Marblehead Brewery Owner Charged In 3.6 Million COVID Fraud Scheme

Brian Bushell, is a “purported” monk, who allegedly used fraudulently obtained COVID relief money to fund a “lavish lifestyle.”

And Bushell, the owner of the Massachusetts-based Marblehead Brewing Co. was arrested on October 6 for allegedly fraudulently applying for $3.6 million in COVID-19 relief, according to a release from the Massachusetts State Attorney’s office.

Brian Andrew Bushell, 47, and his lawyer Tracey M.A. Stockton, 64, were charged with conspiracy to commit wire fraud and unlawful monetary transactions, the news release said.

According to the charging documents, Bushell is a purported Orthodox Christian monk who presented himself as “Father” and “Rev. Fr.”

Bushell controlled several Marblehead, MA-based based organizations, including the St. Paul’s Foundation (an Orthodox Christian charitable organization); the Shrine of St. Nicholas the Wonderworker, Patron of Sailors, Brewers & Repentant Thieves (a monastic house); the Annunciation House (a purported residence for clergy where Bushell and Stockton allegedly resided together); Marblehead Salt Co. (a craft saltern) and the Marblehead Brewing Co., (a monistic brewery).

According to prosecutors, Tracy Stockton, a Massachusetts attorney, served as general counsel and authorized representative of these organizations.

NBC 10 is reporting that “Bushnell is being accused of ‘vastly’ overstating the organizations’ operational expenses when applying to receive Economic Injury Disaster Loans from the Small Business Administration shortly after CARES Act money became available at the start of the pandemic.”

Bushell and Stockton allegedly submitted false documents, and got $3.5 million in Economic Injury Disaster Loans for the organizations. Prosecutors claim that the pair also “inflated the number of employees they had and the amount of payroll expenses each borrower organization had, resulting in an additional $146,608 in Paycheck Protection Program funds”

Bushell and Stockton “engaged in brazen, criminal behavior that took advantage of our government’s efforts to rescue organizations—both for-profit and non-profit,” said United States Attorney Rachael S. Rollins. “Our government should not and will not foot the bill for fancy designer handbags and lavish lifestyles.”

“Today, we arrested a purported Orthodox Christian monk and his attorney for misdirecting millions of dollars in federal emergency assistance from businesses struggling to survive, to line their own pockets for their own personal enrichment,” Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division added. “Their alleged greed is an affront to every hard-working taxpayer.”

According to the US Attorney’s office Bushell and Stockton could face up to 20 years in prison and a fine of at least $250,000 if found guilty of wire fraud. If found guilty the pair could also serve up to 10 years in prison and a fine of at least $250,000 for the charge of unlawful monetary transactions.

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(Image credits: Marblehead Brewing Co.)