Massachusetts Rep. Francisco Paulino indicted

Key Points:

• Massachusetts State Rep. Francisco Paulino was indicted on multiple charges, including wire fraud and money laundering, for allegedly misusing over $700,000 in COVID-19 relief funds through fraudulent claims and funneling money into personal and business accounts.
• Paulino pleaded not guilty to eight wire-fraud counts and three unlawful monetary transaction counts; his passport was seized, and he was released on conditions barring access to clients’ records or bank accounts.
• Prosecutors allege Paulino used his businesses, Madison Mortgage and Madison Tax, in schemes involving fraudulent unemployment claims, Economic Injury Disaster Loan (EIDL) applications, and unauthorized use of clients' funds for real estate purchases in Methuen and Lawrence.
• U.S. Attorney General Leah Foley emphasized that no public official is above the law, while Massachusetts House Speaker Ronald J. Mariano expressed concern over the charges and pledged to monitor legal proceedings for accountability.
• Separately, Lawrence Mayor Brian DePeña faces 11 felony counts related to more than $1.5 million in COVID-19 small business loans, including a $1.65 million Economic Injury Disaster Loan for his tire business, Tenares Tire.