NEW YORK -- Federal authorities here arrested 29 neighborhood grocers and issued arrest warrants for 40 others earlier this month, charging them with food stamp fraud. eged. The grocers then redeemed the food stamps with the government at a profit, according to prosecutors. Many of the stores were rarely open, and those that were open often had old food on their shelves, prosecutors alleged. More than $40 million may have been laundered in the scheme, according to local news accounts of ...

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