Gavin Newsom’s former chief of staff arrested on allegations of bank and wire fraud

Gov. Gavin Newsom’s former chief of staff, Dana Williamson, and four co-conspirators were indicted Wednesday on 23 counts of bank and wire fraud, allegedly committed from 2022 to 2024, during her time working for the governor.

The indictment alleges that Williamson, a longtime Democratic strategist, worked with Greg Campbell, a prominent Sacramento lobbyist, and Sean McCluskie, the former chief of staff to former U.S. Health and Human Services Secretary Xavier Becerra, as well as two other unnamed co-conspirators to steal $225,000 from an unnamed former official’s dormant campaign account for McCluskie’s personal use.

“Collectively, they funneled the money through various business entities and disguised it as pay for what was, in reality, a no-show job,” FBI Sacramento Special Agent in Charge Sid Patel said in a news release.

Prosecutors allege that Williamson and one of the unnamed co-conspirators, described only as a former California public official who owned a political consulting firm, used their political strategy firms to funnel money out of a campaign account, believed to be Becerra’s, into an account controlled by McCluskie. They allegedly disguised the funds as payments for McCluskie’s spouse, who was described in the indictment as a stay-at-home parent.

Williamson is also accused of falsely claiming more than $1.7 million in business expenses on her taxes. She used the funds to purchase luxury handbags, chartered jets and a nearly $170,000 birthday trip to Mexico, the indictment alleges.

Williamson, who previously held a high-level position in Gov. Jerry Brown’s administration, was well known for her negotiating ability. When she left his office, Newsom said in a statement that he would miss her "insight, tenacity and big heart.”

The indictment indicated that Becerra had no knowledge of the scheme, and he confirmed as much Wednesday afternoon in a written statement via his spokesperson, Owen Kilmer.

“The news today of formal accusations of impropriety by a long-serving trusted advisor are a gut punch,” said Becerra, a prominent candidate to succeed Newsom in next year’s gubernatorial election. He added that he had fully cooperated with the U.S. Justice Department and would continue to do so.

“As California’s former Attorney General, I fully comprehend the importance of allowing this investigation and legal process to run its course through our justice system.”

Williamson was scheduled to appear in federal court Wednesday afternoon.

A spokesperson for Newsom distanced the governor from his former top aide.

“While we are still learning details of the allegations, the governor expects all public servants to uphold the highest standards of integrity,” said Izzy Gardon, Newsom’s spokesperson, in a written statement.

“At a time when the president is openly calling for his Attorney General to investigate his political enemies, it is especially important to honor the American principle of being innocent until proven guilty in a court of law by a jury of one’s peers,” the statement said.

Patel, the special agent in charge, said in a news release that the charges were “the result of three years of relentless investigative work.”

“The FBI will remain vigilant in its efforts to uncover fraud and corruption, ensuring our government systems are held to the highest standards.”

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