Orange County cracks down on massive fraud involving EBT, CalFresh

Orange County authorities Friday detailed a crackdown on what they say is an organized crime scheme led by Romanian immigrants that target public assistance benefits recipients.

Orange County District Attorney Todd Spitzer held a news conference Friday, revealing the arrests of 48 individuals involved in a countywide skimming operation targeting recipients of government assistance and their EBT cards.

"It is organized crime, and they've targeted the ease in which California has made this government assistance card vulnerable," stated Spitzer. 

The suspects were found to have ties to organized crime, with evidence including 491 cloned public assistance cards, potentially loaded with almost half a million dollars worth of stolen funds, authorities said. The alleged thieves also utilized CalFresh benefits to purchase baby formula for resale in Mexico.

"While people are putting in their PIN numbers, those eligible for government assistance are putting in their key pin, and [criminals are] recording those strokes, those numbers," warned Spitzer.

Spitzer revealed that, statewide, California lost $108 million in CalWORKs benefits in 2023 alone due to fraud. He advocated for enhanced security measures, proposing the inclusion of protective microchips in EBT cards, similar to those in most credit cards.

"I'm calling on the legislature and governor today to put the credentials into the EBT card that we had when the governor issued the middle-class tax refund," urged Spitzer.

Consumers are advised to cover their hands when entering PINs during point-of-sale purchases and to avoid using devices that appear bulky or loose in stores, as they may harbor skimming devices.