August 13, 2026

Victims of embezzlement scheme to be reimbursed

"Any rancher who was legitimately signed up in a program and earned a payment that he did not receive will be paid," said Donald Jones, district director for the USDA's Farm Services Agency.

Federal officials believe more than $800,000 was embezzled from the agency's office in Elko.

Barbara Blackstock, former head of the Elko office, committed suicide last year, within two days after federal agents seized records from her office.

Her sister, Diana Johnson, was indicted by a federal grand jury on related charges. She is to appear in federal court in Reno next week.

Authorities contend 84 checks issued between 1992 and 1997 were involved. They allege some of the checks made payable to farmers or ranchers were forged and deposited to bank accounts controlled by the sisters.

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