BOSTON — Criminal charges have been lodged against four people who federal prosecutors say stole vast amounts of taxpayer money in a massive fraud scheme in New England involving SNAP and pandemic-era government benefits.
More than $1 million in governmental benefits were stolen using more than 100 stolen identities as part of a multi-state fraud scheme, federal prosecutors said in Boston on Tuesday.
One of the people charged, Raul Fernandez Vicioso of Fitchburg, used government supplemental assistance benefits, also known as SNAP, to buy food for his Leominster restaurant, which he then sold to customers, federal officials said.
Vicioso was caught on camera taking a cart full of meats and groceries using fraudulent SNAP benefits, prosecutors said.
Vicioso used fraudulent SNAP EBT cards to buy food from local stores, including BJ’s Wholesale in Leominster and Hannaford supermarket in Leominster, prosecutors said. He ultimately used that food to supply El Primo restaurant in Leominster.
Proceeds from the scheme were then wired to people in Venezuela and the Dominican Republic, officials said.
“This fraud is nationwide. We are doing what we can to stop that nationwide,” U.S. Attorney Leah Foley said during a press conference on Tuesday morning.
Authorities have charged the following people by criminal complaint:
- Joel Vicioso Fernandez, 42, of Fitchburg;
- Roman Vequiz Fernandez, 32, a Venezuelan national living in Leominster;
- Coralba Albarracin Siniva, 24, a Venezuelan national living in Leominster; and
- Raul Fernandez Vicioso, 37, of Fitchburg.
Raul Fernandez Vicioso has been charged with Conspiracy to Commit SNAP Fraud, Conspiracy to Commit Wire Fraud, SNAP benefit Fraud, Aiding and Abetting and Money Laundering.
According to the charging documents, the accused bought and used stolen personal information of over 100 real people from multiple states to fraudulently obtain SNAP benefits.
The stolen identities were used to create 24 “households” in SNAP applications. Prosecutors said all of these applications, submitted in the names of over 100 people, were listed as living in two single-family apartments in Providence, Rhode Island.
A number of the stolen identities from Connecticut, Florida, Kentucky, New Jersey, New York, Pennsylvania and Puerto Rico were used to fraudulently obtain SNAP benefits in Massachusetts and Rhode Island.
Prosecutors allege that Raul Fernandez Vicioso and Joel Vicioso Fernandez used their own personal information to create fraudulent SNAP benefit accounts that were found commingled among the victim identities in the applications.
In support of the fraudulently submitted SNAP applications, the accused allegedly provided images of counterfeit passports and passport cards, with metadata indicating the images were taken inside or within the immediate vicinity of El Primo Restaurant – a restaurant operated by Raul Fernandez Vicioso in Leominster.
The accused allegedly used the fraudulent SNAP benefits cards to buy large quantities of expensive bulk food items (such as multiple-pound packages of chicken, beef and pork) at various local wholesalers and food markets to stock El Primo Restaurant at no expense.
With their supplies obtained for free through fraudulent SNAP benefits, prosecutors said they prepared and then sold menu items at El Primo Restaurant at a complete profit, later wiring the fraud proceeds, among other places, to individuals living in Venezuela and the Dominican Republic.
According to the charging documents, between April 2020 and December 2021, the accused further enriched themselves by over $700,000 by submitting fraudulent applications and supporting documents for pandemic unemployment benefits in Massachusetts, New York, Pennsylvania, Ohio and Nevada.
The fraudulent pandemic unemployment benefits were issued in the names of Raul Fernandez Vicioso, Joel Vicioso Fernandez and in the names of suspected identity theft victims, including identities common to the related SNAP benefit fraud.
At least 29 different identities were allegedly used in PUA applications in six different states – all of which listed the address for El Primo Restaurant as the residential address.
Bank records obtained during the investigation detail approximately $276,021 in fraudulent PUA benefits deposited into bank accounts held in the names of the El Primo Restaurant, Raul Fernandez Vicioso, Joel Vicioso Fernandez and other co-conspirators, prosecutors said.
Other fraudulent PUA benefits were allegedly issued to prepaid cards using the identities of various individuals using their known addresses and telephone numbers.
During searches of Raul Fernandez Vicioso’s home and the El Primo Restaurant, investigators found fraudulently-obtained Massachusetts and Rhode Island EBT cards, fraudulent documents bearing a Providence address involved in the alleged scheme, printed ledgers and handwritten lists of more than 100 identities and SNAP-related mailings.
The charge of Conspiracy to Commit SNAP Fraud provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000.
The charge of Conspiracy to Commit Wire Fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000
The charge of illegal acquisition or use of SNAP benefits provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000.
The charge of money laundering provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $500,000 or twice the amount involved in the transaction, whichever is greater.
Anthony D’Esposito, Inspector General for the U.S. Department of Labor, echoed Foley’s comments on Tuesday.
“This case is not a one-off,” D’Esposito said during the press conference. “This is something that is happening throughout the United States of America. When there’s no checks and balances in place... fraud ensues.”
The criminal charges announced Tuesday occurred as authorities are working to catch and prosecute “criminals who are stealing from the taxpayers,” Foley said.
“This is in the public’s interest. The public needs to know what its officials are doing to protect the taxpayer dollars,“ Foley said.
The goal, officials said, is to root out waste, fraud and abuse from across the country, including in Massachusetts.
“The work continues. It never stops for us,” Michael Krol, special agent in charge of Homeland Security Investigations in New England, said to reporters on Tuesday.
The public can report fraud, waste or abuse to the Council of the Inspectors General for Integrity and Efficiency by clicking here.
This is a developing story. Check back for updates as more information becomes available.
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