BOSTON — Mayor Jasiel Correia of Fall River was in federal court Thursday afternoon where he pleaded not guilty to charges of wire fraud and filing false tax returns.

Correia was arrested early Thursday morning after being indicted by a federal grand jury.  The indictment came after an investigation by the FBI.

The U.S. Attorney's office said Correia ran an investment scam, convincing seven people to invest over $350,000 to develop an app that his company SnoOwl was working on. The mayor is accused of using some of the money for his personal lifestyle. Correia is said to have used over $200,000 of the money for travel and entertainment, buying a Mercedes, paying off a student loan and funding his political campaigns.

Correia was ordered by the judge to have no contact with the witnesses in the case. He was released on $10,000 bond.

Correia denied the allegations when he left court. The mayor told reporters that he has done nothing wrong and that his record while being mayor of Fall River has been positive. Correia also said he would return to his city hall office and get back to work serving the people of Fall River.