Related Federal Cases
- Artful Dodge: Medicare Scam Lands Owner in Hot Water · Pennsylvania
- Crypto Dreams & COVID Cash: Rideshare Driver Accused of $2M Scam · California
- Hand Sanitizer Scam: $2.4M Grab Lands Colorado Man in Court · Colorado
- SoCal Grifter Gets 5.5 Years for SBA Scam · California
- Tax Cheat Gets 18 Months for $1.2M Scam · Alabama
Merced County Store Owner Sentenced for SNAP Scam
Fresno, CA – In a shocking case of government benefit abuse, Suzy Vang Lo, 41, a former store manager from Merced, has been sentenced to 21 months in prison for conspiring to defraud the United States by unlawfully purchasing Supplemental Nutrition Assistance Program (SNAP) benefits from recipients in exchange for cash.
Lo’s scheme, uncovered by the U.S. Department of Agriculture (USDA) Office of Inspector General, involved her husband, Michael Chu Lo, who was also involved in the conspiracy. According to court documents, Lo was the manager of LV Market in Winton, while her husband performed various employee functions at the store.
The Lo’s scheme worked as follows: Suzy Vang Lo would give SNAP recipients cash in exchange for swiping their benefit cards. When the defendants exchanged SNAP benefits for cash, it caused the U.S. Department of Agriculture (USDA) to wire sums of money into an account that Suzy Vang Lo controlled. This practice continued for approximately three and a half years, with the defendants swiping SNAP beneficiaries’ EBT cards and giving them cash in the approximate amount of 69 cents per dollar of SNAP benefits.
Michael Chu Lo even kept notes at the cash registers to warn customers to remain silent during the transactions to avoid detection. He also attempted to hide large transactions by swiping EBT cards multiple times. The Lo’s scheme exploited the program’s needy beneficiaries and misuse the substantial funding that taxpayers provide.
The USDA, through its Food and Nutrition Service, administers SNAP, a food assistance program designed to help low-income individuals and families purchase food. In California, the Food and Nutrition Service authorizes retail food stores to accept SNAP benefits for eligible food items from authorized recipients via the Electronic Benefit Transfer (EBT) system.
U.S. Attorney McGregor W. Scott announced Lo’s sentence, stating that the USDA OIG has the responsibility for protecting the integrity of the Supplemental Nutrition Assistance Program. Protecting the integrity of SNAP is a major investigative priority for OIG. OIG conducts investigations in each region of the United States to deter and uncover criminal activity that undermines important USDA nutrition programs.
Co-defendant Michael Lo is scheduled to be sentenced on July 25, 2018. Assistant U.S. Attorneys Megan A. S. Richards and Jeffrey A. Spivak are prosecuting the case. The USDA OIG, through its Western Region, stated that vendors who engage in SNAP fraud exploit the program’s needy beneficiaries and misuse the substantial funding that taxpayers provide.
Key Facts
- State: California
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
