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FRAUD, continued from page 12
operating costs they reported on applications
and increase requests for each
of St. Paul’s and St. Nicholas.
Those expenses allegedly included
cash withdrawals and “items that
appear to be personal expenses, such
as travel and dining, pet care, personal
medical care, grocery store purchases,
subscription services, and the condominium
fee for a property Bushell
maintained in Washington, D.C.”
Oakes wrote that in reviewing the
three bank accounts for St. Paul’s active
in 2019, the organization had, “at
most, approximately $248,000 in paid
expenditures for the year, in contrast
to the approximately $747,000 that
Bushell claimed.”
“On the application, Bushell
provided the following description of
St. Paul’s secular social services: ‘We
provide food, medicine, educational
assistance and job and career counseling.’
However, I did not observe any
expenses corresponding to these categories
in St. Paul’s financial records,”
the affidavit reads.
The affidavit goes on to describe a
similar pattern for each EIDL application
submitted by Bushell — allegedly
claiming inflated operating costs in
order to garner the largest loan possible
and resubmitting applications with
new expense totals when the program
maximums were increased.
Funding a lavish lifestyle
Bushell and Stockton allegedly used
the COVID relief funds to pursue an
expensive lifestyle, spending over $1
million of the CARES Act funds for
extensive renovations to two Marblehead
properties they planned to
develop into a monastic complex that
they hoped would feature a chapel,
brewery, and beer garden. The pair also
allegedly spent approximately $90,000
in audio-video system equipment and
nearly $40,000 on antique furniture.
The pair also allegedly used the
funds to buy a new residential property
abutting their home and various
fixtures, furnishings, and equipment
for their properties. Bushell, who
claimed he had taken a vow of poverty,
allegedly used the funds to buy a nearly
$7,000 Goyard designer handbag for
Stockton, $2,400 on items from Hermès,
spent nearly $92,000 to join two
private social clubs in New York, and
acquired various other luxury goods,
the statement said.
In June 2022, Bushell purchased a
single family home at 12 Conant St. in
the name of “Egypt House,” purportedly
a religious non-profit corporation
registered in the District of Columbia.
After purchasing the property for over
$800,000 Bushell allegedly attempted
to use it to get another loan.
“We believe they clearly knew that
what they were doing was wrong,
but they did it anyway, spending tens
of thousands of dollars on exclusive
memberships, expensive wine, property,
renovations, and even a $40,000 wristwatch,”
said Joseph R. Bonavolonta,
special agent in charge of the Federal
Bureau of Investigation, Boston
Division, in a statement. “Their alleged
greed is an affront to every hard-working
taxpayer, and during these challenging
times where scammers are
doing everything they can to defraud
people of their hard-earned money,
the FBI is doing everything we can to
make sure they don’t succeed.”
At 124 Pleasant St., the site of Marblehead
Brewing Co., roughly eight to
10 FBI agents could be seen removing
items from the building on the day of
the arrest. Two black unmarked cars
were parked outside the property, and a
large box truck sat in the driveway.
Donna Murphy, 67, who lives nearby
the brewery, described Bushell as a
“bully.” Murphy said she saw FBI
agents in the area around 6:45 a.m.
that morning.
“He’s really a bully,” she said. “I’m
smiling.”
Bushell submits
Paycheck Protection
Plan Loan application
to Marblehead
Bank; receives
$41,665 loan for St.
Paul’s.
Small Business
Administration approves
$150,000 loan
for St. Paul's
SBA increases
maximum EIDL
from $150,000 to
$500,000
May 26,
2011
April
2020
April 1,
2020
June 4,
2020
January
2021
April 6,
2021
Bushell registers St.
Paul's with the Delaware
Department of
State
Bushell submits
Economic Injury Disaster
Loan application
for St. Paul's
Bushell submits
“second draw”
PPP application to
Marblehead Bank;
receives $41,667
loan for St. Paul’s
B
c
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