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Justice News

Department of Justice
U.S. Attorney’s Office
Northern District of New York

FOR IMMEDIATE RELEASE
Monday, December 23, 2013

Hudson Men Arraigned On Food Stamp Fraud Charges

Scheme Generated More Than $340,000

ALBANY, NEW YORK – MOFADDAL M. MURSHED, 36, AHMED A. ALGAHAIM, 54, FAISAL Q. MORSHED, 34, and IBRAHIM Q. MURSHED, 24, were arraigned today on an indictment charging them with conspiring to commit Supplemental Nutrition Assistance Program (“SNAP”) fraud by Magistrate Judge Randolph F. Treece announced United States Attorney Richard S. Hartunian, United States Department of Agriculture, Office of the Inspector General, Northeast Region Special Agent-in-Charge William G. Squires, Jr., Columbia County Sheriff David W. Harrison, Jr., and United States Secret Service Resident Agent-in-Charge William Leege. The case is set for trial on February 24, 2014.

SNAP, formerly known as the Food Stamp Program, uses tax dollars to subsidize food purchases by eligible low-income households. SNAP benefits may only be used to purchase food in approved retail food stores, and may not be exchanged for cash. According to the indictment, MOFADDAL M. MURSHED owned D&D’s Grocery & Deli, where AHMED A. ALGAHAIM, FAISAL Q. MORSHED, and IBRAHIM Q. MURSHED worked as employees. The indictment charges that the defendants generated more than $340,000 in fraudulent proceeds by providing cash to SNAP beneficiaries’ in exchange for SNAP benefits.

If convicted, the defendants face up to five years in prison. They could also be ordered to forfeit the proceeds of the offense and to pay a fine of up to $20,000.

The case was investigated by the United States Department of Agriculture, the Columbia County Sheriff’s Office, and the United States Secret Service, and is being prosecuted by Assistant United States Attorney Jeffrey C. Coffman.

The charges contained in the indictment are merely accusations, and the defendants are presumed innocent until and unless proven guilty.

Updated January 29, 2015