Lawrence, Massachusetts Mayor Arrested and Accused of Misappropriating $1.5 Million in COVID-19 Aid

Brian DePena, 61, the mayor of Lawrence, Massachusetts, was arrested yesterday during an FBI operation. According to Boston television station WCVB5, he faces federal charges of wire fraud and money laundering.

Federal agents searched DePena’s home, while authorities suspect that he misappropriated $1.5 million from a COVID-19 relief program and transferred the funds to a personal account.

In a press release, the FBI’s Boston office said Brian DePena was arrested after allegedly taking advantage of a public health crisis and openly defrauding a government program created to help businesses during the pandemic.

According to prosecutors, the alleged scheme began “innocently.” In 2020, through a Small Business Administration program for businesses affected by the pandemic, DePena received a $150,000 federal disaster loan for his tire and auto repair business in Lawrence, according to an affidavit.

Prosecutors allege that his financial situation worsened the following year. Authorities said his mayoral campaign needed money, while he had unpaid tax obligations and high-interest loans tied to several properties in Lawrence.

DePena allegedly requested increases to the government loan several times, until it reached approximately $1.5 million. He then removed the money from the tire business, according to the indictment.

The press release states that federal prosecutors allege that more than $880,000 was used to pay off high-interest mortgages tied to other properties and businesses. Before the 2021 election, another $90,000 was allegedly transferred to his mayoral campaign.

DePena won that election and was re-elected in November 2025. The mayor, who holds both American and Dominican citizenship, appeared before federal court in Boston on August 14 and was released on bail. The conditions imposed include surrendering his passport, complying with the rules of his release and remaining in Massachusetts. He is also prohibited from applying for loans without the court’s authorization.

If convicted, DePena faces up to 20 years in prison for wire fraud and up to 10 years for money laundering. He could also face fines and supervised release.