Shawty Dred's Alleged SNAP Scheme Ran Until July 2026, Months After Police Seized 14 EBT Cards

Prosecutors say Atlanta rapper Shawty Dred's alleged SNAP food stamp scheme kept running until July 2026. That was about seven months after police seized 14 EBT cards from him. After the seizure, he had replacement cards sent to his store, the US Attorney's Office says.

Over six years, prosecutors say, the scheme drew about $4 million (£2.987 million) in food aid meant for low-income families in Georgia. Mercedes Reshard New, 39, who uses the name Shawty Dred on social media, faces 63 federal counts. He is presumed innocent, as the charges are only allegations.

How the Alleged Scheme Worked

The Supplemental Nutrition Assistance Program (SNAP) gives low-income households a monthly sum for food. In Georgia, the state's Division of Family and Children Services (DFCS) approves each account and posts out an electronic benefit transfer (EBT) card, which works like a debit card. Holders may not sell or trade the benefits. Prosecutors say that from January 2020 to July 2026, New controlled more than 350 SNAP accounts set up with stolen identities.

According to the indictment, New had the cards posted to addresses across metro Atlanta. He also allegedly applied to have his company, Shawty Dred LLC, approved as a SNAP retailer, allowing it to accept the cards as payment. From April 2024 to November 2025, he allegedly used the cards and the firm's card reader to take more than $660,000 (£500,000). Prosecutors say DFCS transferred about $4.6 million (£3.43 million) in SNAP benefits into the accounts.

What Happened After the Cards Were Seized

In November 2025, the US Department of Agriculture withdrew SNAP approval for his store. Around two weeks later, police arrested New for allegedly selling food benefits at an Atlanta-area shop. Officers took 14 cards in other people's names. Officials say, in the scheme, phone numbers linked to him called Georgia's SNAP line about 9,000 times. Prosecutors say New then had replacement cards sent to his store and other addresses around Atlanta, as the timeline below shows.

A federal grand jury indicted New on 7 October 2026. The charges include 46 counts of mail fraud and 15 of aggravated identity theft, plus single counts of SNAP fraud and illegal access-device transactions. Agents arrested him on 13 October, and a court remanded him in custody. Aggravated identity theft carries a mandatory two-year term on conviction. US Attorney Theodore Hertzberg said the money was 'meant for poor families who need help putting food on the table.'

What Prosecutors Have Not Said

Prosecutors have not said how anyone obtained the stolen identities behind the accounts. They also have not said whether investigators have seized any cars, cash, or other assets shown on his Instagram account, richlifeshawtydred, which has more than two million followers. Posts show him flying on private jets, handling stacks of banknotes, and posing with Rolls-Royce and Maybach cars.

Vice President JD Vance, who leads a White House anti-fraud task force, raised the case at a news conference at the FBI's Cincinnati office on Wednesday 21 October. SNAP 'does not exist to provide private jets to a guy like Shawty Dred,' he said. Officials there announced cases against 40-plus defendants over nearly $42 million (£31.37 million) of alleged or proven SNAP fraud.