Former Nye County Commissioner indicted for alleged COVID-19 relief fraud

PAHRUMP (KTNV) — Former Nye County Commissioner Leonardo F. Blundo is being indicted by a federal grand jury for allegedly applying for fraudulent COVID-19 relief funds on behalf of his restaurant in Pahrump, according to a news release by the U.S. Department of Justice.

According to the DOJ, he received more than $500,000 through the U.S. Small Business Administration through the Paycheck Protection Program, Economic Injury Disaster Loan and the Restaurant Revitalization Fund.

“Fraud will not be tolerated in our community—regardless of the position or identity of those involved,” said Special Agent in Charge Christopher S. Delzotto for the FBI’s Las Vegas Field Office. “Fraud erodes public trust and undermines the institutions our communities rely on every day. The FBI remains committed to protecting the integrity of our public institutions and ensuring that no one is above the law.”

According to the allegations within the court documents, Blundo was the owner and operator of Carmelo's Bistro in Pahrump. The documents allege that from March 31, 2020, to about Sept 6, 2021, Blundo submitted false PPP, EIDL, and RRF applications where he allegedly inflated the restaurant's gross revenue, its average monthly payroll and the number of employees when completing the applications.

As a result, he got two PPP loans, two EIDLs, and an RRF grant totaling more than $500,000.

A federal grand jury charged Blundo with five counts of wire fraud and two counts of money laundering.

If convicted, the maximum statutory penalty is 120 years of prison, a three-year term of supervised release, a $1.75 million fine and a $700 special assessment.

His initial appearance in court is scheduled for March 24, 2026.