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Feds: Food stamps swapped for booze, Viagra

Staff at Detroit liquor store face charges after allegedly netting $130,000

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updated 4:19 a.m. ET Oct. 10, 2009

DETROIT - Viagra and pornography are not staples on the government's food stamp list. But authorities say a Detroit liquor store supplied them during a series of illegal deals.

Federal prosecutors filed fraud charges this week against three people who worked at Jefferson's Liquor Palace.

The alleged scheme worked this way: Food stamp recipients would get cash from the store in exchange for swiping larger amounts off their electronic cards. The store would then be reimbursed by the U.S. Agriculture Department.

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And in some transactions, the government says the store provided informants Viagra, liquor and porn in exchange for swiping about $2,000 off food stamp cards.

The government says fraud at the store topped $130,000 over 2 1/2 years. The store is closed.

More on: food stamps | Detroit

Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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