LAWRENCE, MASSACHUSETTS — Lawrence Mayor Brian DePeña was arrested on Friday. He is charged with one count of wire fraud and one count of money laundering.

Federal authorities cited text messages from DePeña to his accountant and financial advisor in the charging documents. In a message dated July 22, 2021, DePeña wrote, "Brother, call me, I’m in trouble. I don’t want to pressure you, but I don’t have time to wait for this loan. I’m in your hands."

DePeña initially used $150,000 of the loan funds for his business. He allegedly spent more than $880,000 of the loan funds to pay off high-interest mortgages on various properties. DePeña allegedly put $90,000 of the loan funds into his mayoral campaign fund ahead of the 2021 election. Neighbors described FBI agents shouting through a bullhorn outside DePeña's home early in the morning and using a battering ram to force open his door.

Ted E. Docks is the special agent in charge of the FBI’s Boston Division. "Cashing in on a public health crisis and blatantly defrauding a government program meant to keep businesses afloat during the pandemic," Docks said. "When elected officials misuse federal funds for personal gain, they’re breaking the trust of their constituents — and breaking the law."

Leah Foley is the U.S. Attorney. "Mayor DePeña was elected to be a leader for the City of Lawrence," Foley said. "He was looked up to and trusted by his constituents, but he betrayed that trust through his alleged corruption and lies." She added, "Today’s arrest is just another example of our determination to root out fraud by anyone, even public officials and holding elected officials accountable." Ted E. Docks said, "Together, with our partners, the FBI will continue to doggedly pursue anyone who defrauds the federal government."

DePeña was elected mayor in 2021 and reelected in 2025. He previously served on the Lawrence City Council.

Why It Matters

The arrest of an incumbent mayor on federal fraud charges involves allegations of misusing pandemic relief funds intended for small businesses. The charges include wire fraud and money laundering, carrying potential prison sentences totaling up to 20 years for wire fraud and up to 10 years for money laundering, as well as fines of up to $250,000 for each count. The case shows federal enforcement actions against public officials accused of diverting emergency aid for personal and political use.

The investigation involved multiple agencies, including the FBI and the IRS Criminal Investigation unit. Charging documents and affidavits detail specific allocations of loan funds to mortgage payments, tax liabilities, and campaign contributions. The proceedings follow earlier investigative steps, including search warrants and equipment seizures related to the mayor's office.

Timeline

Brian DePeña's office in City Hall was the subject of a search warrant in May 2026. On August 14, 2026, U.S. Attorney Leah Foley stated, "Mayor DePeña was elected to be a leader for the City of Lawrence." She also said, "He was looked up to and trusted by his constituents, but he betrayed that trust through his alleged corruption and lies." She added, "Today’s arrest is just another example of our determination to root out fraud by anyone, even public officials and holding elected officials accountable." Ted E. he said, "Together, with our partners, the FBI will continue to doggedly pursue anyone who defrauds the federal government."

What's New

Additional details include a text message from Brian DePeña: "Brother, call me, I’m in trouble. I don’t want to pressure you, but I don’t have time to wait for this loan. I’m in your hands." Neighbors described FBI agents shouting through a bullhorn outside Brian DePeña's home early in the morning and using a battering ram to force open his door.

An affidavit prepared by a special agent of the Internal Revenue Service's Criminal Investigation unit alleges that Brian DePeña diverted COVID-19 business loans to fund his mayoral campaign, cover personal tax liabilities, and pay off real estate debt. State police troopers assigned to the attorney general's office seized recording equipment connected to cameras outside of the mayor's office in April 2026.

How Sources Differ

Regarding Brian DePeña's business loans, U.S. District Court charging documents state Brian DePeña is accused of fraudulently obtaining more than $1.5 million in COVID-19 small-business loans. U.S. Small Business Administration loan records indicate Brian DePeña obtained Economic Injury Disaster Loans (EIDL) in 2020 and 2021 for Tenares Tire Services Inc. a tire sales and automotive services business in Lawrence that he owned.

On the topic of Brian DePeña's COVID business loans, U.S. District Court charging documents state Brian DePeña is accused of fraudulently obtaining more than $1.5 million in COVID-19 small-business loans. An affidavit prepared by a special agent of the Internal Revenue Service's Criminal Investigation unit alleges that Brian DePeña diverted COVID-19 business loans to fund his mayoral campaign, cover personal tax liabilities, and pay off real estate debt.

Concerning how Brian DePeña used loan funds, U.S. Small Business Administration loan records show Brian DePeña initially used $150,000 of the loan funds for his business. U.S. District Court charging documents state Brian DePeña allegedly used the loan proceeds to fund his mayoral campaign, pay personal taxes, and pay off high-interest mortgages on properties he owned in Lawrence.

Regarding Brian DePeña's money laundering charge, U.S. Code statutory penalties note Brian DePeña faces up to 10 years in prison, three years of supervised release, and a fine of $250,000 if convicted on the money laundering charge. U.S. District Court charging documents state Brian DePeña is charged with one count of wire fraud and one count of money laundering.

On the issue of Brian DePeña funding his mayoral campaign, an affidavit prepared by a special agent of the Internal Revenue Service's Criminal Investigation unit alleges that Brian DePeña diverted COVID-19 business loans to fund his mayoral campaign, cover personal tax liabilities, and pay off real estate debt. U.S. District Court charging documents state Brian DePeña allegedly put $90,000 of the loan funds into his mayoral campaign fund ahead of the 2021 election.

Regarding Brian DePeña using funds for personal and campaign purposes, an affidavit prepared by a special agent of the Internal Revenue Service's Criminal Investigation unit alleges that Brian DePeña diverted COVID-19 business loans to fund his mayoral campaign, cover personal tax liabilities, and pay off real estate debt. U.S. District Court charging documents state Brian DePeña allegedly used the loan proceeds to fund his mayoral campaign, pay personal taxes, and pay off high-interest mortgages on properties he owned in Lawrence.

Concerning Brian DePeña's wire fraud charge, U.S. District Court charging documents state Brian DePeña is charged with one count of wire fraud and one count of money laundering. U.S. Code statutory penalties note Brian DePeña faces up to 20 years in prison, three years of supervised release, and a fine of up to $250,000 if convicted on the wire fraud charge.