Texas ‘Gucci Goddess’ stole nearly $109 million from military childcare program to buy Maseratis and 30 homes

A Texas woman who received daily deliveries of designer handbags to her door earned the nickname the ‘Gucci Goddess.’ It was later discovered that the financial program manager was using public funds intended for programs for the children of Army soldiers, to fund a lavish lifestyle.

Janet Mello was sentenced to 15 years in federal prison on Tuesday, for conducting one of the biggest public frauds in Texas history. She stole an estimated $109 million in federal grant money over the course of seven years. The elaborate scheme went far beyond designer handbags, according to authorities.

Prosecutors said that Mello, 57, used the money to buy 30 houses worth $23 million located in five states, as well 82 luxury automobiles and vintage motorcycles - including a $239,000 Land Rover, a 1954 Corvette, a Maserati and a 1911 Harley Davidson.

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Investigators recovered 1,500 pieces of high-end jewelry that were purchased by Mello - $1 million of which she purchased in a single day, according to court documents. Authorities seized hundreds of luxury handbags and designer shoes worth hundreds of thousands of dollars.

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Investigators believe that Mello’s scheme began in 2016, when she was employed as a director in charge of youth services at Fort Sam Houston. According to court filings, Mello set up a fake business called Child Health and Youth Lifelong Development, which she presented as an outside youth-services contractor eligible for funds from the 4-H Military Partnership grant program.

Over the course of seven years, prosecutors say Mello funneled nearly $109 million in grants to the company, which never provided any services to children of military parents. It was nothing more than a bank account controlled by Mello.

In March, Mello pleaded guilty to stealing the money and omitting it from her tax filings in 2017, 2019, 2020, 2021, and 2022. This week, she received a sentence of 15 years.

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