2 Investigators: Benefits Fraud Runs Rampant

October 17, 2011 12:00 AM " CHICAGO (CBS) — Link cards are supposed to help families across the country that are out of work or struggling financially to put food on the table.

It’s the modern-day version of food stamp, and it’s all funded by taxpayers. But local convenience store operators are getting their hands on the cards and profiting without selling any food, 2 Investigator Dave Savini reports.

Nationwide, the problem is so bad, it is estimated there is $330 million in Link Card fraud each year.

Some local merchants are facing criminal charges following a sting by Cook County Sheriff’s police.

During one undercover sting, a store clerk was caught paying cash for a Link Card. The grocer makes a big profit by giving out less cash than the value of the card. It’s an illegal practice because Link Cards only can be used to buy food and household items.

In Illinois alone, $251 million in Link Card food assistance is given to recipients each month. The big bucks are badly abused, says Cook County Sheriff Tom Dart.

“I could do Link Card cases every minute of the day, and use every person that works for me, and I’m still not going to be able to get out in front of this thing,” he says. "

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