DENVER - An undercover camera investigation conducted by 9Wants to Know reveals the illegal trade of food stamp funds through online marketplaces like Craigslist.
"They're taking benefits away from the person who is actually eligible for them," said welfare fraud investigator Shawn Southard of the El Paso County Human Services Department. "The people who sign the application know that they shouldn't be doing this."
9Wants to Know found several people online blatantly selling their food stamp funds in the Denver area.
"I will trade $200 in food stamps for $100 in cash asap," one Denver ad said.
A search on Craigslist revealed similar ads from all over the country.
9Wants to Know went undercover to meet two men who posted their food stamps for sale.
A man who called himself "Dibsy" said he wanted $60 cash in exchange for $100 worth of food during a meeting at a Stapleton grocery store.
He explained on hidden camera that he would swipe his Georgia EBT card in the checkout line for the money.
When asked to give an explanation in front of a TV news camera, Dibsy said he wanted the cash for shelter.
"I guess I really want to go sleep inside because it really sucks sleeping outside. And I'm not a person that wants to go stealing from anybody or do anything else," Dibsy said
9Wants to Know attempted to contact homeless shelters for Dibsy, but he didn't seem enthusiastic about receiving the help.
"It doesn't seem like it works," Dibsy said. "Have you seen the people that go there?"
9Wants to Know met another man who called himself Brandon in Boulder. He was attempting to sell $99 worth of food stamps for $60 cash.
Brandon ran off, evading our questions when we revealed we worked for a news station.
"We don't take ignorance as an excuse," said Southard, who ended up posting her own ad on Craigslist to warn people about the illegality of the trade. "The people who definitely need it, are definitely not selling them."
Southard, who is also the president of the Colorado Welfare Fraud Council, said the men profiled in this report are now being investigated.
FRAUD RARELY HAPPENS
The U.S. Department of Agriculture distributed about $70 billion in food stamp funds across the country last fiscal year.
Only about a penny out of every food stamp dollar is misused according to agency estimates, which is based on state reporting.
In Colorado, data obtained from the USDA by 9Wants to Know shows about $1.4 million dollars in food stamps were misused in Colorado last fiscal year.
HOW TO REPORT FRAUD
According to the Colorado Welfare Fraud Council, county human service agencies are primarily responsible for enforcement.
Cases can be prosecuted on the state and federal levels, resulting in felony convictions and sometimes prison sentences.
In Colorado, people can call 877-934-6361 to report fraud.
(© 2015 KUSA)
