Food Stamp Fraud Prevention

Predict and Identify Food Stamp Fraud - before it Happens

Through our partnership with Information Builders we are able to provide myriad government solutions leveraging world class software. With the rise of economic struggles across America, states are facing an epidemic rise in food stamp assistance requests. According to the food stamp program statistics, now named SNAP (Supplimental Nutritional Assistance Program), some states have seen an increase of 20-30% from Jan 2010 - Jan 2011. States leading the most increased usage of the food stamp program are Utah (29%), Nevada (24%), Florida (22%), New Jersey (21%) and Delaware (21%). Because food stamps can only be used to purchase specific food items, food stamp recipients cannot buy alcohol, cigarettes, soaps, toilet tissue, pet food, medicines or other non-food items with food stamps.

Trafficking in food stamp benefits, also known as discounting, food stamp fraud or SNAP fraud, is usually a case of food stamp recipients selling their benefits to dishonest grocers for cash rather than food. The grocers pay the recipient considerably less than the face value of the stamps, and then pocket the difference. With millions of transactions occurring over a large geographic area, detecting patterns of fraudulent activity can be difficult. However, a problem like food stamp fraud is substancially decreased with the use of business intelligence tools like geographic information system (GIS) technology, which links spatial data with descriptive information to solve real-world problems.

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Of course, a GIS is only as good as the underlying data, which is why Impact Solutions FraudPrev™ solutions leverage GIS solutions, Predictive Analysis tools and techniques and Business Intelligence Software. We add geographic analysis capabilities to analytical reports. With a Impact Solutions FraudPrev™ solution, your Department of Social Services can use data from whatever systems it may reside in (mainframe, any database, Excel, Access, Flat File), transform it into valuable business information, and interpret complex relationships that might otherwise be difficult to detect.

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Impact Solutions FraudPrev™ Food Stamp (FS) module detects food stamp fraud suspicious activity then prioritizes and routes the resulting alerts to the appropriate decision makers. It uses a neural network of intelligent, learning, predictive algorithms to uncover previously hidden linkages between participants and providers engaged in food stamp fraud to facilitate the investigation, capture and display of key information pertinent to the case. Impact Solutions can host your State or Local government entity’s extensive recipient data in a secure environment in order to expedite implementation, and free up resources the county would have to devote to additional staff and hardware. When deployed, the technology can actually prevent food stamp fraud before it occurs.

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