An Alameda man has found himself at the center of a hefty federal indictment, facing charges that suggest a twisted tale of deceit and theft from those reliant on federal benefits. Nathan Wu-Falkenborg, 49, was indicted by a federal grand jury on 15 counts, including bank fraud and aggravated identity theft, as detailed in an indictment that opens up accusations of stealing from prepaid debit card accounts. According to the indictment filed last Tuesday and unsealed today, Wu-Falkenborg, while employed in fraud prevention for a company that operated the Direct Express card program, allegedly took advantage of his position to engage in unauthorized use of accounts and customer identities, as per the U.S. Attorney’s Office.
The indictment, as publicized in an announcement from United States Attorney Craig H. Missakian and FBI Special Agent in Charge Sanjay Virmani, lays out that Wu-Falkenborg allegedly obtained roughly $800,000 by activating and using several dormant Direct Express accounts between September 2021 and March 2022; these accounts were funded awaiting beneficiary use but seemed inactive, a perfect cover for the fraud. He is accused of several hundred ATM withdrawals across the Bay Area and multiple online transactions. Though his initial appearance in federal district court has already occurred, he will again confront the judiciary at a status conference scheduled for July 9, before U.S. District Judge Charles R. Breyer.
Despite the enormity of the claims, Wu-Falkenborg has been released on bond, reminding us of the justice system’s principle that an indictment does not equate to guilt, and all defendants maintain innocence until proven otherwise. If the allegations hold and guilt is determined, the punches won’t be pulled; Wu-Falkenborg could be facing up to 30 years imprisonment and fines up to $1 million for each bank fraud count, on top of a mandatory two-year sentence for each count of aggravated identity theft, including a fine of $250,000…