Cholesterol is a waxy substance found in your bloodstream. While a healthy level of cholesterol is perfectly acceptable and needed to make hormones and build cell membranes, an excess amount of cholesterol, especially in a person with diabetes can cause a build-up of bad fats in the lining of your arteries, attributing to dangerous heart disease and can lead to a stroke or heart attack. It is very difficult to control high cholesterol in a person with diabetes because diabetes & cholesterol are combative against each other. Talking with your doctor can help you figure out if any of the diabetic medications you are currently taking can be adjusted as studies have found that some medications for diabetes can actually help to lower cholesterol levels, when adjusted properly.