Nine people were charged in separate Massachusetts benefit fraud cases after federal investigators said stolen identities were used to obtain government identification and collect nearly $1 million through SNAP, MassHealth and Social Security programs.
The identities often belonged to U.S. citizens from Puerto Rico. Prosecutors say some defendants used the stolen information to obtain Massachusetts Registry of Motor Vehicles credentials and, in certain cases, U.S. passports before applying for public assistance.
The U.S. Attorney’s Office for the District of Massachusetts calculated approximately $943,197 in combined alleged losses, including about $149,775 in SNAP benefits, $776,715 in MassHealth benefits and $16,707 in Social Security benefits.
The defendants were charged in nine separate cases brought as part of a coordinated federal benefit fraud crackdown. Prosecutors did not accuse the nine people of participating together in a single conspiracy.
Stolen Identities Were Used to Obtain Government Documents
Investigators say the alleged schemes went beyond placing someone else’s name on a benefits application. In several cases, stolen identifying information was first used to obtain government-issued identification that made the assumed identities appear legitimate.
Federal prosecutors said the defendants allegedly used stolen identities, often those of U.S. citizens from Puerto Rico, to obtain Massachusetts RMV credentials and, in some cases, U.S. passports. Those identities were then used to apply for and receive government benefits.
Some identities were allegedly used for years. Prosecutors said one defendant had lived under another person’s identity for more than two decades. In multiple cases, defendants are also accused of giving stolen identities to law enforcement during previous arrests, and prosecutors said at least one person had previously been convicted while using someone else’s identity.
The Nine Cases Involved Different Charges
The defendants named in the March crackdown were Juan Felipe Chalas, Efrain Rivera, Danis Piron Lara, Erpawi Roque Collado, John Doe also known as Wilkin Emilio Pimental Pereyra, an unidentified John Doe living in Hyde Park, Mercedes Soto Capellan, Oscar Gonzalez Melo and Cruz Augusta Pena Arias.
The charges varied by defendant and included unlawful receipt of SNAP benefits, aggravated identity theft, misuse of a Social Security number, theft of government benefits, passport fraud and false statements involving health care benefits.
The approximately $943,197 loss figure represents the combined alleged losses across the nine separate cases. The defendants were not charged together as members of one fraud organization.
Mercedes Soto Capellan Was Accused of Using a Puerto Rican Woman’s Identity
Mercedes Soto Capellan, 53, of Lawrence, was charged with unlawfully obtaining SNAP benefits. Federal officials have said the benefits connected to her alleged use of a stolen identity totaled approximately $65,521 across SNAP and MassHealth.
The Boston Globe, citing court filings, reported that Capellan was accused of assuming the identity of a woman from Puerto Rico and receiving more than $16,000 in Massachusetts SNAP benefits over approximately four years.
The larger $65,521 figure includes benefits beyond SNAP and should not be confused with the approximately $943,197 attributed to all nine cases.
Juan Felipe Chalas Later Pleaded Guilty
One of the nine defendants has moved beyond the original charging stage. Juan Felipe Chalas pleaded guilty in May to making a false statement in a passport application and unlawfully obtaining SNAP benefits.
The Justice Department said Chalas admitted using the identity of a U.S. citizen from Puerto Rico to obtain U.S. passports and government benefits. He agreed to restitution of $12,584 for SNAP benefits, $25,491 for Social Security disability benefits and $266,857 for MassHealth benefits.
Chalas was scheduled for sentencing on September 8. The remaining defendants’ cases must be evaluated according to their individual court status, and criminal charges remain accusations unless a defendant has pleaded guilty or been convicted.
What to Do if Benefits or Government Records Appear in Your Name
Massachusetts identity theft guidance recommends reporting stolen identity information to the affected government agency and filing a report with local law enforcement. Victims should keep copies of police reports, government notices and other documents showing activity they did not authorize.
Someone who learns that SNAP, MassHealth or another public benefit was obtained using their identity should contact the program involved through independently verified contact information. Massachusetts also maintains a public benefit fraud reporting system for suspected fraud involving MassHealth, food assistance and other state programs.
Identity theft can extend beyond benefit records. Massachusetts recommends reviewing credit reports and considering a fraud alert or credit freeze if stolen identifying information could also be used to open financial accounts or obtain credit.
Suspected Massachusetts public benefit fraud can be reported to the U.S. Attorney’s benefit fraud hotline at 1-855-SCAM-MA-1 (855-722-6621). Identity theft victims can also use IdentityTheft.gov to create an FTC identity theft report and a recovery plan tailored to the information that was misused.
