(MENAFN- Live Mint) Dana Williamson, who previously served as a senior aide to California Governor Gavin Newsom, was arrested and presented in court on Wednesday in Sacramento. She has been indicted on federal charges accusing her of participating in a scheme to embezzle campaign funds from former US Health Secretary Xavier Becerra, according to AP.

According to the federal indictment, four additional individuals are named as co-conspirators. It claims that Dana Williamson participated in a scheme with Sean McCluskie, who served as Xavier Becerra's chief of staff during the alleged wrongdoing. The indictment states that Williamson and McCluskie devised a system to divert funds from Becerra's inactive campaign account, channeling roughly $225,000 to McCluskie over a span of more than two years.

Former President Joe Bide appointed Becerra who was not implicated in the indictment, the report noted.

Who is Dana Williamson?

Dana Williamson, a veteran Democratic strategist in Sacramento, previously served as Cabinet secretary under former Gov. Jerry Brown before launching her own political consulting firm. She also managed Xavier Becerra's 2018 campaign for attorney general and later returned to public service as Gov. Gavin Newsom's chief of staff.

According to the US Attorney's Office, Williamson has been charged with 23 counts, including conspiracy to commit bank and wire fraud, bank fraud, conspiracy to defraud the United States, obstruction of justice, filing false tax returns, and making false statements.

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In 2024, Williamson told the Los Angeles Times that she intended to cut financial ties with her company while serving as chief of staff to Gov. Gavin Newsom. However, the indictment alleges that during her time in that role, she exchanged emails, phone calls, and held meetings with Sean McCluskie as part of the scheme and subsequent cover-up. Williamson remained Newsom's chief of staff until late 2024.

The charges also claim that Williamson falsified business contracts connected to Paycheck Protection Program (PPP) loans her firm obtained during the COVID-19 pandemic. Prosecutors say she directed an associate to draft a backdated contract showing that her company had performed services for his business, making her appear eligible for PPP funds and forgiveness.

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Additionally, the indictment accuses Williamson of filing fraudulent tax returns for her business from 2021 through 2023, reporting over $1 million in bogus business deductions. These allegedly covered personal expenses such as luxury handbags and jewelry, private jet trips, vacations in Mexico, installation of a home HVAC system, and hundreds of thousands of dollars in payments to relatives for fictitious jobs.

If convicted, she faces a potential prison sentence of up to 20 years.

Meanwhile, AP quoted spokesperson for Gov. Newsom as saying,“Ms. Williamson no longer serves in this administration. While we are still learning details of the allegations, the Governor expects all public servants to uphold the highest standards of integrity."“The news today of formal accusations of impropriety by a long-serving trusted advisor are a gut punch,” Becerra stated. He also noted that he has voluntarily cooperated with the Department of Justice's investigation and intends to continue doing so.

Key Takeaways

• The indictment claims that Dana Williamson participated in a scheme with Sean McCluskie, who served as Xavier Becerra's chief of staff during the alleged wrongdoing.
• The indictment states that Williamson and McCluskie devised a system to divert funds from Becerra's inactive campaign account, channeling roughly $225,000 to McCluskie over a span of more than two years.

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