As part of a year-long investigation of large-spread welfare fraud by Massachusetts State Police, Springfield police, and the Department of Transitional Assistance, a Holyoke man is under arrest and charged with defrauding the state out of as much as $250,000, officials said.

At 8 a.m., state, Springfield and Holyoke police conducted simultaneous raids of the El Rincon Boricua Restaurant, 216 Lyman St., and a residence on Homestead Avenue in Holyoke.

Arrested was Jose Baez, 55, of Holyoke. He is charged with money laundering, food stamp trafficking, larceny of more than $1,200, procurement fraud and accessory to vice fraud, according to Springfield police spokesman Ryan Walsh.

Surveillance showed Baez using fraudulently obtained Electronic Benefit Transfer (EBT) cards from the state Department of Transitional Assistance to purchase food that would then be used in his wife’s restaurant in Holyoke, according to state police spokesman David Procopio,

Troopers watched Baez almost daily making purchases with EBT cards of large amounts of food from two Springfield businesses, 90 Meat Outlet and Sweet Life Foods Company, which are both on Avecado Street. The supplies would then be delivered to El Rincon Boriqua and used in the preparation of meals.

The investigation was launched a year ago when Springfield police officers with the C3 North End unit under the command of Sgt. Julio Toledo learned of the operation, Walsh said.

Officers learned that Baez was purchasing EBT cards from the rightful owners at cents on the dollar, Walsh said. Baez would then use the cards to purchase food.

Baez purchased “tens of thousands” of dollars in food using fraudulent cards, Procopio said . It is unclear the number of EBT cards he had obtained illegally.

Walsh put the figure at around $250,000.

Baez is scheduled to be arraigned Wednesday in Springfield District Court.

The restaurant is closed, and it is not clear when it will reopen.