NY Penal Law § 158.30: Criminal Use of a Public Benefit Card in the Second Degree

New York law prohibits people from using another person’s public benefit identification documents to receive public assistance benefits. such as health coverage, SNAP food benefits, or other public assistance benefits. If you were to accept another person’s electronic benefit transfer (EBT) card as collateral for a loan, or in exchange for money, drugs or some other property or service, then you would have committed a crime. Pursuant to New York Penal Law section 158.30, you could be prosecuted on a charge of criminal use of a public benefit card in the second degree if you:

1. Consciously lend money, property or furnish services and, in exchange, you accept a public benefit card as collateral for repayment of a loan or as the compensation for the property or service,
2. Consciously accept a public benefit card in exchange for a perk, or
3. Consciously bring a public benefit card to another person in exchange for funds, in exchange for any controlled substance, or for the purpose of committing an unlawful act.

Under New York Penal Law section 158.00(1)(a), a “public benefit card” is a medical assistance card, Supplemental Nutrition Assistance Program or EBT card, public assistance card, or other identification document issued by the state or a social services district which entitles a person to receive public assistance benefits.

An Example

Neeka was broke.  She needed some cash right away to pay a bill. She asked to borrow money from some friends, but no one was able to lend anything to her. At last, she told Katrina that if Katrina would lend her $300, she would allow Katrina to keep her EBT card until she could pay Katrina back the money. Katrina agreed, and they completed their transaction. In this scenario, Katrina could face a charge of criminal use of a public benefit card in the second degree, because she accepted a Neeka’s public benefit card as collateral for a loan.

Offenses that are Related

Criminal use of a public benefit card in the first degree: New York Penal Law section 158.35

Criminal possession of a public benefit cards in the third degree: New York Penal Law section 158.40

Criminal possession of a public benefit cards in the second degree: New York Penal Law section 158.45

Criminal possession of a public benefit cards in the first degree: New York Penal Law section 158.50

Possible Defenses

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The prosecutor’s task is to demonstrate that you got hold of the public benefit card in exchange for some sort of perk or asset. If, perhaps,  the card was granted to you as a “gift,” then you did not commit the crime of criminal use of a public benefit card in the second degree.

Legal Scenario: What Would You Do?

Scenario

A convenience store owner in Brooklyn has been regularly allowing customers to swipe their EBT cards for cash at a discounted rate, treating it as a routine side transaction. After a state investigation, he was arrested and charged under NY Penal Law § 158.30 for criminal use of a public benefit card in the second degree.

I thought I was just helping people out who needed cash — can I really face criminal charges for accepting someone's EBT card in exchange for money?

Attorney's Answer

Under NY Penal Law § 158.30, knowingly accepting an EBT card or other public benefit card in exchange for money, drugs, or other property constitutes criminal use of a public benefit card in the second degree, which is classified as a class A misdemeanor. A conviction can carry up to one year in jail, three years of probation, fines, and a permanent criminal record. The prosecution must prove you knowingly participated in the transaction, so a strong defense may challenge whether you understood the nature of the benefit card or the illegality of the exchange. Given that repeated offenses or large-scale operations can lead to elevated charges under § 158.35, it is critical to consult a defense attorney immediately to protect your rights and explore all available defenses.

This is general information only. Contact us for advice specific to your situation.

The Sentence

Since it is a class A misdemeanor, if you are convicted of criminal use of a public benefit card in the second degree, the judge may sentence you to a jail term of up to a year, a probation term of 3 years, and order you to pay a fine.