SHARE

Newark Merchant Admits Taking Part In $3.5 Million Food Stamp Scam

The former manager of a Newark supermarket admitted taking part in a multi-million scheme to defraud the federal Supplemental Nutrition Assistance Program, U.S. Attorney for New Jersey Craig Carpenito said. 

A Newark man admitted he helped defraud the federal SNAP nutrition assistance program of millions of dollars.

A Newark man admitted he helped defraud the federal SNAP nutrition assistance program of millions of dollars.

Photo Credit: Google

Juan Pedorno ran M&R Supermarket from October 2015 to September 2018, a period when the market was accepting SNAP payments via specially issued debit cards. The federally funded SNAP program, formerly known as food stamps, allows users to purchase food but the benefit cannot be exchanged for cash. 

But authorities say Pedorno, along with his son Jose, did just that, exchanging SNAP benefits for cash with an undercover law enforcement agent on nearly a dozen occasions.  

Authorities also say the bank account of M&R Supermarket showed numerous cash withdrawals in excess of $10,000 by Juan Perdomo and his wife, Maria Rodriguez, as well as several cashed checks in excess of $10,000 by Jose Perdomo.

Pedorno pleaded guilty to SNAP fraud and aiding in the preparation of a fraudulent tax return. He is scheduled to be sentenced in January. 

 Jose Pedorno previously pleaded guilty to SNAP benefit fraud and money laundering. The charges against Rodriguez remain pending. 

to follow Daily Voice Essex and receive free news updates.

SCROLL TO NEXT ARTICLE