SOCIAL MEDIA PERSONALITY SHAWTY DRED INDICTED IN $4 MILLION SNAP FRAUD SCHEME INVOLVING STOLEN IDENTITIES AND HUNDREDS OF BENEFIT ACCOUNTS

ATLANTA, GEORGIA — A social media personality known for displaying luxury vehicles, private jets, and large amounts of cash online has been indicted on 63 federal charges stemming from an alleged multimillion-dollar fraud scheme involving stolen identities and government food assistance benefits.

Mercedes Reshard New, 39, of Atlanta, also known as “Shawty Dred,” is accused of orchestrating a scheme that diverted approximately $4 million from the Supplemental Nutrition Assistance Program (SNAP), which provides food assistance to eligible low-income individuals and families.

The U.S. Attorney’s Office for the Northern District of Georgia announced the charges on October 21, 2026. Federal prosecutors detailed an alleged operation involving fraudulent SNAP accounts, unauthorized electronic benefit transfer (EBT) transactions, and a business associated with New.

A federal grand jury returned the indictment on October 7, charging New with 46 counts of mail fraud, 15 counts of aggravated identity theft, one count of SNAP fraud, and one count involving illegal transactions with access devices. He was arrested on October 13 and placed in the custody of the U.S. Marshals Service pending further court proceedings.

Federal investigators allege the operation extended from January 2020 through July 2026. During that period, New allegedly controlled more than 350 fraudulent SNAP accounts established using other people’s personal identifying information. Prosecutors say he arranged for EBT cards associated with those accounts to be delivered to multiple addresses throughout metropolitan Atlanta.

The investigation also identified Shawty Dred LLC, a company associated with New that obtained authorization to participate in SNAP as a retail business. According to the indictment, New used EBT cards obtained through fraudulent accounts and a point-of-sale terminal connected to the business to conduct transactions involving more than $660,000 in SNAP benefits between April 2024 and November 2025.

The alleged activity exploited the system used to distribute federal food assistance. SNAP is administered nationally by the U.S. Department of Agriculture, while Georgia’s Department of Human Services, Division of Family & Children Services, oversees eligibility and benefit distribution within the state. Approved recipients receive EBT cards that can be used to purchase qualifying food products from authorized retailers. Selling benefits, exchanging them for cash, or processing transactions that do not represent legitimate eligible purchases violates program requirements.

Investigators identified additional activity involving Georgia’s automated EBT telephone system. According to a separate October 21 Justice Department announcement, telephone numbers associated with New contacted the state’s SNAP interactive voice response system more than 9,000 times, accessing over 350 benefit accounts. Authorities also identified more than 500 Georgia EBT cards linked to New during the broader investigation, with an estimated fraud loss of approximately $4.4 million.

The case continued developing after federal authorities revoked Shawty Dred LLC’s SNAP retailer authorization in November 2025. Approximately two weeks later, local police arrested New at a Walmart location in East Point, Georgia, after he allegedly solicited customers to purchase SNAP EBT cards from him. Officers recovered 14 EBT cards issued in other people’s names.

Following the confiscation, prosecutors allege that New arranged for replacement EBT cards to be delivered to his business address and other locations throughout metropolitan Atlanta.

Federal authorities estimate that approximately $4.6 million in SNAP benefits was transferred into fraudulently established accounts during the scheme, with approximately $4 million withdrawn or spent through unauthorized EBT activity. These figures describe different stages of the alleged operation and should not be combined into a single loss total.

The allegations have also drawn attention to New’s public social media presence. His Instagram account, richlifeshawtydred, was reported by federal prosecutors to have more than two million followers. Posts described by investigators feature private aircraft, Rolls-Royce and Maybach luxury vehicles, and substantial amounts of cash. Authorities allege that proceeds from the fraudulent transactions helped finance New’s expensive lifestyle, although the indictment has not established his guilt.

U.S. Attorney Theodore S. Hertzberg described the alleged conduct as a serious misuse of resources intended to assist financially vulnerable households. USDA Inspector General John Walk also emphasized the alleged diversion of food assistance benefits for personal profit, while FBI Atlanta Special Agent in Charge Marlo Graham stated that federal investigators would continue pursuing individuals suspected of exploiting public assistance programs.

The case is part of a broader federal enforcement effort targeting fraud involving USDA-administered assistance programs. On October 21, the Justice Department announced that a nationwide operation conducted between September 1 and October 21 had resulted in enforcement actions involving more than 40 defendants and nearly $45 million in alleged or established intended losses, including approximately $42 million associated with SNAP. The coordinated initiative involved the Justice Department’s National Fraud Enforcement Division, 13 U.S. Attorney’s Offices, the Utah Attorney General’s Office, and additional federal and state investigative partners.

The investigation into New is being conducted by the USDA Office of Inspector General and the FBI, with assistance from the Georgia Department of Human Services Office of Inspector General. Assistant U.S. Attorney Tracia M. King is prosecuting the case.

New remains charged, not convicted. The allegations contained in the indictment must be established through the federal judicial process, and he is presumed innocent unless and until proven guilty beyond a reasonable doubt.

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