Los Angeles Employer Canned with Fraud Charges

A South Los Angeles grocer accused of buying EBT cards from welfare recipients at a cut rate, then using the cards to purchase items from other markets to stock his shelves and resell merchandise for higher prices was charged with fraud, the Los Angeles County District Attorney’s office announced recently.

Sabino Reynoso Cedano, 59, is charged in case No. BA387794 with four felony counts: food and nutrition benefits fraud, computer access fraud, access card benefits theft and multiple access card theft. The complaint alleged the crimes occurred over the past year.

Cedano was arrested by investigators with the District Attorney’s Bureau of Investigation when a search warrant was served at his two stores on South Normandie Avenue and his home in Inglewood. He was freed on $20,000 bail. The case against him was filed by Deputy District Attorney William Clark of the Public Assistance Fraud Division.

Investigators said Cedano purchased Electronic Benefit Transfer (EBT) cards and the welfare recipient’s PIN number at less than the card actually was worth. He used the cards to purchase items such as sodas, chips and candy, which he resold at higher prices at his South Los Angeles markets, investigators added.

The EBT cards are issued to those who apply for aid through the Department of Social Services (DPSS) and the amount placed on the cards is to be used only by the recipient to purchase food. They are not to be sold or used by anyone other than the recipient.

Investigators with the DPSS and the U.S. Department of Agriculture are participating in the case.

If convicted as charged, Cedano faces a possible maximum state prison term of five years.