Mayor Brian DePena of Massachusetts Accused of Misusing $1.5 Million Covid Pandemic Loan

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Mayor Brian DePena of Massachusetts Accused of Misusing $1.5 Million Covid Pandemic Loan

  • Edited by: Sagar Kar
  • Updated Aug 15, 2026, 04:35 IST

Lawrence Mayor Brian DePena has been arrested and charged with wire fraud and money laundering over allegations he misused a $1.5 million COVID-19 small business loan to pay personal mortgages and fund his 2021 campaign.

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Lawrence Mayor Brian DePena.

Lawrence Mayor Brian DePena was taken into custody Friday after federal authorities accused him of misusing a pandemic era small business loan for personal gain rather than the business it was meant to support. The 61 year old mayor faces one count of wire fraud and one count of money laundering. Prosecutors allege that DePena fraudulently obtained a 1.5 million dollar COVID-19 small business loan that was supposed to go toward his tire sales business.

Instead of putting the money into that operation, DePena allegedly used more than 880,000 dollars to pay off high interest mortgages tied to several of his other properties. He is also accused of diverting 90,000 dollars from the loan into his 2021 mayoral campaign fund.

His Political Background

DePena has served as mayor of Lawrence since 2021. Before taking that office, he spent time on the Lawrence City Council.

The FBI’s Response

Ted Docks, who leads the FBI’s Boston Division as special agent in charge, did not hold back in describing the allegations. He accused DePena of taking advantage of a public health crisis to defraud a federal program designed to help struggling businesses survive the pandemic.

Docks said that when elected officials misuse federal money for their own benefit, they violate both the trust of the people who elected them and the law itself. He added that the FBI, working alongside its partners, will keep pursuing anyone who defrauds the federal government, warning that those responsible will face prosecution to the fullest extent possible and that what may have seemed like easy money will come with serious consequences.

What Happened in Court

DePena made his first court appearance Friday afternoon in federal court in Boston. According to a report from Independent, he was released after agreeing to a set of conditions, which include handing over his passport and refraining from seeking any new loans unless he gets approval from the court first.

His Response

Outside the courtroom, DePena’s attorney, Carlos Apostle, declined to answer reporters’ questions, repeatedly saying “no comment.” DePena himself, who holds citizenship in both the United States and the Dominican Republic, was asked whether he planned to resign from office. His only response was “God bless.” He did not offer any further comments.

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Sagar Kar
Sagar Kar author

Sagar is a journalist with an interest primarily in geopolitics and American domestic politics. Before joining Times Now, he wrote for Republic and Sw… View More

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Original source: https://www.timesnownews.com/world

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