Stefan Pildes, the 50-year-old president of the New York City SantaCon event, has been charged with wire fraud. The US Attorney's Office for the Southern District of New York alleges he diverted millions of dollars from the annual charity pub crawl for personal use.

Pildes pleaded not guilty to the single count on Wednesday afternoon. The charge carries a potential maximum sentence of up to 20 years in prison if convicted.

Charity Event or 'Con Game'?

Prosecutors state that Pildes marketed SantaCon as a philanthropic fundraiser, with tickets priced between $10 and $20. Attendees were told proceeds would benefit organisations including The Children's Heart Foundation and Clowns Without Borders.

Instead, authorities allege Pildes ran a "con game," siphoning money into accounts he controlled. Only a "small fraction" of the approximately $2.7 million generated between 2019 and 2024 reached charity, with more than half used for his personal benefit.

Funding a Luxury Lifestyle

An indictment details how the alleged "slush fund" was used. Expenses included extravagant holidays in Hawaii, Las Vegas, and Vail, and over $365,000 in renovations to a New Jersey lakeside property.

Further personal expenditures cited include a $124,000 lease on a luxury Manhattan apartment and nearly $3,000 on a birthday dinner at a Michelin-starred Manhattan restaurant.

Long-Standing Scrutiny

SantaCon, which regularly draws over 25,000 costumed participants, has long faced criticism in New York City for unruly behaviour. Its charitable claims have also been questioned, with past reports describing it as resembling "a drunken free-for-all."

In 2023, an investigation by Gothamist, operated by New York Public Radio, found large sums of SantaCon's funds had been directed into cryptocurrency and groups related to the Burning Man festival.

Official Condemnation and Next Steps

"Pildes allegedly stole Christmas from tens of thousands of victims and deprived local charities of more than one million dollars," said FBI Assistant Director in Charge James C. Barnacle, Jr. "The FBI continues to root out scrooges that greedily exploit the goodwill of New Yorkers."

An attorney for Pildes has not yet been named in court filings, and Pildes did not respond to requests for comment from Business Insider. The case will now proceed through the federal court system.