Atlanta Rapper Shawty Dred Indicted in Federal SNAP Fraud Case
Atlanta rapper Shawty Dred has been indicted on federal charges over an alleged scheme to steal food benefits, Rolling Stone reported on October 22, 2026. The rapper's legal name is Mercedes New, and authorities accuse New of defrauding the Supplemental Nutrition Assistance Program, known as SNAP, of $4.4 million.
SNAP is the federal programme that helps low-income households buy groceries, and it runs on electronic benefit transfer (EBT) cards, which work like debit cards for food purchases. An Atlanta Journal-Constitution report says New was indicted on 46 counts of mail fraud, 15 counts of aggravated identity theft and one count of SNAP fraud. Rolling Stone also lists access device fraud among the charges. A conviction on the main counts would carry a sentence of two years at minimum and 20 years at most.
The case was announced by the U.S. Department of Justice on October 21, as part of a nationwide enforcement surge involving the Justice Department's Fraud Division and the Department of Agriculture. The Justice Department describes New as a social media personality. The wider sweep uncovered nearly $42 million in fraud, and New is one of more than 40 people the department cited. A federal grand jury returned the indictment on October 7, and New was arrested in Las Vegas on October 13.
Investigators allege that phone numbers linked to New called the SNAP automated phone system more than 9,000 times to get into more than 350 separate accounts. Authorities also linked New to more than 500 Georgia EBT cards. Benefit cards allegedly connected to New recorded an estimated $1.8 million in transactions, and about $635,000 of that ran through Shawty Dred LLC, a retail store in Atlanta that New owns and that was once authorised to accept SNAP.
The alleged activity came to light earlier in the year. East Point, Georgia, police arrested New at a Walmart for allegedly asking customers to buy SNAP EBT cards from him, and officers recovered 14 Georgia cards at the time. The Georgia Department of Human Services Office of Inspector General opened its investigation in 2025.
Shawty Dred has also drawn attention online. The New York Post reported that he was seen setting cash on fire in viral videos, a detail that is separate from the charges.
An indictment is a formal accusation, not a finding of guilt. The charges will now be tested in court, and the allegations in them have not been proven.
