N.J. sting indicts grocers who allegedly stole $1M from voucher program that helps low-income families

Scheme allegedly defrauded federally-funded program that helps low-income women and children afford nutritious food

Ed Murray/The Star-LedgerN.J. Attorney General Paula Dow, pictured in this file photo, announced a crackdown against more than dozen grocers who allegedly defrauded a federal voucher program aimed at helping low-income families.

TRENTON — A dozen grocery store owners and two employees have been indicted for conspiring to steal more than $1 million from a federally-funded program that helps low-income women and children afford nutritious food, according to the state Attorney General's Office.

From July 2004 to April 2007, three clerks in Newark employed by the Women, Infants and Children nutrition program, known as WIC, sold counterfeit vouchers to the grocery store owners, the office said in a news release.

The owners of those grocery stores — in Newark, Camden, East Orange and Irvington — then allegedly cashed in those vouchers for cash, the office said in the release.

“The stolen funds, which totaled well over $1 million, should have supplied vital nutrition for disadvantaged children," Attorney General Paula Dow said in a statement. "Instead, the defendants fed their greed.”

The 14 defendants were charged in an indictment handed up Nov. 10 by a state grand jury in Mercer County. The indictment was not made public until today, when all the arrests could be completed, the office said.

Those charged in the seven-count indictment were:

• Martin Martinez, 51, of Newark, former owner of Duran Stop 1 on Bergen Street in Newark;

• John Cepeda, 35, of Elizabeth, employee/manager of Los Tiburones on Bergen Street in Newark;

• Francisco Torres, 46, of Jersey City, former owner of Sobrino’s Supermarket on North Munn Street in East Orange;

• Hector Lozada, 51, owner of La Bella Campesina on West Sixth Street in Newark;

• Denis Jaquez, 32, of Camden, former manager of B&B Grocery on North Seventh Street in Camden;

• Ignacio Perez, 41, of Camden, owner of Perez Grocery on North Fourth Street in Camden;

• Rafael Lopez, 42, of Newark, owner of New Queens Supermarket on Bergen Street in Newark;

• Julio Rozon, 43, owner of J-Roz Mini Mart on Orange Street in Newark;

• Victor Estevez, owner of Estevez Stop 1 on South Orange Avenue in Newark;

• Andres Rodrigues, 61, of Wesley Chapel, Fla., owner of Union Associated Supermarket on River Road in Camden;

• Jesus M. Martinez, 51, of Pennsauken, owner of Fernandito’s Supermarket on Yorkship Square in Camden;

• Ramon G. Checo of Bloomfield, owner of Dawe Supermarket on Springfield Avenue in Irvington;

• Ashvin C. Patel of Edison, owner of OM Groceries on Broadway in Newark; and

• Angel Fernandez, 40, of Newark, former owner of Eddy’s Supermarket on Clinton Avenue in Newark.

They face charges of conspiracy, money laundering, official misconduct, pattern of official misconduct, theft by deception and receiving stolen property. The charges carry a maximum sentence of 20 years in state prison.

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