Federal authorities have charged a U.S. Department of Agriculture employee and five others in a wide-reaching fraud and bribery scheme. Prosecutors allege the group defrauded the Supplemental Nutrition Assistance Program (SNAP) of $66 million through unauthorized transactions. The U.S. Attorney’s Office for the Southern District of New York described the operation as “one of the largest food stamp frauds in U.S. history.”
Fake EBT Terminals and Transactions
This Article Includes
Michael Kehoe—who has no known connection to Missouri Governor Mike Kehoe—allegedly led a New York-based network that manipulated the system to distribute around 160 electronic benefit transfer (EBT) machines to unqualified businesses. These included smoke shops and other ineligible retailers.
The scheme involved processing fake or illegal EBT transactions, resulting in over $30 million in activity that violated federal law.
Insider Involvement at the USDA
Arlasa Davis, a longtime USDA employee, is accused of playing a key role. She worked in the department responsible for identifying and preventing SNAP fraud. Prosecutors say Davis exploited her access to internal systems by photographing handwritten lists of valid EBT license numbers—intended only for approved stores—and sending them to her co-conspirators.
Those stolen credentials were allegedly used to secure EBT terminals for businesses not authorized to accept SNAP benefits, including smoke shops.
In return, Davis reportedly accepted bribes disguised as “birthday gifts” or “flowers,” according to the Department of Justice.
U.S. Attorney’s Statement
“Michael Kehoe and his co-conspirators misappropriated tens of millions of dollars in taxpayer funds meant to help low-income families put food on the table,” U.S. Attorney Perry Carbone said. “This fraud was made possible when USDA employee Arlasa Davis betrayed the public trust by selling confidential government information to the very criminals she was supposed to catch. Their actions undermined a program that vulnerable New Yorkers depend on for basic nutrition. These charges should be a reminder that those who exploit anti-poverty programs for personal gain will be held accountable for their crimes.”
Charges and Penalties
The six individuals charged—Michael Kehoe, Mohamad Nawafleh, Omar Alrawashdeh, Gamal Obaid, Emad Alrawashdeh, and Arlasa Davis—each face:
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One count of conspiracy to steal government funds and misuse USDA benefits
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One count of theft of government funds
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One count of misappropriation of USDA benefits
Each of these charges carries a maximum penalty of 35 years in prison.
In addition, Arlasa Davis faces:
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One count of conspiracy to commit bribery
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One count of bribery
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One count of conspiracy to commit honest services wire fraud
These charges could result in up to 40 additional years behind bars.
Mohamad Nawafleh also faces one count of failure to appear, which carries up to 10 years in prison.
![Trump administration sets quota to arrest 3,000 people a day in anti-immigration agenda The target was delivered by Stephen Miller and Kristi Noem, and triples figures from earlier this year José Olivares in New York Thu 29 May 2025 23.14 BST Share The Trump administration has set aggressive new goals in its anti-immigration agenda, demanding that federal agents arrest 3,000 people a day – or more than a million in a year. The new target, tripling arrest figures from earlier this year, was delivered to Immigration and Customs Enforcement (Ice) leaders by Stephen Miller, the White House deputy chief of staff, and Kristi Noem, the Department of Homeland Security (DHS) secretary, in a strained meeting last week. The intense meeting, first reported by Axios and confirmed by the Guardian, involved Ice officials from enforcement and removal operations (ERO) and homeland security investigations (HSI) – both separate offices within DHS. ERO is in charge of immigration enforcement, including arrests, detention and deportation, while HSI typically focuses on investigating transnational crime, such as drug trafficking, human smuggling and the spread of online child abuse. The 21 May meeting in Washington DC is the latest example of the increasing pressure being placed on officials nationwide to increase the number of arrests of immigrants, as the administration doubles down on its anti-immigration agenda. The latest phase of the crackdown includes new tactics, such as mandating federal law enforcement agents outside Ice to assist in arrests and transports, more deputizing of compliant state and local law enforcement agencies, and arresting people at locations that were once protected, like courthouses. ice composite Trump officials increasingly recruit local police for immigration enforcement despite ‘red flags’ Read more “ This administration came into office with the illusion that they had been given a broad mandate to effectuate an aggressive immigration enforcement agenda, and they are doubling down now on that agenda,” said Nayna Gupta, the policy director for the American Immigration Council. “ Public polling is showing decreasing support for Trump’s immigration agenda, as Americans wake up to the reality that mass deportation means arrests of our neighbors and friends, masked agents in our communities and people afraid to go to work and show up to school, in ways that undermine our local economies.” Helter-skelter action has led to citizens caught up in the dragnet, Ice skirting due process – to the chagrin of the supreme court and lower courts – over-crowding in detention centers, arrests based on ideology and officials deporting people to third countries. “The sweeping Ice raids and arrests are hitting families, longtime residents, children and communities in a way never seen before,” said Jesse Franzblau, the associate director of policy for the National Immigrant Justice Center. As the number of people crossing the border into the US without authorization has plummeted even further than after the final Biden crackdown, operations in the US interior have increased. “Under Secretary Noem, we are delivering on President Trump’s and the American people’s mandate to arrest and deport criminal illegal aliens and make America safe,” Tricia McLaughlin, the homeland security assistant secretary, said in a statement. But even if the new target is fulfilled, it’s a far cry from Trump’s election campaign pledges to deport 15m to 20m people, which itself is more than the estimated 11m undocumented population. Agents with the FBI, HSI, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives and other federal law enforcement agencies have been co-opted from normal priorities to carry out immigration enforcement work. Current and former federal officials told the Guardian there is concern that important non-immigration-related investigations are falling by the wayside as a result. There has also been a huge escalation by local police and sheriff’s departments assisting, deputized by Ice to perform federal immigration arrests under a program called 287(g). Ice has also been targeting unusual places. On Tuesday, Ice and several other federal law enforcement agencies arrested roughly 40 people on the Massachusetts islands of Nantucket and Martha’s Vineyard. The US Coast Guard transported those apprehended, Ice said, angering some residents, local media reported. The agency has also been arresting people at courthouses throughout the country – a trend that has troubled advocates and policy analysts. “We’re seeing the Trump administration take the unprecedented step of arresting non-citizens who are following the government’s rules and procedures, and showing up for their court hearings,” said Gupta. “ They are desperate to reach a certain number of arrests per day. And the only way they can find non-citizens easily and quickly is to go to the courthouses, where they [immigrants] are doing exactly what they’re supposed to do.” On Wednesday, sources told the Guardian that officials had arrested people at two separate immigration courts in New York City. The outlet the City observed seven people arrested in a lower Manhattan court. Internal documents accessed by the Washington Post show Ice officers in more than 20 states have been instructed to arrest people at courthouses immediately after a judge orders them deported or after their criminal cases are dropped and they try to leave. The number of people held in detention by Ice reached 49,000 by 18 May, an increase of more than 10,000 since Trump took office, with the agency using local jails and federal prisons to hold immigrants, amid overcrowding. Austin Kocher, an assistant research professor at Syracuse University who closely tracks immigration detention data, said of the 3,000 daily arrest quota: “ The big question for me is: where are they going to put people?” Meanwhile, last month, the Trump administration ordered immigration judges to quickly dismiss cases by denying asylum seekers a hearing. The directive “has nothing to do with efficiency – it’s about slamming shut the courthouse door on people who have the right to seek asylum and a fair day in court”, Shayna Kessler, the director of the Advancing Universal Representation initiative at the Vera Institute of Justice, said. On Capitol Hill, the major spending bill passed by the House would balloon spending for immigration enforcement, at the US-Mexico border and in the interior, while cutting everyday services. Section of Trump's border wall Trump’s new border wall will threaten wildlife in an area where few people pass Read more “The administration is on a reckless spending spree, counting on Congress to bail them out for overspending hundreds of millions of dollars in private prison contracts with ties to top-level officials,” Franzblau said. He concluded: “It is beyond cruel to superfund Ice’s rampant violations of constitutional protections and expand the deadly immigration detention and enforcement apparatus.” Miller confirmed to Fox News on Wednesday that the White House was setting a goal for Ice to arrest at least 3,000 migrants per day, far above an earlier 1,000 per day arrest quota. Reuters reported later on Thursday that the Trump administration was removing two senior immigration enforcement officials amid demands to step up enforcement, three people familiar with the move said. Top Ice officials Kenneth Genalo and Robert Hammer will be pulled from their posts, the people told the news agency, requesting anonymity to discuss the shift. DHS denied that they were pushed out.](https://voicesrivercity.com/wp-content/uploads/2025/05/Screenshot-61-120x86.png)
