Wednesday, August 12, 2026

Reno woman indicted for allegedly embezzling nearly $400,000 in federal grant funds

A Reno woman has been indicted after allegedly embezzling nearly $400,000 from a federal grant aimed at improving tribal lands.
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A Reno resident appeared in court on July 28 for allegedly stealing federal grant money intended for the improvement and maintenance of tribal lands.

Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division said, “The Department of Justice’s National Fraud Enforcement Division, along with the U.S. Attorney’s Office for the District of Nevada, is committed to upholding the rule of law and ensuring that anyone who attempts to enrich themselves through theft and deceit is held fully accountable. Financial fraud of this magnitude compromises the integrity of our economic systems and directly threatens the security of hardworking people who trust and rely on those systems.”

First Assistant United States Attorney Sigal Chattah for the District of Nevada said, “Every dollar stolen through fraud is a dollar taken away from critical public services, infrastructure, and the communities that rely on them. Taxpayers deserve full transparency and absolute accountability. We are drawing a hard line: if you attempt to defraud public programs, we will find you, we will stop you, and you will face the full force of the law.”

Nevada State Director Alida Ceballos for the United States Department of Agriculture Rural Development said, “Our Agency is steadfast in its commitment to protecting taxpayer dollars by eliminating waste, fraud, and abuse. This indictment marks an important step toward ensuring that resources meant to support rural Nevadans are used for their intended purposes, not stolen by bad actors. We are thankful for the strong partnership of the U.S. Attorney’s Office, led by First Assistant U.S. Attorney Sigal Chattah, Assistant AG Colin McDonald of the Fraud Division, the USDA Office of Inspector General, and the FBI, whose cross‑agency collaboration made this multi‑year investigation possible.”

According to court documents and statements made in court from April 2024 to May 2024, Blair Smith allegedly embezzled about $392,582 from funds awarded by a United States Department of Agriculture grant meant for a project bringing clean water to members of Yomba Shoshone Tribe and residents living on tribal lands.

Smith was charged with one count of federal program theft; if convicted she faces up to 10 years in prison. A jury trial is scheduled for September 29.

The USDA Office of Inspector General investigated; Assistant United States Attorney Skyler Pearson is prosecuting.

On April 7th it was announced that a new National Fraud Enforcement Division was created within the Department of Justice focused on investigating those committing fraud against Americans as part of President Trump’s Task Force To Eliminate Fraud chaired by Vice President J.D. Vance.

An indictment remains only an allegation; all defendants are presumed innocent until proven guilty beyond a reasonable doubt in court.

The U.S. Attorney for the District of Nevada advances community wellness through federal law enforcement initiatives across Nevada’s 17 counties as part of its role within The U.S. Department Of Justice, collaborating with various agencies to enhance public safety.

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