New York retailer indicted for stealing nearly $650,000 from Ohio SNAP recipients

A Brooklyn, New York, retailer has been charged with illegal use of SNAP benefits, telecommunications fraud, aggravated theft and money laundering, with Ohio investigators alleging the retailer stole more than $640,000 in Supplemental Nutrition Assistance Program benefits from Ohio recipients.

The Ohio Investigative Unit and the Cuyahoga County Prosecutor’s Office announced that a Cuyahoga County grand jury handed down an indictment against Hot Spot Convenience 2 and its principal operator, 52-year-old Raed Subhi Abu Mohammad, based on an investigation by OIU agents.

Mohammad is accused of processing nearly 3,000 illegal Electronic Benefits Transfer Card transactions, totaling more than $643,000 in SNAP benefits stolen from Ohio recipients, according to the indictment. He defrauded more than $260,000 in SNAP benefits from Cuyahoga County victims.

OIU agents reviewed SNAP recipient complaints and analyzed out-of-state use of Ohio EBT cards. Investigators said nearly all stolen EBT card data is ultimately used by fraudulent retailers outside of Ohio.

“We hope this case serves as a reminder that the Ohio Investigative Unit will pursue anyone, anywhere when they victimize our most vulnerable population,” OIU Senior Enforcement Commander Greg Croft said in a release. “We have a duty to protect the citizens of the State of Ohio and the integrity of Ohio’s EBT program, regardless of where these bad actors operate from.”

SNAP fraud in Ohio costs millions annually, primarily through organized card skimming and participant eligibility issues, according to the Ohio Department of Job and Family Services.

In May, ODJFS Director Matt Damschroder announced additional anti-fraud measures were being put in place to deter scammers and protect Ohioans receiving SNAP benefits.

The enhancements, which also apply to the Summer EBT/Sun Bucks program, include requiring individuals to unlock their cards to complete out-of-state or online purchases.

In the past six months alone, the ODJFS SNAP fraud analytics team identified nearly 56,000 suspicious out‑of‑state transactions affecting 12,900 Ohio EBT accounts, totaling more than $6.3 million.

“Criminals from other states and online continue to prey on vulnerable Ohioans who rely on food assistance to feed their families,” Damschroder said. “It’s a simple step that still allows for out-of-state and online purchases while dramatically reducing the risk of theft.”

That’s exactly what prosecutors allege happened in the Cuyahoga County case against Brooklyn-based Hot Spot Convenience 2. Mohammad, through Hot Spot Convenience 2, is accused of fraudulently obtaining the federal Food and Nutrition Service permit number of a legitimate retailer.

Prosecutors allege Mohammad then used that fraudulent account to conduct unauthorized transactions on compromised Ohio EBT cards between March 2024 and January 2025.

SNAP benefits in Ohio are issued to recipients through the EBT cards. The program has been plagued by widespread fraud, often due to “skimmers” that capture card numbers and PINs from point-of-sale terminals.

OIU, in partnership with the Ohio Department of Job and Family Services and local law enforcement agencies, has received numerous reports of stolen benefits. The scammers typically deplete the entire balance through fraudulent transactions.

During the investigation into Hot Spot Convenience 2, agents interviewed numerous SNAP recipients who had never traveled to New York.

Most transactions occurred between midnight and 4 a.m. and included as many as 12 consecutive transactions on the same stolen EBT card account, fraudulently depleting the entire balance.

During December 2024 alone, Mohammad allegedly processed nearly $240,000 in fraudulent transactions. Mohammad then made large cash withdrawals and wire transfers to immediately liquidate the stolen benefits, according to the indictment.

As a result of the investigation, Mohammad was arrested on June 4 by the New York City Police Department. He will be extradited to Ohio, at which time an arraignment date will be set in the Cuyahoga County Common Pleas Court.

Agents were assisted in the investigation by the U.S. Department of Agriculture Office of Inspector General, Food and Nutrition Services Office of Retailer Operations and Compliance, and the U.S. Secret Service.