A Las Vegas woman was arrested Friday, March 13, following a multi-agency investigation into an alleged large-scale fraud operation involving stolen personal information and the trafficking of Supplemental Nutrition Assistance Program (SNAP) benefits.
The Nevada State Police Investigation Division arrested Mychelle Lay after investigators uncovered evidence linking her to the alleged scheme.
The investigation began when caseworkers with the Nevada Division of Social Services (DSS) flagged several suspicious benefit applications for review. As the inquiry expanded, the Nevada Attorney General’s Office became involved, and officials discovered the Nevada State Police were already investigating similar fraudulent activity.
Authorities say the case took a significant turn in June 2025 when officers with the Nevada State Police Parole and Probation Division conducted a home contact with Lay, who was on probation at the time. Lay was under supervision for previous convictions involving possession of a controlled substance and obtaining and using another person’s personal identifying information.
During that contact, officers discovered evidence believed to be connected to ongoing fraudulent activity.
According to investigators, Lay later established a fictitious business in the Las Vegas area that was approved through the federal process to accept SNAP Electronic Benefit Transfer (EBT) transactions in December 2024. The business reportedly began operating in January 2025 and was allegedly used to carry out fraudulent SNAP benefit transactions.
Financial records reviewed by investigators indicate that the business processed hundreds of thousands of dollars in transactions between January and September 2025, which were tied to the suspected fraud.
Authorities also discovered evidence of numerous individual profiles connected to the activity, though the total number of potential victims has not yet been determined.
Investigators say the case may also involve potential fraud related to Medicaid enrollment. State officials are continuing to review records to determine the full scope and possible financial impact.
Gov. Joe Lombardo said the case highlights the importance of coordination among state agencies in identifying and investigating fraud involving public benefit programs.
The Nevada Division of Social Services, which administers SNAP benefits and oversees the Medicaid eligibility process in the state, is working with both state and federal agencies as the investigation continues.
Robert Thompson, administrator of the division, stated that the case was first identified when a DSS caseworker noticed multiple benefit applications associated with the same address.
The investigation remains ongoing. Authorities have not yet released additional details about potential charges or whether others may be involved.
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