Ex-Newsom Chief of Staff Pleads Guilty to Scheme That Bled Money From Becerra’s Account

A former political consultant for Democratic frontrunner for governor Xavier Becerra and ex-aide to Gov. Gavin Newsom pleaded guilty Thursday to conspiracy to commit bank and wire fraud, submitting a false tax return and lying to federal investigators.

The consultant, Dana Williamson, was charged in a corruption scandal that shocked Sacramento. Following an investigation that included FBI wiretaps and seized communications, prosecutors accused Williamson of conspiring with Becerra’s longtime chief of staff Sean McCluskie and another Sacramento lobbyist to divert $225,000 from Becerra’s dormant state campaign account into McCluskie’s hands.

As part of the plea deal, Williamson agreed to pay $225,000 in restitution to Becerra and $500,000 in restitution to the IRS. She faces up to 38 years in prison.

Williamson’s plea comes just over two weeks before the primary election that will determine whether Becerra advances to the November election.

Dem Operatives Charged Becerra’s Account $10,000 a Month

According to the indictment, the money was to help McCluskie follow Becerra to Washington when he was named U.S. secretary of Health and Human Services in the Biden administration. McCluskie’s job there offered a lower salary.

Prosecutors say the Democratic operatives charged Becerra’s dormant campaign account $10,000 a month under the guise of maintaining it for legal compliance, but instead routed it to McCluskie in violation of federal laws prohibiting federal employees from being involved in campaign activities. The investigation was launched during the Biden administration.

McCluskie and the other lobbyist, Greg Campbell, pleaded guilty to fraud in the case. Williamson also faced a variety of tax evasion charges and was accused of fraudulently obtaining federal COVID-19 benefits.

Plea Deal Wraps the Case

The plea deal brings to a close a case that has loomed over Becerra’s recently revitalized campaign for governor. It’s unclear whether it will have any effect on the crowded race, in which Becerra is one of six Democrats vying for the seat that Newsom is vacating; two Republicans also are in the running.

The timing of the agreement is unusual. Federal prosecutors typically avoid pursuing political cases within 60 days of an election under a Justice Department custom designed to prevent interference that could advantage or disadvantage candidates. Voters have already begun turning in their ballots in the gubernatorial race.

Federal prosecutor Michael Anderson told U.S. District Court Judge Troy Nunley the plea was the result of months of negotiations between prosecutors and Williamson. Williamson had previously rejected one plea offer and made a counter-offer, Anderson said, calling the agreement the “most favorable” outcome for both parties.

Campbell and McCluskie are scheduled to be sentenced June 4, two days after the primary election.

Becerra was lagging in polling and fundraising until former Rep. Eric Swalwell dropped out over sexual assault allegations in early April, when he suddenly shot into the lead as anxious Democratic voters searched for a candidate to coalesce around.

Williamson’s case is one of several critiques opponents have seized upon in debates and negative ads to call into question Becerra’s judgment and fitness for executive office.

Allegations Were ‘Gut Punch’

Prosecutors have considered Becerra a victim in the case and he has not been charged with any wrongdoing. He has said he cooperated with investigators and that revelations of McCluskie’s betrayal were a “gut punch” to him akin to finding out about an unfaithful spouse.

But some in the California capital’s often-overlapping circles of interest groups, lobbyists and political strategists have questioned how Becerra could not have known what the payments were for.

On the campaign trail, Becerra has faced questions about whether he should have paid closer attention to his campaign account’s expenses. Strategists say $10,000 a month — the amount he agreed to be charged — is a high price for account maintenance.

It is common practice in California for official staff members of lawmakers and other officeholders also to work on their bosses’ political campaigns, allowing them to supplement taxpayer-funded state salaries with payments from campaign accounts. Williamson herself was paid by the California Democratic Party for political work on ballot measures during the two years she was employed in the governor’s office as Newsom’s top aide. She made nearly $200,000 from the party in 2024 on top of her official duties, according to campaign finance records.

Asked by KCRA last month how voters could be assured Becerra would not let taxpayer funds be similarly “swindled,” Becerra did not answer.

Williamson Served Jerry Brown and Newsom

Williamson was a hard-charging Sacramento lobbyist who previously ran Gov. Jerry Brown’s office. When Newsom appointed her chief of staff in 2023, her clients included criminal justice reform advocates, healthcare corporation Centene, Meta, Comcast and the video game giant Activision.

The indictment accused Williamson of lying to investigators about whether she used her position in Newsom’s office to influence a gender equality and workplace harassment lawsuit state regulators had brought against Activision. The state later settled that case for $54 million.

Newsom’s office put Williamson on leave when she informed them she was under investigation in November 2024. He has also said the charges caught him by surprise.

This article was originally published on CalMatters and was republished under the Creative Commons Attribution-NonCommercial-NoDerivatives license.

The post Ex-Newsom Chief of Staff Pleads Guilty to Scheme That Bled Money From Becerra’s Account appeared first on GV Wire.