The former U.S. Health Secretary isn’t accused of wrongdoing — but federal indictments against his closest aides have ignited questions about oversight, judgment, and his readiness to lead the nation’s largest state.
SACRAMENTO, Calif. | Xavier Becerra entered the California governor’s race hoping to revive a stalled campaign. Instead, he’s now fighting to contain a political firestorm — one that threatens to derail his bid before it ever gains traction.
Becerra, the former Health and Human Services secretary under President Joe Biden and California’s longtime attorney general, is not accused of criminal wrongdoing in a sweeping federal indictment unsealed last week. But the revelations — centered on a years-long scheme by two of his most trusted aides to siphon more than $225,000 from a dormant campaign account — have plunged Sacramento into chaos and deeply shaken confidence in Becerra’s leadership.
Political strategists say the scandal raises a simple but devastating question: How could Becerra not have known?
“If I was a voter looking at this, I’d ask, ‘Why don’t you know?’” said Los Angeles-based Democratic consultant Doug Herman. “People expect leaders to know what’s happening around them — especially when it involves their own top advisers.”
A Scandal That Hits Where Becerra Is Most Vulnerable
Becerra’s gubernatorial pitch has rested heavily on his reputation for diligence, executive discipline, and meticulous legal oversight. But prosecutors say his closest associates — Dana Williamson, former chief of staff to Gov. Gavin Newsom and longtime Becerra adviser, and Sean McCluskie, Becerra’s chief of staff for nearly 20 years — orchestrated a sophisticated fraud operation without his knowledge.
Their alleged scheme involved:
- Routing payments from Becerra’s dormant state campaign through Williamson’s consulting firm
- Disguising the funds as compensation for McCluskie’s spouse
- Later shifting the laundering mechanism to an associate, Alexis Podesta
- Stealing more than $225,000 over two years
McCluskie admitted guilt last week, pleading to conspiracy to commit bank and wire fraud. Williamson pleaded not guilty to 23 federal counts. Podesta cooperated with investigators and was not charged.
The indictment claims the conspirators hid the plan because “they believed, correctly, that [Becerra] would not have permitted payments if [he] had known the truth.”
Aides Close Enough to Know Better — and to Do Damage
The scandal resonates because Williamson and McCluskie were not distant operatives. They were Becerra’s inner circle — people who helped shape his public career for decades.
McCluskie even followed Becerra to Washington when he became HHS secretary, taking a pay cut to serve as his top aide.
“It raises all sorts of questions — his judgment, his ability to oversee even relatively small things like dormant campaign accounts,” said Loyola Marymount University law professor Jessica Levinson. “This isn’t a summer intern who stole staplers.”
The Payments That Raised Red Flags — and Becerra’s Explanations
Becerra acknowledged approving unusually high maintenance payments for the dormant account — $7,500 per month, later rising to $10,000. At one point, he didn’t notice a filing error that made it appear funds were being sent to the Podesta Group, a Washington lobbying powerhouse.
After a 2024 'TELL IT LIKE IT IS' News report questioned the payments — and suggested a potential Hatch Act violation — Becerra’s campaign insisted the money was for account administration, not politics.
Becerra now says he trusted McCluskie to handle the issue while he was overwhelmed with COVID-19, migrant-care crises, and cyber threats at HHS.
“My focus was on what was going on in D.C.,” he said. “It wasn’t whether or not someone thought I was paying more than I should have.”
A Political Opening Turns Into a Political Liability
The timing could not be worse. Becerra had been hoping to capitalize on:
- Rep. Katie Porter’s viral video missteps
- Sen. Alex Padilla’s decision not to run
- A crowded but unsettled Democratic field
Instead, rivals now sense vulnerability — and a growing narrative that Becerra lacked the basic oversight expected of a governor.
“This is the biggest scandal to hit Sacramento in years,” said one Democratic strategist. “Even if he’s not charged, it goes straight to competence.”
Becerra: Judge Me on My Record, Not Their Crimes
In a lengthy interview, Becerra urged voters to look at his long tenure in public service rather than the criminal behavior of two former allies.
“We did some phenomenal things,” Becerra said. “Those successes included some of these folks who now are going to pay the price for wrongdoing.”
Former staffers from his congressional days insist he demanded strict legal compliance and scrupulous ethics.
“He always wanted to make sure we were doing things by the book,” said Debra Dixon, who worked for him for 16 years.
But Will Voters Accept That?
Political analysts say the race is far from over — but Becerra’s path is now considerably steeper.
His first major challenge may not be his opponents. It may be convincing Californians he’s the kind of leader who should have known.
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-- By Jasmine Thomas
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