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Archive for Wednesday, June 8, 2011

Defendant in Kansas food stamp scheme to change plea

June 8, 2011

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— A Wichita man accused of scouring homeless shelters looking for people willing to sell their government benefits is apparently ready to admit his role in a food stamp scheme that has snared the owners of two grocery stores and nine other people.

A court docket notation filed Tuesday shows a change-of-plea hearing for Wally Gaggo for the two indictments naming him.

Gaggo was the alleged runner for both Kansas Food Market and the Alnoor Grocery and Biryani House in Wichita.

Criminal charges have been filed against 13 people accused in a scheme that defrauded the government out of more than $580,000.

Prosecutors say the grocery stores typically paid people half the value of their benefits and pocketed the difference. Two food stamp recipients already have pleaded guilty.

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