Lawrence Mayor Brian DePeña charged with pandemic loan fraud

Brian DePeña wire fraud money laundering pandemic loans Lawrence Mayor

Lawrence Mayor Brian DePeña has been arrested and charged with wire fraud and money laundering following a federal investigation. Prosecutors allege that DePeña fraudulently obtained approximately $1.5 million in pandemic-era Economic Injury Disaster Loans (EIDL) through his business, Tenares Tire Services Inc.

Federal authorities claim the funds, intended to support businesses during COVID-19 shutdowns, were instead diverted for personal and political use. Specifically, investigators allege the money was used to pay personal taxes, settle more than $880,000 in high-interest mortgages, and fund his 2021 mayoral campaign.

DePeña, 61, appeared in a Boston federal court where he was released without bail under certain conditions, including the surrender of his passport. He has not entered a plea of guilty or not guilty. DePeña has denied the allegations, claiming they are politically motivated by ‘enemies’ and maintaining that he is an ‘honest and decent’ man. He has expressed his intention to continue serving as mayor.