Waterbury Store Worker Guilty of $3.2M Food Stamp Fraud

Waterbury, CT – In a major setback for the Supplemental Nutrition Assistance Program (SNAP), Tallat Mahmood, 64, of Waterbury, waived his right to be indicted and pleaded guilty yesterday in Hartford federal court to one count of unlawful use of food stamp benefits and one count of conspiracy to commit food stamp fraud.

The SNAP program, administered by the USDA’s Food and Nutrition Service, is designed to provide low-income households with the means to improve their diet. Mahmood, employed at WB Trade Fair Grocery on Willow Street in Waterbury, was accused of allowing customers to redeem their food stamp benefits for cash and other ineligible items from November 2014 to June 2016.

According to court documents, the illegal activity resulted in a loss of approximately $3.2 million during an 18-month period, far exceeding the store’s lawful redemption limit of between $120,000 to $240,000 per year.

On August 18, 2016, Mahmood was arrested and released on a $50,000 bond. Sentencing is scheduled for July 12, 2017, before U.S. District Judge Vanessa L. Bryant, where he faces a maximum term of imprisonment of 10 years, fines up to twice the gross loss from the offense, and restitution.

This investigation is being conducted by the U.S. Department of Agriculture, Office of Inspector General, with prosecution handled by Assistant U.S. Attorneys Anastasia King and Neeraj Patel.

WB Trade Fair Grocery has been a focal point in this fraudulent scheme, and the community remains on edge as they await the outcome of Mahmood’s case.

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