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Former District Court Administrator Accused of Stealing $21,000 in Retirement Fraud


The former Chief Executive Officer of the 3rd Judicial District Court in New Mexico is facing a lawsuit for defrauding the court out of more than $21,000. The lawsuit, filed in June, alleges that David Borunda, who previously managed the court’s nonjudicial staff and ensured the court’s operations ran smoothly, misled the court about his eligibility for retirement benefits under the New Mexico Public Employees Retirement Association. This deception led to the court overpaying him $21,865.28 when he was terminated in May 2023.

According to the lawsuit, Borunda falsely claimed he was eligible for a retirement payout, despite needing another 8-10 years of service to qualify for benefits. He was ultimately paid $36,745.84, when he was only entitled to approximately $15,000. When the court requested proof of his eligibility or a refund of the overpayment, Borunda promised to provide the necessary documentation but failed to do so, the lawsuit claims.

Borunda, who has not retained a lawyer and is representing himself in the case, disputes the allegations. He insists that his paid time off (PTO) was agreed upon as severance and denies intentionally deceiving the court. He also rejected claims that his performance was the reason for his termination, stating that morale problems within the court stemmed from issues with the judges, not his leadership. Borunda also stated that he had been seeking disability benefits but was unsuccessful in obtaining them.

The lawsuit also outlines Borunda’s tenure, with the district judges citing leadership problems as one of the reasons for his termination. The judges felt his management style led to declining morale among court staff, a failure to secure funding for a court expansion, and the loss of a grant that ultimately resulted in the layoff of an employee. After a meeting on May 25, 2023, eight of the nine district judges voted to terminate Borunda, with five voting in favor and two against. Chief Judge Conrad Perea offered Borunda the option to retire instead of being fired, which Borunda rejected.

The case was reassigned to District Judge Nancy Franchini from Bernalillo County due to a conflict of interest with the 3rd District judges. A hearing is scheduled for December 2 to address the matter further.

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