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Grocery Store Owner Accused of $600,000 Food Stamp Fraud Returned to US After Arrest in India

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Seattle, WA, October 16, 2026: An Indian-origin grocery store owner who fled the United States after being charged with defrauding a federal food assistance program of more than $600,000 has been returned from India to face trial, federal authorities announced Thursday.

Manjit Singh Bedi, 64, a naturalized American citizen originally from Punjab, was arrested by police in Jalandhar in September after the FBI placed him on its Most Wanted Fraudsters list. He arrived in the United States on October 14 and is scheduled to appear in federal court in Tacoma, Washington, on Friday.

Bedi, a resident of Kent, Washington, owned and operated Asian Grocery Store in Tacoma. Federal prosecutors allege that he used the business to illegally exchange government food assistance benefits for cash, keeping half the money for himself.

According to the indictment, the store was authorized to accept Supplemental Nutrition Assistance Program (SNAP) benefits, commonly known as food stamps, in February 2024. Beginning the following month, Bedi allegedly began offering customers cash in exchange for benefits loaded onto their Electronic Benefit Transfer (EBT) cards.

Under the alleged arrangement, a customer with $200 in food assistance benefits would receive $100 in cash, while Bedi would keep the remaining $100. The transactions were recorded as grocery purchases even though no eligible food items were sold.

Prosecutors allege that between March 2024 and June 2025, Bedi pocketed at least $600,000 through these fraudulent transactions.

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Bedi was indicted in April 2026 and pleaded not guilty at his April 22 court appearance. He was allowed to remain free under conditions that included surrendering his passport and staying in Washington state.

However, federal investigators say he left the country within days, traveling through Canada before reaching India.

A federal arrest warrant was issued on May 21 after he violated the conditions of his release.

On September 3, the FBI added Bedi to its Most Wanted Fraudsters list and circulated information about him internationally. Indian authorities arrested him shortly afterward.

According to ThePrint, Bedi, originally from Jalandhar district, was taken into custody in connection with a separate case registered in Punjab in May. The case reportedly involved allegations under the Punjab Travel Professionals’ Regulation Act and provisions relating to cheating and criminal breach of trust.

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At a news conference in Seattle on Thursday, federal officials said tips from the public helped investigators locate Bedi. FBI Seattle Special Agent in Charge W. Mike Herrington said wanted posters had been circulated in English, Hindi and Punjabi.

Bedi, who became a naturalized U.S. citizen in January 2025, was transferred to American authorities and brought back to Washington to face the charges.

“I commend the work of the FBI and international partners to get Mr. Bedi back to the U.S. to face justice,” said Acting U.S. Attorney Charles Neil Floyd.

“We will ask the court to detain him pending trial as he has demonstrated he has the will and the means to flee,” Floyd added.

FBI Director Kash Patel also welcomed Bedi’s return, crediting cooperation between American and Indian law enforcement agencies.

“The arrest and return of Manjit Singh Bedi marks yet another significant moment for the historic FBI’s Most Wanted Fraudsters program,” Patel said in a statement.

He said Bedi was among six fugitives captured since the FBI established the list in June 2026. According to Patel, the FBI has carried out more than 260 international removals over the past 20 months, an increase of approximately 70 percent over the preceding comparable period.

U.S. Department of Agriculture Inspector General John Walk said the alleged scheme diverted assistance intended for low-income Americans.

“Stealing SNAP benefits – food assistance benefits intended for low-income Americans – is wrong and no matter where they run, we will not stop pursuing those who perpetrate these crimes against the poorest Americans and the American taxpayer,” Walk said.

The case was investigated by the FBI, the U.S. Department of Agriculture’s Office of Inspector General and the Washington State Department of Social and Health Services. The Justice Department’s Office of International Affairs assisted in securing Bedi’s return from India.

Wire fraud and SNAP benefits fraud each carry a maximum penalty of 20 years in federal prison and a $250,000 fine.

Bedi has pleaded not guilty. The charges against him remain allegations, and he is presumed innocent unless proven guilty in court.

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