Massachusetts Mayor Arrested After Allegedly Stealing $1.5 Million in COVID Relief Funds

FBI agents arrested Lawrence Mayor Brian DePeña on Aug. 14 on federal wire fraud and money laundering charges.

The 61-year-old mayor was taken into custody at his Massachusetts home in a dramatic morning operation that involved agents using a bullhorn and battering ram, according to WCVB5 in Boston. DePeña, who was re-elected in November 2025, appeared in federal court that same afternoon and was released under conditions including surrendering his passport, reporting to probation, and remaining in Massachusetts.

Massachusetts mayor arrested for allegedly ripping off $1.5M in COVID funds
Massachusetts mayor arrested for allegedly ripping off $1.5M in COVID funds

“The FBI arrested Mayor Brian DePeña for allegedly cashing in on a public health crisis and blatantly defrauding a government program meant to keep businesses afloat during the pandemic,” FBI Boston Special Agent in Charge Ted E. Docks said in a press release.

The alleged scheme began in 2020 when DePeña obtained a $150,000 federal disaster loan for Tenares Tire Services, Inc., his Lawrence tire and auto service business, through a Small Business Administration program designed to help companies battered by the pandemic, according to an affidavit. But by early 2021, prosecutors allege, DePeña’s finances were squeezed — his mayoral campaign needed cash, he owed back taxes, and he was facing high-interest loans tied to several Lawrence properties.

DePeña allegedly sought repeated increases to the government loan until it ballooned to roughly $1.5 million, then diverted the cash away from the tire business. Federal prosecutors allege more than $880,000 went toward paying off high-interest mortgages on other properties and businesses, while another $90,000 was funneled into his mayoral campaign ahead of the 2021 election, according to the press release.

Court documents reveal DePeña’s mounting urgency in text messages to his accountant and financial adviser. “Brother, call me, I’m in trouble,” he wrote, according to the complaint. “I don’t want to pressure you, I don’t have time to wait for this loan. It’s in your hands.”

In another text, DePeña continued, “I know I’m bothering you a lot, but I have no other option. Only you can give me what I need.”

Massachusetts mayor arrested for allegedly ripping off $1.5M in COVID funds
Massachusetts mayor arrested for allegedly ripping off $1.5M in COVID funds

The EIDL money was deposited into the Tenares Tires bank account on Aug. 16, 2021, prosecutors say. In truth, DePeña did not intend to use the funds solely as working capital to alleviate economic injury caused by the COVID-19 pandemic, the criminal complaint alleges. That August, he allegedly used $85,000 from EIDL funds for personal tax liabilities. The following month, he allegedly used $90,000 for his mayoral campaign, and later made several additional deposits into his campaign account using the federal loan.

In October 2021, DePeña allegedly modified his business’ EIDL again, receiving $1,154,188 into his company’s account. Prosecutors allege he then continued making payments to his campaign and paying off loans. As of Aug. 5, DePeña had made only 16 payments totaling $130,160 toward the Tenares Tire EIDL, each applied to interest accrued, with the outstanding principal balance exceeding $1,600,000.

US Attorney Leah B. Foley accused DePeña of betraying the trust of Lawrence residents. “Mayor DePena was elected to be a leader for the City of Lawrence,” she wrote in a statement. “He was looked up to and trusted by his constituents, but he betrayed that trust through his alleged corruption and lies.”

Special Agent Docks added his own warning. “When elected officials misuse federal funds for personal gain, they’re breaking the trust of their constituents — and breaking the law,” he said. “You’ll be prosecuted to the fullest extent of the law, and that ‘easy money’ won’t seem so easy after all.”

Massachusetts mayor arrested for allegedly ripping off $1.5M in COVID funds

In the viral moment that followed the court proceeding, DePeña and his attorney, Carlos Apostle, rushed out of the courthouse attempting to avoid members of the media. When asked if the mayor would resign, Apostle shot down the suggestion. “No, he’s done a great job in Lawrence,” the lawyer said. DePeña himself spoke briefly in Spanish as he got into his lawyer’s Dodge Challenger, saying “Goodbye, my people, God bless you.” His lawyer then told reporters, “Listen, if it’s going to be like this, you’re not going to be happy with who the f— I bring,” before attempting to drive away and striking the bumper of a car parked in front of them. Apostle got out, photographed the damage, and remarked, “Look how outrageous this is. It’s crazy. You would never do this to someone white,” before the pair departed.

Residents in Lawrence expressed disappointment and embarrassment. “It doesn’t shock me. It doesn’t really come as a surprise,” resident Louis Ortiz said. “There was some speculation about his honesty.” Isabel Gonzalez, another resident, shared her frustration: “Through all these years you live here, you grow up here, you go to school here, and you put your trust in somebody, and with COVID, you know how bad it was. It’s unbelievable.”

DePeña, a dual citizen of the US and Dominican Republic, told the court he is currently receiving treatment for prostate cancer. He was ordered to stay away from any witnesses in the case and cannot apply for loans without court approval. If convicted, he faces up to 20 years in prison on the wire fraud charge and up to 10 years for money laundering, along with possible fines and supervised release.

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