Former Postmaster of Capitan Post Office Pleads Guilty to Federal Embezzlement Charge

ALBUQUERQUE – Kristi K. Sepkowitz, 55, of Alto, N.M., pleaded guilty this morning in federal court in Las Cruces, N.M., to a felony information charging her with embezzling money belonging to the United States.  Sepkowitz was the Postmaster of the Capitan Post Office in Lincoln County, N.M., when she committed the offense to which she pled guilty.

In her plea agreement, Sepkowitz acknowledged that as Postmaster of the Capitan Post Office, she held a position of trust with respect to funds belonging to the U.S. Postal Service that came into her possession.  Sepkowitz admitted that between Feb. 2012 and Dec. 2013, she betrayed that trust by engaging in an unlawful scheme pursuant to which she embezzled and converted funds, including cash and money orders, belonging to the U.S. Postal Service to her own use. 

During the course of the scheme, Sepkowitz issued postal money orders to herself without making appropriate payment.  She also took cash from daily postal deposits and used the cash for her own purposes.  Sepkowitz attempted to pay back the postal funds she embezzled by writing checks on her personal bank account and depositing the checks with the daily postal deposits.

According to court filings, Sepkowitz embezzled and converted more than $450,000 in postal funds over the course of the scheme.  She has fully repaid the U.S. Postal Service for the postal funds she embezzled and converted to her own use.

Under the terms of her plea agreement, Sepkowitz will be sentenced to three years of probation and required to pay a $1,000.00 fine.  She remains on conditions of release pending her sentencing hearing, which has yet to be scheduled.

This case was investigated by the U.S. Postal Service, Office of Inspector General and is being prosecuted by Assistant U.S. Attorney Brock E. Taylor, of the U.S. Attorney’s Las Cruces Branch Office.