FBI Arrests Gavin Newsom’s Former Chief of Staff as Federal Indictment Reveals Extensive Financial Scheme

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  • How the scheme went undetected for so long

  • Whether internal financial controls were insufficient

  • Why the dormant campaign account was vulnerable to abuse

  • What safeguards exist to prevent similar misconduct in the future

While no evidence currently links Governor Newsom to the scheme, the proximity of the alleged misconduct to his administration has raised inevitable political concerns.

PPP Loans and Alleged Attempts to Deceive Investigators

The indictment also includes allegations tied to the Paycheck Protection Program (PPP)—a federal pandemic relief initiative designed to help small businesses maintain payroll during COVID-19. Prosecutors claim that Williamson obtained PPP funds under false pretenses and later attempted to hide irregularities in the loan documentation.

When she received a civil subpoena in early 2024, Williamson allegedly responded by creating:

  • Fake contracts

  • Backdated agreements

  • Fabricated business documentation

These actions, according to the indictment, were intended to mislead federal authorities and obstruct the ongoing investigation.

Alleged Tax Fraud Involving Over $1 Million in Expenses

Another major component of the indictment involves Williamson’s tax filings. Prosecutors claim she reported more than $1 million in fraudulent business deductions. These deductions allegedly included luxury personal expenses such as:Continue reading…

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