Huju, you are right that we don’t know whether these 10 (or 26) people are guilty or innocent. We just don’t know. But we do know — and NO ONE living in Lakewood questions this — that (a) there is tremendous poverty in this community; (b) a very large part of the population depends on social welfare programs; (c) it’s very easy to cross the line in an attempt to merely survive. This is not a recipe for success, it’s a recipe for regular fraud.
Imagine everyone was forced to cook in kitchens in which milchig and fleishig pots, pans, and cutlery all looked identical. If a news article came out claiming that many people were eating basar b’cholov, would you be surprised? No, of course not, because that system is a recipe for disaster.