This guy would have to lie on his application and therefore would have to face penalty for lying and also would have to pay those money back.
I believe the application ask for assets and any fraud would resort to prison time, fines and reimbursement back to SNAP.
This looks like a rigged script by the government to change the system, fake news IMO. I know a person who work for SNAP and will pass this info to her about the application process and penalty if found to be fraud.