Lawrence, Massachusetts Mayor Brian DePeña arrested on wire fraud and money laundering charges
Lawrence Mayor Brian DePeña is facing federal wire fraud and money laundering charges after he allegedly improperly used $1.5 million in COVID relief money.
DePeña, 61, was elected in November 2021 and was re-elected in 2025. Before that, he was a member of the Lawrence City Council from 2016 until 2021. Additionally, DePeña owns and operates a tire sales and automobile business called Tenares Tire Services Inc. in Lawrence.
Federal prosecutors allege that DePeña's business was approved for $150,000 in COVID relief on May 4, 2020. Tenares Tire Services received the money on June 18, 2020, in the form of an Economic Injury Disaster Loan (EIDL).
According to a criminal complaint, by early 2021, DePeña needed cash after purchasing a commercial property at 342 Broadway in Lawrence for $700,000. He also allegedly owed $900,000 to two private money lenders.
DePeña wrote his financial adviser, who was helping him with a loan modification request in order to increase the EIDL for the tire business. He was then granted another $350,000 from the EIDL for Tenares Tires, bringing the total to $500,000, but he was unable to access it for another month.
"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 wrote in a text message, according to the complaint.
In another text he said, "I know I'm bothering you a lot, but I have no other option. Only you can give me what I need."
Prosecutors say that on Aug. 16, 2021, the EIDL money was deposited into the Tenares Tires bank account.
"In truth, DePeña did not intend to use the Tenares Tire EIDL funds solely as working capital to alleviate economic injury caused by the COVID-19 pandemic," federal prosecutors allege.
The criminal complaint alleges that in August 2021, DePeña used $85,000 from EIDL funds for his personal tax liabilities. Then in September 2021, he allegedly used $90,000 for his mayoral campaign.
He later allegedly made several 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 that DePeña then proceeded to continue making payments to his campaign and to pay off loans.
The complaint says that as of Aug. 5, 2026, DePeña had made only 16 payments totaling $130,160 toward the Tenares Tire EIDL, each being applied to interest accrued. The outstanding principal balance of the EIDL was over $1,600,000, prosecutors said.
DePeña is scheduled to appear in a Boston federal courthouse Thursday afternoon on charges of wire fraud and aiding and abetting.
