A New York man and his company have been indicted by Ohio officials on charges of defrauding Ohioans of over $125,000 in SNAP benefits in 2023.
The Ohio Investigative Unit and Cuyahoga County prosecutors have announced charges on Monday against Hafedh Al-Gahim, a 52-year-old resident of Brooklyn, New York, and the company he owns, Buffalo Discount Corp.
The Ohio Department of Job and Family Services, in collaboration with local law enforcement agencies, has been alerted to multiple cases of stolen benefits. These incidents involve individuals known as “skimmers,” who use point-of-sale terminals to obtain card numbers and personal identification numbers.
Fraudsters then exploit those skimmed numbers in fraudulent transactions, often depleting the entire balance.
In 2023, Ohio agents received a warning about suspicious transactions taking place at a Brooklyn bodega. It was discovered that over a five-week period, there were more than 370 transactions involving Ohio recipients in the Supplemental Nutrition Assistance Program (SNAP).
Agents found that all the transactions were fraudulent. They discovered that Ohio EBT card details were being used at the Brooklyn store every 30 to 45 seconds for transactions as high as $800.
According to officials, Al-Gahim and Buffalo Discount have been held accountable for the incident. They allege that Al-Gahim withdrew significant amounts of cash and utilized the funds for personal expenditures, including dining and leisure activities.
Al-Gahim and the company have been indicted by a Cuyahoga County grand jury on charges of theft, illegal use of EBT, money laundering, and telecommunications fraud. EBT stands for electronic benefit transfer.
“I applaud the hard work of the Ohio Investigative Unit in their investigation of Hafedh Al-Gahim – which led to the indictment,” Cuyahoga County Prosecutor Michael C. O’Malley said. “Our office will hold him accountable, and I urge anyone to report suspicious transactions to the Ohio Department of Job and Family Services.”