Atlanta rapper Shawty Dred has been indicted by the United States Department of Justice as part of an alleged $42M fraud scheme involving SNAP benefits.
On Wednesday (Oct. 21), the Department of Justice’s Office of Public Affairs released documents citing Shawty Dred, real name Mercedes New, as one of more than 40 alleged culprits who have been apprehended amid a nationwide surge in enforcement against fraud involving the Supplemental Nutrition Assistance Program (SNAP) and related USDA programs.
According to the Department of Justice, New was indicted by a federal grand jury on October 7 before being apprehended in Las Vegas on October 13. He has been charged with criminal food stamp fraud, mail fraud, access device fraud, and aggravated identity theft. The rapper is personally accused of defrauding SNAP of $4.4 million in stolen benefits, with authorities linking him to more than 500 Georgia-issued EBT cards.
The investigation into New was launched in 2025 by the Georgia Department of Human Services Office of Inspector General, which discovered that phone numbers associated with New had contacted the SNAP interactive voice response (IVR) system over 9,000 times, gaining access to more than 350 separate SNAP accounts.
The transaction total for SNAP Benefit cards allegedly connected to New amounted to an estimated $1.8 million, with the GADHS-OIG claiming that roughly $635,000 of that money was connected to transactions at Shawty Dred LLC in Atlanta, GA, a retail store owned by New, which was previously SNAP-authorized.
Prior to his indictment, New was arrested at a Walmart in East Point, GA for allegedly soliciting customers to purchase SNAP EBT cards from him. Fourteen Georgia EBT cards were retrieved by East Point police officers at the time of that arrest.
“These schemes siphoned millions from taxpayers and robbed struggling Americans of the benefits they depend on so fraudsters could use them for their own selfish purposes,” said U.S. Attorney General Todd Blanche. “Through our partnership with the Department of Agriculture, this nationwide surge exposed and disrupted criminal networks that targeted vulnerable American families. The Department of Justice will continue working to root out fraud in every federal agency and program.”
Brooke Rollins, U.S. Secretary of Agriculture, commended all agencies involved in the nationwide crackdown, vowing justice for the families impacted. “Every instance of SNAP fraud has two victims: families in dire need and taxpayers. Today, we are reminding fraudsters that we will find you and prosecute you to the fullest extent of the law,” said Rollins. “Thank you to USDA’s OIG and our state and federal partners for working with us to bring justice to families harmed by criminals. Under the Trump Administration, food stamp fraud ends now.”
New has released multiple rap songs under the stage name Shawty Dred, including “My Trap House,” “Get Up In It,” “All I Do,” “Boot Up,” and “A1 White.” He also gained popularity as a social media personality, flaunting a lavish lifestyle filled with vacations and luxury vehicles. In one viral clip, New can literally be seen burning money in a boastful show of his alleged illegal proceeds. New is facing a minimum sentence of two years and a maximum of 20 years in prison. Attempts to reach New were not immediately successful.
