New Hampshire Federal Case Targets $167K Hannaford Grocery Scheme

A New York man is facing federal charges in a New Hampshire case after prosecutors say he fraudulently obtained nearly $167,000 worth of groceries from Hannaford stores across New England.

According to the U.S. Department of Justice, 33-year-old Clinton Rathan was arrested April 16 in New York and has been charged with four counts of wire fraud. Authorities say the alleged scheme unfolded over a seven-month period in 2022 and involved hundreds of transactions.

Investigators claim Rathan placed more than 500 grocery pick-up orders using the Hannaford mobile app. In doing so, he allegedly used fake identities along with fraudulent debit and credit card information to complete each order, WGME reported.

Officials say once the groceries were picked up, Hannaford attempted to process the payments tied to those orders. However, the cards used were consistently declined, leaving the company with significant financial losses totaling around $167,000.

While the alleged activity spanned multiple Hannaford locations throughout New England, the case is being handled in federal court in Concord, New Hampshire. Prosecutors have not specified exactly which store locations were impacted.

If convicted, Rathan could face up to 20 years in prison on each count of wire fraud, along with potential fines reaching $250,000. Federal sentencing would ultimately depend on several factors, including the total financial impact and any prior criminal history, WGME said.

Rathan has been released on $15,000 bail and is scheduled to appear in federal court in Concord on April 30.

The case underscores growing concerns around fraud involving online ordering platforms, where scammers can exploit digital systems using fake identities and stolen financial information to carry out large-scale schemes.