Irving Feldman Sentenced in $1.2M Food Stamp Fraud

Pittsford man Irving Feldman, 62, is behind bars after being sentenced to 12 months in federal prison for masterminding a $1.2 million food stamp fraud scheme that preyed on the poor and gutted a vital nutrition program. U.S. District Judge Frank P. Geraci, Jr. also ordered Feldman to pay $729,630 in restitution for the scam that spanned nearly six years.

Feldman, owner of Upstate Fish, Inc. at 826 Joseph Avenue in Rochester, NY, was authorized to accept Electronic Benefit Transfer (EBT) payments—federal food assistance issued by the USDA. But instead of running a legitimate business, he turned his fish market into a cash-for-benefits operation. Between January 2010 and October 2015, Feldman bought EBT benefits from recipients for less than half their value, pocketing the difference in cold, hard cash. Total fraudulent transactions: $1,227,063.

The scam went deeper. Feldman directed EBT cardholders to buy fish from rival stores using government funds, then bring the purchases back to his shop. He’d hand them cash—less than what they’d paid—and keep the goods and the full EBT value. This secondary hustle cost the system another $202,620. The fraud was so brazen, prosecutors called it a “real-life fish story”—a double-meaning pun on his trade and the stench of deception.

“The schemes concocted by defendant—real-life fish stories—resulted not only in nutrition assistance being withheld from low-income individuals but also led to significant sums of money being fraudulently diverted from the needy to defendant,” said U.S. Attorney James P. Kennedy, Jr. Kennedy praised the multi-agency task force that cracked the case, calling it a win for accountability in federal welfare programs.

New York State Inspector General Catherine Leahy Scott didn’t mince words: “This corner fish market was a front for the owner’s brazen seven-figure criminal scheme in which he took advantage of society’s most financially vulnerable, as well as our critical welfare system, for his own personal greed.” She vowed continued crackdowns on corrupt business owners exploiting public aid.

The takedown was led by the USDA Office of Inspector General, Rochester Police Economic Crimes Division, Monroe County Department of Social Services, Homeland Security Investigations, and the New York State Office of Inspector General. Assistant U.S. Attorney Richard A. Resnick prosecuted the case, ensuring Feldman couldn’t swim away from justice.