Belal Hauter

Introduction

Belal Hauter, a 34-year-old man identified by prosecutors as the ringleader of a benefits theft ring, is one of eight people indicted in an 18-month scheme that allegedly stole about seven million dollars in federal food assistance from thousands of New Yorkers. Manhattan District Attorney Alvin Bragg and Department of Investigation Commissioner Nadia Shihata announced the charges on Thursday, October 29, 2026, in a New York State Supreme Court indictment charging fourth-degree conspiracy along with various counts of grand larceny and identity theft. The New York Post, citing prosecutors, described Hauter as the plot’s alleged leader and reported he was arraigned the same day before being ordered held on over one million dollars bail. Although the charged conspiracy period spans April 2023 through September 2025, prosecutors believe the effort could have lasted longer and be traced to upwards of 13 million dollars in stolen benefits.

Background Information

Little is public about Hauter beyond his alleged role in the case. He has ties to Yemen, according to the Post, which reported that prosecutors believe relatives of his were involved in the scheme and have since fled the country. The enterprise, which prosecutors branded a fraud factory, operated out of hotels and the back room of a Yonkers deli. Its target was the Supplemental Nutrition Assistance Program: using electronic skimming devices, the group is accused of siphoning funds from victims’ SNAP and EBT nutrition benefit cards, affecting thousands of recipients — some of whom never received reimbursement for their stolen benefits.

The Controversy or Incident That Led to Their Cancellation

Charged, not convicted. Hauter faces an indictment alleging conspiracy, grand larceny and identity theft; the charges are allegations, nothing has been adjudicated, and he has pleaded not guilty. The account below comes from prosecutors and court documents as described in news reporting, and the defense contests it.

Prosecutors allege Hauter led the effort by opening, or directing others to open, merchant processing accounts in the names of existing and fictitious bodegas, delis and grocery stores, obtaining point-of-sale systems capable of handling EBT transactions. Card-skimming devices captured victims’ EBT account numbers and PINs so the group could clone cards, investigators allege; by monitoring when benefits hit the compromised accounts, the conspirators were able to swipe the clones and drain them “almost immediately” — in some cases leaving legitimate recipients, who tried to buy food the very day their benefits were deposited, staring at emptied accounts.

The money allegedly moved just as fast. Of the roughly ten investigated accounts, all but two were in Hauter’s name, according to prosecutors. Stolen funds were funneled into conspirator-controlled bank accounts and spent on numerous luxury vehicles, including a BMW; one member of the conspiracy sent Hauter a photograph of a newly purchased car with a message saying he bought it “thanks to (him),” prosecutors said. Tens of thousands of dollars were also sent to Yemen and other international locations, prosecutors said.

Eight people were indicted in all. Prosecutors publicly identified five of the accused, according to Gothamist: Hauter, 34; Gregory Fabiani, 46; Abdulla Aezah, 35; Milton Rios, 53; and Yvette Rivera, 58. Fabiani and Aezah allegedly helped open the accounts and provided technical support for the processing systems and POS machines, while Rios and Rivera allegedly opened additional merchant processing and bank accounts, amNewYork reported. “The defendants allegedly tracked the timing of benefit funds and drained accounts before the legitimate SNAP recipient could buy food and other necessities, eventually stealing more than $7 million,” Bragg said in a statement. “These alleged crimes not only resulted in the pilfering of public funds from a critical City-administered food program, but also left vulnerable New Yorkers without essential benefits to purchase groceries,” Shihata said.

Public Reaction and Consequences

The arraignment drew an emotional gallery: several defendant family members could be heard crying in court, where Fabiani’s girlfriend left the room whimpering and Hauter’s wife could be seen red-faced and teary-eyed, the Post reported. Hauter’s defense attorney argued that his cooperation with law enforcement, and the fact that he had not joined his fleeing relatives, was “proof positive” of his intention to stay in the country. Judge Melissa T. Lewis ordered bail at over one million dollars anyway. All three arraigned defendants — Hauter, Aezah and Fabiani — pleaded not guilty to multiple charges including grand larceny, conspiracy and identity theft, and Aezah and Fabiani were deemed flight risks with strong international ties. The trio surrendered their passports and are due back in court on December 10.

Current Status

Hauter has been arraigned in New York State Supreme Court and, with his passport surrendered, awaits his December 10 court date on over one million dollars bail. Three of the five named individuals were arrested in New York City, while the remaining three have not been arrested, according to the district attorney’s office; attorney information for those arrested was not immediately available, Gothamist reported. Prosecutors say their work continues, with the suspected total believed to potentially exceed 13 million dollars. Every charge remains pending, and nothing has gone to trial.

Impact on Their Career/Life

At 34, Hauter is the named centerpiece of one of the largest SNAP fraud cases announced in New York this year, accused by prosecutors of running an effort from a deli back room that drained food-assistance cards and spent the proceeds on luxury cars and cross-border payments. If convicted of fourth-degree conspiracy, grand larceny and identity theft counts, he faces sentencing on multiple charges; for now he is out on over one million dollars bail with his passport surrendered and relatives, per prosecutors, already out of the country. The bail ruling, despite the defense’s cooperation argument, and the flight-risk findings for his co-defendants signal how seriously the court is treating the case. Until a trial or plea resolves it, Hauter stands charged, not convicted.

Sources

• The New York Post, “NYC ‘fraud factory’ stole $7M in federal benefits and bought fancy cars, payments to Yemen: prosecutors,” October 30, 2026. source
• amNewYork, “‘Fraud factory’ stole $7 million in SNAP benefits to fund luxury cars, global payments,” October 30, 2026. source
• Gothamist, “8 people charged in $7M SNAP benefit fraud scheme,” October 29, 2026. source