6 Facing Charges in $2.5M Food Stamp Scam

Six people, including two Lawrence, Massachusetts, convenience store owners, have been arrested in what prosecutors say was a scam to defraud the food stamp program out of $2.5 million.

Prosecutors say the four small stores caught the eye of the U.S. Department of Agriculture, which oversees the federal food stamp program, because a majority of sales transactions were greater than $100.

Authorities say the store owners as well as several clerks allowed people with EBT cards to withdraw cash while the stores kept a substantial fee.

The owner of three stores was held on $500,000 bail after pleading not guilty to trafficking in EBT benefits, money laundering and larceny.

Investigators say during a three-year period, the man's stores brought in $2.19 million in food stamp revenue but spent only $300,000 on inventory.