Chula Vista Councilwoman Resigns Amid Fraud Charges

Chula Vista Councilwoman Resigns Amid Fraud Charges
People walk past the California Employment Development Department (EDD) in Sacramento, Calif., on April 18, 2022. (John Fredricks/The Epoch Times)
California Insider Staff
2/20/2024
Updated:
2/20/2024

Chula Vista Councilwoman Andrea Cardenas resigned Feb. 19 while facing multiple fraud charges, according to media reports.

Ms. Cardenas sent a memo to her coworkers to announce her decision, media reports say.

“In an effort to prioritize my mental health, and the health of my community, I have made the very difficult choice to formally resign effective immediately from my position as Councilmember for our City’s 4th District,” she wrote, according to The San Diego Union-Tribune.

“It has been an honor and privilege to serve my community and work alongside all of you.”

Calls for the 31-year-old councilwoman’s resignation have arisen amid fraud accusations against her and her 40-year-old brother, Jesus Cardenas. Those asking for her resignation include Chula Vista Mayor John McCann and Councilman Jose Preciado, FOX 5 News reported.

“The resignation of Councilmember Cardenas is appropriate given the seriousness of the criminal charges she faces and the difficulty of maintaining public trust. It’s important that we now move forward together to address the many challenges facing our city,” Mr. McCann said in a statement.

“There is a possibility that the council could appoint someone as an interim councilmember but it would be challenging to put someone in without experience and know-how for a couple months,” Mr. McCann said.

The siblings have been accused of fraudulently obtaining $176,227 through a Paycheck Protection Program loan in early 2021. The money was supposedly for employees at their Grassroots Resources firm.

However, the pair allegedly used the money on personal expenses, which included a $33,500 check to Ms. Cardenas’s Chula Vista City Council campaign account.

Ms. Cardenas, who has been charged with conspiracy to commit a crime, money laundering, conspiracy to defraud, grand theft, and failing to file tax returns, is facing up to five years and eight months in prison if convicted of all charges. Her brother is facing up to four years and four months in prison.

Each is also facing a charge of grand theft in connection with allegedly taking funds unlawfully from the state’s Employment Development Department between April and December 2020, during the early months of the coronavirus pandemic.

Regarding the new grand theft count, Ms. Cardenas’s defense attorney, Pedro Bernal, said his client is accused of applying for unemployment insurance without a valid reason.

“Like millions of Americans, she applied for unemployment insurance during that period of time, and we still have to review the evidence to see if mistakes were made,” he said.

Both siblings have pleaded not guilty and neither has been taken into custody.

City News Service contributed to this report.