United States Attorney Ron Parsons and South Dakota Attorney General Marty Jackley held a joint press conference at the Sioux Falls Police Department on Thursday, March 26, 2026, to highlight new federal and state initiatives to combat the serious problem of fraud committed against state and federal governments and government programs.
The U.S. Attorney’s Office and South Dakota Attorney General’s Office are working together toward the same goals: protecting taxpayer dollars, ensuring government program funding goes to the people in need of assistance, and prosecuting those who steal from state, federal, or tribal governments. Alongside law enforcement and agency partners, the U.S. Attorney’s Office and South Dakota Attorney General’s Office work together to detect, root out, and prosecute fraudulent conduct. Tips and leads from employees, contractors, and concerned citizens are often how fraud is first discovered.
“South Dakotans deserve a state government that is transparent and free from corruption,” said Attorney General Jackley. “I have and will hold offenders accountable.”
NATIONAL CONTEXT: THE SCALE OF THE PROBLEM
According to the Government Accountability Office (GAO), the federal government loses an estimated $233 billion to $521 billion every year to fraud — representing 3% to 7% of total federal spending. Since 2003, cumulative improper payments have totaled approximately $2.8 trillion. In fiscal year 2024 alone, 16 federal agencies reported $162 billion in improper payments across 68 programs.
The federal multi-agency crackdown on benefit fraud in Minnesota—which resulted in charges against 98 defendants and 64 convictions to date—demonstrated the effectiveness of coordinated enforcement across multiple agencies. The new national DOJ Fraud Enforcement Division created under the Trump Administration is modeled on that effort and dedicated to combating fraud—both criminal and civil—in every federal program, in every state. On March 24, 2026, Assistant Attorney General Colin McDonald was confirmed by the United States Senate to lead that division.
THE USAO’S NEW GOVERNMENT FRAUD UNIT
Recently, the United States Attorney’s Office for the District of South Dakota established a Government Fraud Unit to integrate civil and criminal prosecutors from the outset of every case involving government fraud. This unit facilitates the simultaneous pursuit of criminal charges and civil remedies, including recovery under the False Claims Act, which allows the government to seek treble damages for fraud against federal programs. The Unit’s focus areas include:
• Healthcare fraud (Medicare, Medicaid, and federal health programs)
• Procurement and grant fraud
• False Claims Act violations
• Theft from tribal programs and organizations
• Financial fraud against federal programs of every kind
The USAO Government Fraud Unit in South Dakota will work closely and coordinate with the new Fraud Enforcement Division at the Department of Justice in Washington, D.C.
You can read the full article at the United States Attorney’s Office.