Lawrence Mayor Brian DePena, 61, was charged with wire fraud and money laundering for allegedly using $1.,5 million in COVID loans for small businesses to fund his campaign, pay personal taxes and pay off other loans. DePena applied for pandemic relief loans in 2020 and 2021 to support Tenares Tire Services, an auto shop he owned in Lawrence. Photo courtesy of U.S. Attorney’s Office in Massachusetts
Aug. 14 (UPI) — A Massachusetts mayor was arrested Friday on charges of fraudulently obtaining more than $1.5 million in COVID loans for small businesses, federal prosecutors said.
Lawrence Mayor Brian DePena, 61, was charged with wire fraud and money laundering for allegedly using the loans to fund his campaign, pay personal taxes and pay off other loans.
DePena applied for pandemic relief loans in 2020 and 2021 to support Tenares Tire Services, an auto shop he owned in Lawrence.
Prosecutors say he used nearly $900,000 of the loans to pay off mortgages, $85,000 for personal tax debts and at least $130,000 to fund his campaign.
“This was emergency financial assistance meant to be a safety net for struggling businesses, not Mr. Depena’s own personal ATM,” said Ted Docks, special agent in charge of the FBI’s Boston office, in a statement.
DePena was first elected mayor of Lawrence in 2021 and was reelected last November.
If convicted, he faces up to 20 years in prison for each charge.
“Mayor DePena was elected to be a leader for the City of Lawrence,” U.S. Attorney Leah Foley said in a statement. “He was looked up to and trusted by his constituents, but he betrayed that trust through his alleged corruption and lies,”
