SNAP Defense of a Grocery Store Lawyers

What is SNAP?

The Supplemental Nutrition Assistance Program is referred to commonly as SNAP. It’s a program issued by the United States government to those who struggle with their finances and are unable to provide healthy and basic nutrients to their families. Anyone who receives SNAP benefits is permitted to spend so much money every month on their health and nutrition, and stores that accept these benefits are only permitted to sell specific items to people using their SNAP benefits. It’s the basics, the healthy items people need to care for their families, and other essentials. It’s not for fun items, alcohol, or cigarettes.

When Your Store Receives a SNAP Charging Letter

When a store is permitted to accept SNAP benefits, it increases the business in that store due to the sheer number of people who are issued these government benefits each month. When a store accepts SNAP, the store is required to follow strict laws and rules regarding the acceptance and proper use of these benefits. When a store is suspected of violating the rules, they are sent a SNAP charging letter from the USDA outlining what they suspect is going on in the business and how they plan on taking action against your business. If your grocery store receives a SNAP charging letter, you must hire a SNAP defense attorney right away.

The Importance of Immediate Action

The USDA is very aggressive when it comes to SNAP violations. This is the government’s money, and they want to be sure it’s being used correctly. If your store receives a charging letter, it must be handled appropriately and right away. There is no time to let it sit and forget about it. If you do not respond, you could lose your ability to accept snap benefits due to suspension or permanent revocation of your license. This is a big business loss for anyone who accepts these benefits.

Don’t Incriminate Yourself

When you don’t hire an attorney, you could incriminate yourself even if you feel you’re not doing that. The USDA can use anything you say and do against you, even if you make one comment to them about being unaware there was fraudulent activity in your place of business. You might not be aware of it, but you should always deny that anything is wrong. The best way to handle this situation is to hire an attorney to draft a professional response that doesn’t incriminate your business at all.

Your attorney is going to work with you to disprove what the USDA believes is true of your business. Sometimes it’s difficult to handle this if the evidence they have against your grocery store was found when an undercover investigator went into the business and was allowed to use their snap benefits fraudulently. It’s frustrating when the problem is something you did on your application. You might have knowingly made false claims so you were issued a license to accept snap benefits, or you were given an application to fill out and didn’t understand what it was asking. If you provided false information by mistake, you still face consequences.

USDA Enforcement Mechanisms

USDA Aggression Against SNAP Fraud

The USDA is dedicated to protecting the interests of the American taxpayers. As such, snap violations are treated with utmost seriousness. The federal government has also put measures in place to track snap purchases. This helps them to identify all suspicious transactions and conduct investigations. The USDA also collaborates with other state agencies to ensure that the violators are charged.

Technology Used to Track Violators

The USDA is constantly investing in the latest technologies to ensure that this food program is not abused. One of the key technologies is the use of electronic “audit trail” to identify and track any suspicious activity. The Anti-Fraud Locator is another tool used to monitor the Electronic Benefit Transfer systems. Stores engaging in suspicious activity can easily be tracked and fined heavily. Serious violations can attract a permanent or temporary disqualification.

SNAP Violation Investigation Staff

The USDA has a wing dedicated to snap fraud. The department has over 100 investigators and analysts located in different parts of the country. This team is tasked with analyzing data to check for suspicious activities. They also undertake undercover investigations in collaboration with the police and detectives. The team also prosecutes cases and administers fines and disqualifications for retailers who are guilty of violations. The Department also consults with law enforcement authorities and fraud experts.

DEFENSE TEAM SPOTLIGHT

Todd Spodek

Lead Attorney & Founder

Featured on Netflix's "Inventing Anna," Todd Spodek brings decades of high-stakes criminal defense experience. His aggressive approach has secured dismissals and acquittals in cases others deemed unwinnable.

NY Bar Admitted Multi-State Licensed Federal Courts

Meet the Full Team

Federal Government Action Against Violators

Retailers and store owners found to be misusing the programs stand to face harsh penalties. In 2012 for instance, the Department deployed over 100 investigators to patrol and monitor over 15,000 stores. During these investigations, about 1,400 stores faced permanent disqualification. Most of these retailers were charged with trafficking. Among the 1,400 stores, about 70 received sanctions for other violations such as illegal sales. Serious offenders received prison sentences.

Legal Scenario: What Would You Do?

Scenario

You own a small grocery store that has been authorized to accept SNAP benefits for over a decade. Last week, a USDA investigator showed up unannounced, accused your store of trafficking SNAP benefits based on unusual transaction patterns, and issued a notice that your store is being permanently disqualified from the program.

Can the USDA really shut down my store's ability to accept SNAP benefits without giving me a chance to defend myself first?

Attorney's Answer

The USDA's Food and Nutrition Service has the authority under 7 U.S.C. § 2021 to impose sanctions, including permanent disqualification, against retailers found to have committed trafficking violations. However, you have the right to file an administrative review within 10 days of receiving the charge letter, and if that review is unfavorable, you can request a judicial review in federal district court under 7 U.S.C. § 2023. An experienced SNAP defense attorney can challenge the USDA's evidence, which often relies on statistical transaction analysis rather than direct proof, and argue that the patterns have legitimate explanations such as high-volume customers or seasonal buying trends. In many cases, we can negotiate the penalty down from permanent disqualification to a civil money penalty, allowing your store to continue participating in the program.

This is general information only. Contact us for advice specific to your situation.

To remain on the right side of the law and to avoid harsh penalties, you need to be aware of what constitutes a snap violation.

SNAP Violations Explained