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Noem Threatens Lawsuit Over Credit Card Spending Reports

Kristi Noem, Dakota Scout, cease-and-desist, South Dakota, credit card, expenditures, government spending, defamation, Fox News, Jonathan Ellis, Austin Goss, Homeland Security, Trump administration, lawsuit, media, reporting, corrections, open records, state auditor, security detail.

Noem’s Legal Team Demands Retraction from South Dakota Media Outlet Over Credit Card Reporting

Kristi Noem, the former South Dakota governor and newly appointed Secretary of Homeland Security, is taking legal action against a local media outlet, The Dakota Scout, over its reporting on her office’s credit card expenditures during her time in office. Through her legal team, Noem has issued a cease-and-desist letter demanding that The Dakota Scout retract and correct what she claims are "false and misleading" reports. These reports, according to Noem, inaccurately portray her as personally racking up hundreds of thousands of dollars in charges on a government-issued credit card.

The cease-and-desist letter, obtained by Fox News Digital, asserts that The Dakota Scout has repeatedly and inaccurately attributed all charges on credit cards used by the Office of the Governor of South Dakota to Noem herself. This, Noem’s legal team argues, has led to the conclusion that she violated state laws or misappropriated taxpayer funds for personal use.

The letter specifically calls out headlines and reports published by The Dakota Scout, including claims that Noem spent nearly $650,000 on the charge cards from 2019 through April of this year. Noem’s legal team contends that these reports have been widely disseminated and repeated by other news outlets, causing significant damage to her reputation.

In contrast to The Dakota Scout’s reporting, Noem’s legal team asserts that she personally used her government credit card approximately 30 times during her tenure as governor, totaling $2,056.72. While acknowledging that the governor’s office did spend over $650,000 via multiple credit cards for official purposes, Noem’s team emphasizes that these expenses were not solely incurred by her and were related to the operation of the governor’s office.

Noem’s office previously attempted to address the issue in October 2024, sending a letter to The Dakota Scout requesting a correction to its reporting. The letter detailed Noem’s credit card usage, including specific amounts spent in each year of her governorship. The office also clarified that the initial spreadsheet provided to The Dakota Scout by the state auditor included expenses for multiple state employees, not just the governor, leading to the outlet’s inaccurate conclusion.

However, The Dakota Scout dismissed the request for correction, responding with "heh" in an email. The email, reviewed by Fox News Digital, also stated, "I’m certain you will have the opportunity to fully explain your reasoning when you are deposed."

The cease-and-desist letter demands that The Dakota Scout immediately cease reporting that Noem spent hundreds of thousands of dollars on her government-issued credit cards and correct any headlines or graphics stating the same. Failure to comply, the letter warns, could result in a lawsuit seeking maximum compensatory and punitive damages, estimated at millions of dollars.

"We understand the benefit of transparency in government, but articles that are false, misleading, and deceptive do not provide transparency," the letter states. "Instead, such repeatedly false, misleading, and inaccurate reporting constitutes defamation."

The Dakota Scout, a local media outlet covering South Dakota politics and culture, was founded in 2022. The outlet has extensively reported on credit card expenditures during Noem’s gubernatorial tenure, including headlines such as "Noem’s state credit card spending kept secret," "AG Jackley releases state reimbursements amid scrutiny of Noem’s credit card usage," and "Kristi Noem’s credit card expenses: Search database to see 5 years of charges."

The Dakota Scout obtained credit card expenditures for Noem and her office in early 2025 after filing an open records lawsuit against the state auditor in September 2025. The outlet subsequently launched a database of her office’s credit card transactions across five years.

In response to the cease-and-desist letter, The Dakota Scout’s co-founders, Jonathan Ellis and Joe Sneve, issued a statement to Fox News Digital, saying, "The Dakota Scout has not seen the letter, but it sounds like it was written by somebody lacking understanding of the facts and the First Amendment. We stand by our reporting, and wish Sec. Noem well on her endeavors."

Tim Murtaugh, a spokesman for Noem, has labeled The Dakota Scout’s reports as "fake news." He alleges that the outlet is attempting to raise its profile by attacking Noem, a prominent public figure.

The total credit card expenses for the governor’s office included payments for Noem’s security detail, particularly when she was traveling. Bernard Kerik, the retired New York City Police Commissioner, has defended these expenditures, citing Noem’s high profile and the need for security protection.

"Kristi Noem was and is a high-profile public official who faces real security threats, including during the time when she was governor of South Dakota," Kerik said. "A governor is never off-duty and requires the same level of protection regardless of whether they are in their home state or traveling out of state."

The Dakota Scout’s coverage on the expenses was primarily authored by journalists Ellis and Austin Goss. Goss previously made headlines in 2023 when he was arrested for impersonating Noem in what he described as a prank phone call. Goss used a prerecorded prank message while calling the former chairman of the South Dakota Republican Party, impersonating Noem. He was initially charged with a misdemeanor count of making threatening, harassing, or misleading contacts, but later pleaded guilty to a misdemeanor disorderly conduct charge.

Following the plea, Goss sent an apology letter to Noem, expressing his respect for the former governor and apologizing for the strain his actions caused within her office.

Noem’s legal team plans to send similar cease-and-desist letters to other outlets that characterize the $650,000 in expenditures as being made specifically by the former governor.

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