SACRAMENTO, Calif. – Gov. Gavin Newsom’s former chief of staff was charged Wednesday with multiple federal counts of fraud and conspiracy in connection with an alleged scheme to steal campaign funds from former federal Health Secretary Xavier Becerra.
Alleged $225,000 scheme
What we know:
Prosecutors said Dana Williamson, 53, conspired with others between February 2022 and September 2024 to steal $225,000 from a dormant political campaign and transfer the money to an associate’s personal account for personal use.
She pleaded not guilty to all charges in court on Wednesday, and a judge ordered her released from custody.
The federal indictment lists four other co-conspirators. It alleges that Williamson developed a plan with Sean McCluskie, a longtime Becerra aide, to siphon money from one of Becerra’s dormant state campaign accounts to give to McCluskie to pad his salary after he accepted a job as his chief of staff in Washington.
McCluskie signed a plea agreement Oct. 30 in which he admitted to one count of conspiracy to commit bank fraud and wire fraud, according to court filings. He agreed to pay back the $225,000 he took from the account.
“Collectively, they funneled the money through various business entities and disguised it as pay for what was, in reality, a no-show job,” federal officials said in a news release.
Williamson was charged wit conspiracy to commit bank and wire fraud, defrauding the United States, obstructing justice, filing false tax returns, and lying to authorities.
Becerra’s campaign funds targeted
Becerra is a former member of Congress who was appointed California attorney general in 2017 to fill a vacancy and reelected in 2018 with Williamson running his campaign. Former President Joe Biden later appointed him as secretary of Health and Human Services, and he is now running for California governor in next year’s election.
Becerra has not been implicated in the case and is not accused of any wrongdoing.
In a statement, Becerra told KCRA, “The news today of formal accusations of impropriety by a long-serving trusted advisor are a gut punch.”
Becerra said that he is cooperating with the Justice Department’s investigation.
Allegations detail “no-show job”
Federal prosecutors allege that beginning in April 2022, Williamson used her political consulting firm to bill Becerra’s campaign for services that were never performed. The funds were allegedly routed to McCluskie’s wife for a “no-show job.”
When Williamson prepared to join Gov. Newsom’s office in late 2022, she allegedly arranged for another former public official—whose name was not released—to take over her role in the scheme, according to investigators.
Williamson served as Newsom’s chief of staff until late 2024.
Newsom’s office responds
“Ms. Williamson no longer serves in this administration,” a Newsom spokesperson told Fox News Digital. “While we are still learning details of the allegations, the governor expects all public servants to uphold the highest standards of integrity.”
The indictment does not mention Newsom, and officials said the investigation began during the Biden administration.
PPP loan and tax fraud allegation
The indictment also accuses Williamson of conspiring with a business associate to create false, backdated contracts after receiving a civil subpoena in January 2024 from the U.S. Attorney’s Office regarding Paycheck Protection Program (PPP) loans tied to her company.
“Disguising personal luxuries as business expenses — especially to claim improper tax deductions or to willfully file fraudulent tax returns — is a serious criminal offense with severe consequences,” said IRS Criminal Investigation Oakland Field Office Special Agent in Charge Linda Nguyen.
Fox News Digital and the Associated Press contributed to this report.