipients routinely sell their benefit cards on Facebook.
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