A Texas woman who defrauded military families of more than $100 million in one of the largest fraud cases the U.S. military has ever seen He has been sentenced to 15 years in prison.
Janet Mello set up a shell company in 2016 before splashing out on several mansions, 82 supercars, motorcycles and eye-catching designer jewellery over six years.
The 57-year-old San Antonio native swindled money from a youth development program for children of military families to fund her extravagant lifestyle.
Mello pleaded guilty in March to five counts of mail fraud and five counts of filing tax returns. She was sentenced Tuesday by U.S. District Judge Xavier Rodriguez.
The fraudster had a stone-faced expression and her gaze fixed on the ground as she marched into the courtroom hand in hand with her biker husband before her fate was revealed.
Janet Mello, the Texas woman who defrauded the US military of more than $100 million, has been sentenced to 15 years in prison. (Pictured: Mello with her husband leaving the courthouse)
Mello embezzled money from a youth development program for children of military families and used it to fund his extravagant lifestyle, including several mansions (one pictured).
The 57-year-old San Antonio native set up a shell company in 2016 before splurging on multiple mansions, 83 supercars and flashy designer jewelry (pictured)
Both wore all-black suits: Mello with reading glasses and his bearded companion with dark RayBan sunglasses.
During the final hearing in San Antonio, prosecutors detailed how “Gucci goddess” Mello made lavish purchases during the massive fraud, including spending $923,000 on jewelry in a single day in 2022.
She was working as a civilian employee at Fort Sam Houston when she began stealing money in 2016.
Mello was a financial manager who handled funding for a youth program at the military base and determined whether grant money was available.
She created a fraudulent group called Children’s Health and Lifelong Youth Development, prosecutors said.
U.S. Attorney Jaime Esparza said Mello “betrayed the trust of the government agency he served and lied repeatedly in an effort to enrich himself.”
Mello used the money to buy millions of dollars worth of real estate, clothing, high-end jewelry and 82 vehicles that included a Maserati (pictured), a Mercedes, a 1954 Corvette and a Ferrari Fratelli motorcycle.
Mello bought several houses with the stolen money, including the one pictured above.
Prosecutors detailed how Mello made lavish purchases during a massive scam that spanned six years, including spending $923,000 on jewelry in a single day in 2022.
“Instead of spending $109 million in federal funds to care for military children around the world, she selfishly stole that money to purchase extravagant homes, more than 80 vehicles and more than 1,500 pieces of jewelry,” Esparza told the court.
Defense attorney Albert Flores responded that Mello is deeply remorseful. “She realizes that she committed a crime, that she did something wrong and she is very ashamed,” he said.
Flores added that Mello has saved many things he bought with the money and hopes the items will be sold to reimburse the government.
Prosecutors said Mello used the fake organization he created to apply for grants through the military program.
She filled out more than 40 applications over six years, illegally receiving nearly $109 million, Assistant U.S. Attorney Justin Simmons wrote in a court filing asking that Mello be sentenced to more than 19 years in prison.
Mello used the money to buy millions of dollars worth of real estate, clothing, high-end jewelry and 82 vehicles that included a Maserati, a Mercedes, a 1954 Corvette and a Ferrari Fratelli motorcycle.
Prosecutors detailed how Mello made lavish purchases during a massive scam that spanned six years, including spending $923,000 on jewelry in a single day in 2022.
Prosecutors said Mello used the fake organization she created to apply for grants through the military program. (Pictured: Mello with her husband outside the courthouse)
Agents executing a search warrant in 2023 found many of the vehicles with dead batteries because they had not been operated for a long time, Simmons wrote.
Prosecutors said Mello was able to steal so much because of his years of experience, his expert knowledge of the grant program and the trust he built up among his supervisors and coworkers.
“Mello’s penchant for extravagance was what led to her failure,” said Lucy Tan, acting special agent in charge of the IRS Criminal Investigation’s Houston field office.
Mello’s co-worker and friend, Denise Faison, defended Mello in a letter to the judge.
“Janet Mello is a good, kind, caring and loving person who would not hurt anyone,” Faison wrote.
“Janet has so much more to offer the world. Please allow her to repay her debt to society by giving back what she has taken, but without putting her in jail.”
Mello’s lawyer said he does not plan to appeal the sentence.
