How has SNAP fraud in New York changed over the past five years?

1. What the numbers in the reporting actually say: a spike in claims and several large-dollar cases

National and local coverage records a sharp rise in reported SNAP thefts in the recent period: Newsweek reported that New York accounted for 151,000 claims made between 2023 and March 2025 and that fraudulent SNAP transactions rose 55% between the final quarter of fiscal 2024 and the first quarter of fiscal 2025 ^[2]. Separately, reporting and government action reference roughly $40 million in reimbursements to New Yorkers since 2022 and a broader figure of $65–$80+ million referenced in state and media accounts for stolen assistance during overlapping periods ^{[1] [5] [2]}. The U.S. Department of Justice unsealed an indictment in May 2025 charging six people over a scheme that generated more than $66 million in unauthorized SNAP transactions—an example of a single, large criminal enterprise now in the public record ^[3].

2. How much of the change is fraud vs. detection and reimbursement shifts

Advocates and reporters note that increases in reported fraud can reflect both more theft and better detection or reporting mechanisms. New York has reimbursed significant amounts since 2022, which suggests that more victims filed claims and federal reimbursements flowed back to households—New York was said to account for nearly 18% of USDA reimbursements since 2022 in one analysis, around $40 million ^[1]. At the same time, a large criminal indictment and high-profile media attention likely boosted detection and complaint rates, so rising claim counts may be a mix of more incidents and more reporting ^{[3] [2] [1]}.

3. Common fraud patterns identified in reporting

The coverage highlights electronic theft techniques—card skimming, cloning, phishing—and organized rings exploiting retailer enrollment processes or insiders. The DOJ complaint describes defendants obtaining fraudulent EBT terminals for ineligible stores and a USDA employee allegedly funneling license numbers and documents to co‑conspirators, enabling tens of millions in unauthorized transactions ^[3]. Local reporting and advocacy groups emphasize “skimming” at point-of-sale devices as a recurring pattern tied to organized fraud rings ^{[4] [1]}.

4. Policy and administrative responses noted in the sources

Lawmakers and advocates are pushing for technological fixes and compensation funds: proposals include moving from magnetic-strip EBT cards to encrypted chip cards (as used by credit/debit cards) and state funding to reimburse victims and prevent theft ^{[1] [5]}. Federal legislative proposals to restore reimbursements for victims and to mandate better EBT cybersecurity were also reported as being introduced or discussed ^{[2] [5]}. Meanwhile, New York’s OTDA and hunger‑relief organizations set deadlines and guidance around replacement-claim windows tied to federal policy changes through late 2024 and 2025 ^{[6] [7]}.

5. How widespread victim experience may differ from formal claims

Survey and reporting data suggest undercounting: a Propel survey cited by New York Focus found over 2,500 of nearly 12,000 respondents reported having SNAP benefits stolen within the past year—indicating many victims may not be reflected in federal reimbursement tallies ^[4]. Advocacy pieces warn that many recipients do not notice missing funds or lack knowledge to file claims, meaning official reimbursement totals are likely conservative relative to actual theft ^{[1] [4]}.

6. Competing perspectives and implicit incentives

Analysts differ on scale and systemic impact. Some commentators frame large-dollar schemes as a small share of overall SNAP spending—one policy piece argued a $66 million scheme averaged about $13.2 million per year, about 0.2% of New York’s SNAP spending in a cited year—arguing limited fiscal impact but acknowledging harm to individual recipients ^[8]. By contrast, advocates and some lawmakers stress the human toll—tens of thousands of households left without food when benefits are stolen—and call for structural fixes and victim compensation ^{[5] [1]}. The Texas Policy piece also raises a political-economic point: because federal dollars ultimately reimburse benefits, state actors may face weak incentives to invest heavily in fraud prevention ^[8].

7. Limits of the available reporting and open questions

Available sources do not provide a continuous, audited five‑year time series of fraud incidence and dollars specific to New York; reporting mixes reimbursement totals, DOJ case amounts, survey estimates, and claim counts across overlapping time windows ^{[2] [3] [1] [4]}. Sources do not mention a definitive annual breakdown for every year over the past five years, so exact year‑to‑year trajectories, the share due to insider vs. street‑level skimming, and the full universe of unreported victim losses remain unquantified in current reporting (not found in current reporting).

8. Bottom line for readers

Available reporting shows a pronounced rise in the visibility and reported scale of SNAP electronic-theft in New York since 2022, driven by both major criminal schemes (including a $66 million indictment) and growing numbers of reimbursement claims and survey-reported victimizations; advocates and some lawmakers are pushing technological upgrades and compensation, while others emphasize the relative fiscal scale and the policy incentives shaping state responses ^{[3] [2] [1] [4]}.