Authorities have arrested a Democratic Party official, Massachusetts state Representative Francisco Paulino, for alleged COVID-19 fraud. This marks the second arrest of a party official on similar charges this month.
U.S. Attorney Leah Foley announced that Paulino was apprehended on Wednesday morning. He faces charges related to pandemic unemployment insurance fraud, pandemic loan fraud, and money laundering. According to the indictment, Paulino is accused of orchestrating a scheme to acquire over $700,000 in federal pandemic relief funds. Allegedly, he used some of these funds for personal expenses, including real estate costs, loan payments, and transfers to his campaign account. Additionally, he is accused of lending these funds to others at higher interest rates than the official pandemic loan rate.
Paulino’s alleged fraudulent activities reportedly began in 2020 when he registered for COVID relief funds on behalf of an elderly relative without their knowledge.
Paulino’s arrest follows the apprehension of Lawrence Mayor Brian DePena, who faces similar charges of pandemic loan fraud and money laundering. The FBI states that DePena started diverting public funds in 2020 while serving on the Lawrence city council. The indictment reveals that he allegedly used these funds for his mayoral campaign and personal debt payments. He applied for the funds to assist Tenares Tire Services Inc., his business in Lawrence.
“Everyone listening today knows how difficult it was for Americans during the pandemic,” Foley stated. “The money these two individuals allegedly scammed was meant for hardworking Americans and struggling business owners, not for two greedy individuals who lied and stole for their own personal benefit.”
FBI officials have emphasized the importance of enforcing the law, stating that no public official is above the law. The agency aims to continue such actions to ensure accountability. Anders Hagstrom, a reporter with Fox News Digital, covers national politics and major events.