Food stamp fraud charge at Sparks liquor store

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Updated: 3/05/2013 6:26 pm

SPARKS, Nev. (AP) — The owner of a Sparks liquor store has been arrested on charges of food stamp fraud.

State law enforcement officers say they arrested 49-year-old Lokman Houssain Babu on Monday after serving search warrants on his SUV and his Bank of American business account as well as the Discount Center Liquor and Convenience Store he owns on Oddie Boulevard.

Detectives say Babu and other store employees bought food stamps on Electronic Benefit Transfer cards from customers for 50 cents on the dollar. They're accused of acting as a broker to distribute the cards to others and using them at full face value to buy food for themselves or businesses.

The state Welfare Fraud Unit, Washoe County sheriff and Nevada Department of Public Safety launched the investigation last summer.


©2013 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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Kramer - 3/5/2013 11:50 AM
0 Votes
I recall Babu, the Pakistani character on 'Seinfeld' who was deported because Jerry didn't get his mail forwarded. Oy vey this is a scam!

Alexhjkikl - 3/5/2013 10:57 AM
3 Votes
So obousily people who are selling their food stamps for half their price are not needy. The people or persons who sold their food stamps are pigs they used this man to support their addictions! I bet the people who snitched on him were some sort of drug addicts looking for another fix!

bigtimeMark - 3/5/2013 10:32 AM
1 Vote
It's good that he was caught. The food stamp program was designed to help the needy not the greedy. All measures should be taken to prevent fraud and abuse of the system. http://www.foodstampbalance.org/
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