Pholopater Faltas, Mail and Wire Fraud, New Mexico 2020

A 24-year-old Albuquerque man is facing serious charges after allegedly scamming individuals out of unemployment benefits in the early stages of the COVID-19 pandemic.

Pholopater Faltas, 24, of Albuquerque, was arraigned on an indictment charging him with eight counts of mail fraud and two counts of wire fraud.

According to the indictment, Faltas recruited participants to his scheme by telling them he would submit applications for benefits on their behalf. If the applications were approved, Faltas allegedly would cause the funds to be disbursed to debit cards and bank accounts that he possessed and controlled.

In some cases, Faltas provided only a small fraction of the benefits to participants, falsely informing them that they were receiving all the benefits disbursed, or falsely informed participants that their applications had been denied. In either case, Faltas retained all or most of the assistance funds disbursed.

The activity alleged in the indictment occurred between April and October of 2020, during the early stages of the COVID-19 pandemic. Some of the participants in whose names Faltas submitted applications were not eligible for benefits, including because certain applicants were not actually residents of New Mexico.

As part of the scheme, Faltas included and aided and abetted the inclusion of materially false pretenses, representations, and promises calculated to make the purported applicant appear eligible, including by claiming non-New Mexico residents lived at addresses in New Mexico.

Pholopater Faltas remains on conditions of release pending trial, which has not yet been scheduled. An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Faltas faces up to 30 years in prison.

The investigation was conducted by the United States Secret Service, Albuquerque Resident Office, and the Bernalillo County Sheriff’s Office with assistance from the Department of Labor – Office of the Inspector General. Assistant United States Attorney Taylor F. Hartstein is prosecuting the case.

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