A San Diego judge has allowed former Chula Vista City Councilwoman Andrea Cardenas to avoid jail time despite her guilty plea for defrauding the government of over $200,000 in COVID relief and unemployment funds.
Andrea Cardenas, who had been a rising star in the Democrat Party, and her brother, Jesus Cardenas, a former chief of staff to San Diego City Councilman Stephen Whitburn, are at the center of a corruption scandal.
The charges revolve around their alleged fraudulent acquisition of a $176,227 Paycheck Protection Program (PPP) loan for their venture, Grassroots Resources, a local government and political consulting firm.
According to court documents, Jesus Cardenas misrepresented the nature and scale of their political consulting firm, falsely claiming it employed 34 people.
This lie allowed the Cardenas siblings to siphon off critical funds meant to keep struggling businesses afloat during the pandemic. Instead, these funds were used to line their pockets.
Andrea Cardenas played a crucial role in this deceit. She reportedly altered information provided to lenders, substituting Grassroots Resources’ details with those of a marijuana dispensary, Harbor Collective.
Her involvement didn’t stop there. La Prensa reported that she declared a significant income from Grassroots Resources while simultaneously denying the existence of any employees when the firm pursued a consulting contract with a local public water agency.