Oakland Mayor’s New Attorney Delayed as FBI Investigates Suspected Campaign Money Laundering

Days after parting ways with her previous attorney, Oakland Mayor Sheng Thao is yet to finalize an agreement with her new, unnamed attorney. This development comes in the wake of an FBI raid on Thao’s home, where she and Cal Waste Solutions, a recycling company, were targeted. The raid was part of a suspected campaign money laundering investigation that has been ongoing for several years.

Court documents obtained from Oakland’s Public Ethics Commission reveal a complex scheme involving multiple straw donors making contributions to various candidate-controlled committees. Straw donors are typically used to exceed legal contribution limits by finding individuals who write checks in their own names but are later reimbursed. The investigation suggests that Thao is just one of several Oakland politicians who received such contributions from straw donors, many of whom allegedly lacked the funds until a significant cash deposit was made before or after writing the check.

Political analyst Michael Yaki explains that funneling substantial amounts of money through third parties to support a single candidate or ballot measure indicates an attempt to gain access, influence, or sway decisions in favor of the donor. While Thao and a spokesperson for Cal Waste Solutions maintain their innocence, it remains unclear if the FBI’s investigation aligns with that of Oakland’s Public Ethics Commission. However, the involvement of the FBI suggests a potential connection to public integrity or corruption.