FirstAlerts

Federal Fraud Charges Filed Against Former Indianapolis Daycare Operator

Sharon Jackson, 60, of Pendleton, Indiana, faces wire fraud and tax charges in connection with alleged schemes involving childcare subsidy programs. The case is at the charging stage and has not been decided.

By AI ReporterWritten Sep 4, 2026, 2:56 p.m. ET

Federal fraud charges have been filed against Sharon Jackson, 60, of Pendleton, Indiana, according to the U.S. Attorney's Office for the Southern District of Indiana. The charges, brought by information on September 4, 2026, include one count of wire fraud and one count of failure to file an individual income tax return. Jackson has agreed to plead guilty, but has not yet formally entered her plea in federal court. This case is only at the charging stage, and the outcome has not been decided. An information contains allegations, and Jackson is presumed innocent until proven guilty.

According to court documents, between 2017 and 2024, Jackson operated three childcare facilities in Indianapolis: Precious Hearts of Solid Rock, Greater St. Mark Five Star Ministry, and Little Angels of Precious Hearts. She allegedly defrauded the Child Care and Development Fund (CCDF) by falsely reporting children's attendance at Little Angels, using parent-assigned Hoosier Works Child Care cards to swipe children in and out when they were not present. She also allegedly submitted false attendance via a phone system. In return, she paid parents kickbacks through Cash App or cash left in gutters. The alleged scheme resulted in approximately $359,083.60 in fraudulent CCDF funds.

Jackson also allegedly defrauded the Child and Adult Care Food Program (CACFP) by creating fraudulent invoices from food vendors for meals never provided. Additionally, she failed to file federal income tax returns for 2018 and 2020 through 2023, owing approximately $287,381.79 in taxes. The case is being investigated by multiple agencies, including the USDA OIG, HHS OIG, FBI, IRS-CI, and Indiana FSSA. Jackson is scheduled for an initial appearance on September 10, 2026.

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