Chula Vista

Chula Vista Councilmember Andrea Cardenas, indicted on fraud charges, running again in 2024

According to a criminal complaint, the siblings fraudulently obtained a $176,227 Paycheck Protection Program loan in early 2021 intended for their firm

City of Chula Vista

Embattled Chula Vista city councilmember Andrea Cardenas is running for re-election in 2024 despite a fraud scandal that has prompted calls for her resignation.

The incumbent's bid was filed with the Chula Vista City Clerk's office on Friday, minutes before the nomination period was expected to close for candidates wishing to run in the 2024 Primary Election.

According to filings, she will be challenged by at least three candidates, including Christine Brady, Delfina Gonzalez and Cesar Fernandez.

NBC 7's Mark Mullen shares reaction to Councilwoman Cardenas's return to City Hall Tuesday night.

NBC 7 reached out to Cardenas through her city email address on Thursday but did not hear back.

Cardenas and her brother, Jesus Cardenas, were indicted on felony counts of conspiracy to commit a crime, money laundering, and other charges stemming from an alleged fraudulent loan for their political consulting business, the San Diego County District Attorney's Office announced on Nov. 1.

The pair pleaded not guilty to the charges at their first court appearance on Nov. 9.

According to a criminal complaint, the siblings fraudulently obtained a $176,227 Paycheck Protection Program loan in early 2021 intended for their firm, Grassroots Resources.

Jesus Cardenas -- who served as chief of staff for San Diego City Councilman Stephen Whitburn until his resignation earlier this year -- misrepresented the number of employees and type of business, the complaint said, while Andrea Cardenas allegedly submitted data for another company.

NBC 7's political reporter Priya Sridhar takes a look at the Cardenas siblings allegations of money laundering and fraud impacts San Diego County's Democratic Party.

After receiving the loan, the complaint details several occasions in which the siblings allegedly used the loan funds to make credit card payments, payments to a Venmo account, and a $33,500 check to Andrea Cardenas' Chula Vista City Council campaign account.

Chula Vista Mayor John McCann, other officials and some constituents have called on Cardenas to resign.

In a previous statement to the public regarding the allegations against her, Cardenas said:

"I would like to make one thing very clear — my commitment to my community continues," the statement added. "As we move forward in this process, I hope to be given an opportunity by the media, folks in political circles, and, most importantly, my constituents to defend myself."

On Tuesday, the councilmember reappeared for her first council meeting since the indictment, she said due to health reasons. Under the city charter, she could have lost her seat after four unexcused absences.

Her return was met with criticism.

Jesus Cardenas faces up to four years and four months in prison if convicted. Andrea Cardenas faces up to five years and eight months if convicted of all charges.

They're due back in court in January 2024.

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