Fall River mayor charged with bilking investors

BOSTON — A Massachusetts mayor who was first elected at age 23 was charged Thursday with using investments in a company he formed as his “own personal ATM” to enjoy casinos and adult entertainment, buy a Mercedes, and pay down student loan debt.

Jasiel Correia, the mayor of Fall River, collected more than $360,000 from investors to develop an app that was supposed to help businesses connect with consumers, federal authorities say. Instead, he spent more than $230,000 of the investor funds to bankroll a lavish lifestyle and advance his political career, officials say.

“His actions were underhanded, shameless and greedy,” said FBI agent Hank Shaw. “Mr. Correia blurred the lines between public business and private duties, using investor funds as his own personal ATM, systemically looting almost a quarter-million dollars.”

Now 26, the Democrat was elected as a city councilor in 2013 and after one term was elected mayor in 2015, the youngest mayor in the history of the old mill city of about 85,000 people and the first of Cape Verdean descent. The U.S. Conference of Mayors said at the time he was the youngest mayor to run a city as large as Fall River. He won re-election handily in November.

Correia was arrested early Thursday in Bridgewater and charged with wire fraud and filing false tax returns. He pleaded not guilty in Boston’s federal court, told reporters he believes he will be vindicated and said he will “absolutely not” resign.

“I look forward to my day in court to share my side of the story and to clear my name,” he said in a written statement.

Correia founded SnoOwl in 2012 and began the next year to seek investors in return for equity in his company, the indictment says.