Attorney General Marty Jackley is confirming a fraud investigation involving a former Department of Motor Vehicles employee.
Jackley said the employee used their position to create fake motor vehicle titles. They used these titles to get bank loans.
The employee secured almost $400,000 across 13 loans between 2016 and 2023. However, officials said little state money was lost. A statement from the Department of Revenue, which the DMV is under, said the misconduct included waiving fees and taxes totaling less than $1,300, and no other state funds were compromised.
According to the statement, the Department of Revenue was alerted to potential misconduct in February of 2024. The department conducted an internal review and alerted Jackley's office as well as the Department of Legislative Audit and the Board of Internal Controls.
"The Department of Revenue and the governor’s office cooperated with the investigation conducted by the Division of Criminal Investigation," Jackley said.
The employee has since passed away. Jackley said there’s no evidence anyone else was involved, so no charges are being filed.
The attorney general did not name the employee, but a report from The Dakota Scout identified her as Sandra O’Day.
Jackley hinted at an investigation into the misuse of state funds in an interview with SDPB's In the Moment earlier this week.
The Department of Revenue statement said the department has resolved the records involved and "implemented new policies, procedures and internal controls."
"This individual acted alone and for their own personal gain," the statement said.
Word of this investigation comes just weeks after Jackley announced an embezzlement investigation against a former Department of Social Services employee.
