ALBUQUERQUE, N.M.—A woman who is in a relationship with a congressional candidate is among two people who have been indicted on fraud and conspiracy charges involving a Santa Fe hospital, New Mexico Attorney General Gary King announced Thursday.
According to documents filed in district court Wednesday, Loretta Mares, 48, and former hospital executive Richard Crabtree, 56, were recently indicted on numerous counts of fraud and conspiracy in connection with St. Vincent Hospital.
“For a three-year period from early 2005 to early 2008, Richard Crabtree authorized numerous payments on behalf of St. Vincent to various companies operated and/or controlled by Loretta Mares and/or her associates,” the indictment alleged. “Crabtree, in turn, received payments from these same companies and/or people.”
Among the charges Mares faces are eight counts of fraud over $20,000 and one count of conspiracy to commit fraud. Crabtree is charged with nine counts of fraud of over $20,000 and one count of conspiracy to commit fraud of over $20,000, among other charges.
Mares, who also goes by Bernadette Gallegos, has been described as someone who has been involved in a relationship with 1st Congressional District candidate and former Albuquerque Mayor Martin Chavez.
Alan Packman, a campaign spokesman for Chavez, told the Albuquerque Journal that Chavez and Mares began a relationship in early 2009 and had been living together in Albuquerque’s North Valley until Chavez recently moved out.
“This has nothing to do with Marty (Chavez) or his campaign. This occurred before their relationship began,” Packman said in an email statement to The Associated Press. “They are no longer living together and there will be nothing further about the relationship.”
Mares, who did not immediately return a phone message to the AP, declined to tell the Journal if she and Chavez were still in a relationship. It was unclear if they had attorneys.
Crabtree, who lives in Castle Rock, Colo., also did not immediately return a phone message. His attorney, B.J. Crow, said he was still reviewing the indictment. “But I can tell you that we will defend (Crabtree) to the fullest extent,” he said.
The pair also is involved in a federal lawsuit alleging they embezzled about $3 million from the same hospital. The Great American Insurance Co. filed the lawsuit in December against Crabtree, Mares, her two brothers and five of their companies.
It accuses the defendants of engaging in a “pervasive scheme” to misappropriate money from Christus St. Vincent Regional Medical Center by billing and collecting at least $3.2 million for claimed services that either weren’t provided or were grossly inflated.
At the time, Chavez said his relationship with Mares began long afterward and he had no knowledge of anything related to the allegations.
