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Tipsheet

Man Pleads Guilty After Federal Prosecutors Uncovered $1.6 Million SNAP Fraud in Milwaukee

Man Pleads Guilty After Federal Prosecutors Uncovered $1.6 Million SNAP Fraud in Milwaukee
AP Photo/Nam Y. Huh

Outgoing Wisconsin Governor Tony Evers has refused to turn over the state's SNAP data to the federal government, amid ongoing investigations into welfare program fraud. It's possible that the state's 700 percent increase in spending on illegal immigrants from 2020 to 2022 has something to do with this, of course, and Evers is running cover for the massive amounts of fraud in his state.

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Federal prosecutors uncovered a SNAP fraud scheme in Milwaukee that cost taxpayers at least $1.6 million. The man behind the scheme, Nael Jabbar, 47, pleaded guilty to to wire fraud and filing a false tax return.

Here's more:

A Milwaukee convenience store owner has agreed to plead guilty to defrauding the federal government's Supplemental Nutrition Assistance Program of more than $1.6 million over the course of about three years.

Nael Jabbar, 47, on Feb. 6 agreed to plead guilty to wire fraud and filing a false tax return, according to a plea agreement. He is scheduled to be arraigned and formally enter his plea on March 17.

Jabbar operated the fraud scheme out of his convenience store, Hot Spot Supermarket, 2643 W. Atkinson Ave., from 2021 through 2024, court records show.

Federal prosecutors said Jabbar exchanged SNAP benefits for cash at a discounted rate and recouped the difference, pulling in more than $1,610,700 he was not entitled to. He then transferred the money from Hot Spot's business bank accounts into his personal accounts, court records show.

Jabbar spent the money on loan and credit card payments, retail goods, including some luxury items, and payments to Unlimited Vacation Club – a travel membership that offers preferred rates, discounts and VIP perks at luxury resorts – among other things.

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These programs were meant to help the poor and needy. Not as a slush fund for fraudsters. Yet that's what keeps happening.

Everything needs to be, and should be, audited.

It is against federal law to exchange food stamps for cash, and that's not "freedom." That is defrauding the system, and it's against the law.

Of course Milwaukee will beg for a bailout.

Yes, Evers is refusing to allow the feds to audit Wisconsin's SNAP program. The Trump administration should suspend SNAP payments to the state until Evers complies, even if it means Wisconsinites go without. Evers is the one forcing the fed's hands.

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