Civilian employee charged with embezzling millions from U.S. Army

SAN ANTONIO (KTSA News) — A woman accused of embezzling more than $100-million from the U.S. Army is now facing 10 counts of fraud while working as a civilian financial program manager at Fort Sam Houston.

If convicted Janet Yamanaka Mello, 57, faces a maximum penalty 140 years in prison and give up all the proceeds and property she bought with the embezzled money.

Now under indictment, Mello allegedly stole the money by regularly submitting fraudulent paperwork that indicated an entity she controlled, Child Health and Youth Lifelong Development (CHYLD), was entitled to receive funds from the Army.

Mello claimed CHYLD provided services to military members and their families, when, in reality, CHYLD did not provide any services.  The indictment alleges that Mello instead used the funds to buy millions of dollars in jewelry, clothing, vehicles, and real estate.  Additionally, Mello is alleged to have falsified the digital signature of one of her supervisors on multiple occasions.

Mello is charged with five counts of mail fraud, four counts of engaging in a monetary transaction over $10,000 using criminally derived proceeds, and one count of aggravated identity theft.

Mello’s initial federal court date is set for December 14.