Former Mass. housing authority director stole thousands in funds to renovate his bathroom

The former director of the Watertown Housing Authority agreed to return the funds he stole and used to renovate his bathroom, federal prosecutors announced.

Through the Deferred Prosecutions Agreement, Michael Lara, 41, of Norwood agreed to return the $6,200 he stole after being charged with one count of wire fraud. He must also resign from his position as executive director of the housing authority and not violate federal law for six months, the U.S. Attorney’s Office for Massachusetts announced Monday.

From July 2019 to January 2025, Lara had access to the Watertown Housing Authority’s Home Depot charge account. He also used the credit cards for the Watertown Housing Development Corporation, which the housing authority oversees and of which Lara was president, officials said.

Although the housing authority’s policy permits use of its credit cards for official business, Lara used funds from the authority and development corporation for personal expenses beginning in 2022, officials said.

In 2023, Lara began a renovation of his master bathroom. He spent more than $3,000 at Moniques Bath Showroom and nearly $3,000 at Home Depot on four occasions for fixtures for his bathroom.

Between November 2023 and January 2024, Lara instructed his contractor to install fixtures he purchased at Home Depot and Moniques via text, prosecutors wrote in a charging document filed in court. He also sent pictures to another individual of the installed fixtures that were purchased with the funds from both groups, prosecutors said.

In the housing authority’s records, Lara labeled the purchases as “705” meaning the authority’s Chapter 705 rentals or rental units within buildings across Watertown, according to the charging document.

In 2024, the Massachusetts Office of Inspector General began investigating Lara’s improper use of the housing authority’s funds, prosecutors said. Lara responded to their information request with the housing authority’s policies and procedures governing the use of credit cards, a list of its credit card purposes, and a list of all its employees with credit card access, the U.S. Attorney’s Office said.

After learning about the investigation, Lara removed the fixtures he purchased with the housing authority’s Home Depot account and the development corporation’s credit card, officials said. He then installed a new bathroom vanity, mirrors, and shower fixtures and sink fixtures, but kept the same vanity lights.

Lara’s lawyer, Lucy Sun, had no comment regarding Lara’s case Wednesday night.