Federal Indictment Details Alleged $75,000 Mailer and No-Show Job Bribes in Oakland Political Scheme

Oakland, CA – Former Oakland Mayor Sheng Thao, her longtime partner Andre Jones, and prominent businessmen David Duong and his son Andy Duong were federally indicted in January 2025 on charges of bribery, conspiracy, and mail and wire fraud. The indictment alleges a scheme where the Duongs provided financial benefits, including a $75,000 negative mailer against Thao's 2022 mayoral opponents and $95,000 for a "no-show job" for Jones, in exchange for political favors. These favors reportedly included extending city contracts for California Waste Solutions (CWS), the Duongs' recycling company, purchasing modular housing units from their company Evolutionary Homes, and influencing high-level city appointments.

Federal prosecutors assert that the illicit arrangement began prior to the November 2022 mayoral election, where Thao narrowly defeated Loren Taylor. Taylor, who lost by just 677 votes, has stated he believes the alleged bribery directly cost him the election. The indictment includes a text exchange between Andy Duong and an unnamed co-conspirator, where the co-conspirator remarked, "So we may go to jail. … But we are $100 million richer," to which Duong allegedly replied, "Money buys everything."

The Duong family, through CWS, has held significant city contracts and maintained extensive political ties, making over $250,000 in contributions to 28 candidates across California and more than $2 million nationally. Their Vietnamese American Business Association (VABA) also sponsored a 2023 trip to Vietnam for Thao and other officials, which is now part of the ongoing FBI investigation. Larry Gallegos, an Oakland city employee whose appointment was allegedly influenced by the Duongs, resigned following the indictment.

All four defendants have pleaded not guilty to the charges. If convicted, they face substantial prison sentences, with Thao potentially facing up to 95 years. Attorneys for the Duongs have asserted the charges are baseless and reflect a bias against Asian Americans active in politics. The federal investigation, which included FBI raids on Thao's home and Duong family properties in June 2024, has drawn significant media attention, contradicting sentiments of a "shocking lack of interest" in the case.

The case underscores growing concerns about public trust in local governance and the integrity of political campaigns. The city's recycling contract with California Waste Solutions, which dates back to 2015 with options for extensions, is now under scrutiny amidst these allegations. The legal proceedings are ongoing, with further court appearances scheduled.