Former MEC Executive Faces Indictment in Federal Court on Alleged Pension Fraud

The FBI has made an announcement that a former Merrimack Education Center executive was indicted earlier this week in federal court in connection to allegedly defrauding the state’s pension system.

Carl Nystrom, 52, of Pelham, NH was indicted on mail and wire fraud charges, with the FBI alleging he attempted to enroll MEC employees in a state pension plan although they were ineligible, then using the confusion to collect the funds for his own benefit as well as other co-conspirators.

MEC spokesperson Nancy Sterling says that the organization is cooperating with the U.S. Department of Justice and the allegations do not detract from the group’s goals of helping area school districts.

“Carl Nystrom has not been associated with the Merrimack Education Center (MEC) since August 2013,” she said. “Well before this indictment MEC conducted an internal investigation and corrected past accounting errors and other issues.”

Sterling added that the MEC has also revamped its accounting policies in recent years and also hired a new executive director.

The MEC also faced controversy in recent years relating to former MEC executive John Barranco, who allegedly embezzled up to $10 million from the program and its sister group, the Merrimack Special Education Collaborative.

Located near the Chelmsford/Billerica board, the MEC serves Chelmsford and several other towns in the greater Lowell area.