Authorities have arrested a Democratic Party official in Massachusetts for alleged COVID-19 fraud. This marks the second such arrest this month. U.S. Attorney Leah Foley stated that police apprehended Massachusetts state Rep. Francisco Paulino early Wednesday morning. He faces 11 charges related to pandemic unemployment insurance fraud, pandemic loan fraud, and money laundering.
Foley explained that according to the indictment, Paulino devised a scheme to secure over $700,000 in federal pandemic relief funds. Allegedly, he used part of the money for personal needs, such as real estate expenses, loan payments, and campaign funding. Foley also noted that he lent some funds to others at higher interest rates than the original pandemic loan rate.
Other money he flipped around and lent to other individuals at higher interest rates than the pandemic loan rate,she continued.
This arrest follows closely after the FBI detained Lawrence Mayor Brian DePeña on similar charges. DePeña faces an 11-count indictment for pandemic loan fraud and money laundering as well. He allegedly started diverting public funds in 2020 while serving on the Lawrence city council. DePeña supposedly used these funds for his mayoral campaign and personal debts.
Foley emphasized the seriousness of the situation, stating, 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.
The FBI continues its commitment to holding public officials accountable. Foley added, No one is above the law, and no one gets a pass, reinforcing the agency’s stance.
Reporter Anders Hagstrom from Fox News Digital has covered this story, focusing on national politics and significant breaking news events.