Key Takeaways
- Atlanta rapper Shawty Dred, whose legal name is Mercedes Reshard New, faces 63 federal charges over an alleged $4.6 million SNAP fraud scheme.
- Prosecutors say New used stolen identities to create more than 340 fraudulent SNAP accounts and routed EBT transactions through Shawty Dred LLC.
- The indictment alleges about $660,000 reached his business account and funded vacations, clothing, and jewelry, but the charges remain unproven in court.
Atlanta rapper Shawty Dred is facing 63 federal charges after prosecutors accused him of orchestrating a multimillion-dollar fraud scheme involving Georgia's Supplemental Nutrition Assistance Program (SNAP).
According to a federal indictment filed October 7 in the U.S. District Court for the Northern District of Georgia, the rapper, whose real name is Mercedes Reshard New, allegedly participated in a scheme to fraudulently obtain about $4.6 million in food assistance benefits between January 2020 and July 2026.
Federal prosecutors allege that New used stolen personal information, including names, birthdates, and Social Security numbers, to submit fraudulent SNAP applications through Georgia's Division of Family and Children Services.
The applications allegedly resulted in more than 340 fraudulent SNAP accounts being established, with EBT cards mailed to several addresses throughout the Atlanta area.
According to the indictment, New operated Shawty Dred LLC, a business registered at an address on DeLowe Drive SW in Atlanta. In January 2024, he applied for authorization to accept SNAP benefits at the business and received approval in March.
Prosecutors claim New then used a point-of-sale device at the store to process transactions involving fraudulently obtained EBT cards, making the purchases appear legitimate while transferring the funds into a Bank of America account associated with his business.
Investigators allege that more than $4 million in transactions were processed using the cards. Between April 2024 and November 2025, approximately $660,000 in SNAP benefits was allegedly deposited into the Shawty Dred account and used to purchase vacations, clothing and jewelry.
The indictment also details a November 29, 2025, incident in which New allegedly entered a Walmart carrying 13 Georgia EBT cards belonging to other individuals. Prosecutors claim he used the cards to purchase groceries for people who were not the authorized cardholders in exchange for payment.
Authorities further allege that New monitored SNAP account balances, reported cards missing and arranged for replacement cards to be delivered to addresses connected to the operation.
The 46 mail fraud charges stem from individual EBT card mailings that allegedly occurred between March 2022 and March 2026. The aggravated identity theft charges involve four individuals identified in court documents only by their initials.
Federal prosecutors are also seeking the forfeiture of property allegedly obtained through the scheme. The case follows other federal fraud prosecutions involving rappers, including G Herbo, who previously faced charges related to an alleged $1.5 million fraud operation.
Shawty Dred has not been convicted of the charges, and the allegations against him remain unproven in court.
