Federal prosecutors have unveiled new details in a corruption and bribery case involving the former mayor of Oakland, California, Sheng Thao, alleging the existence of embarrassing videos of Bay Area politicians that could be used for blackmail. Thao, who was recalled from office, and her boyfriend, Andre Jones, face accusations of accepting bribes from David Duong and his son Andy Duong, executives at California Waste Solutions, a major waste management company.
The defendants have pleaded not guilty to the charges. The new information, released Friday in response to defense motions to exclude evidence, includes details from Andy Duong’s seized phone, which prosecutors say contains numerous videos of public officials engaging in party-like behavior. Prosecutors allege Duong filmed these individuals with the intent of using the recordings for potential blackmail.
One alleged instance of blackmail material cited by the feds involves Larry Gallegos, a former project manager for the Economic and Workforce Development Department. Prosecutors claim the material depicts Gallegos at a karaoke bar with scantily clad women. The Duongs allegedly sought to have Gallegos appointed to a high-ranking position in the housing department to facilitate a contract for a business partnership they were involved in. Gallegos, who is not accused of wrongdoing, is expected to testify that Duong took photos of him at a club.
Mario Juarez, a business partner of the Duongs who has pleaded guilty, is also expected to testify that Andy Duong admitted to regularly taking surreptitious photos and videos of politicians in compromising positions for potential use against them. Juarez's text messages reportedly show him coordinating with Duong to take Gallegos to a party.
The alleged blackmail trove may also include incriminating material from a trip to Vietnam in August 2023, which Thao and other local politicians attended. Filings indicate a video on Duong’s phone shows him and former San Leandro Councilmember Bryan Azevedo discussing sexual interactions from the previous evening. Azevedo has pleaded guilty and is expected to testify.
Speculation about other politicians potentially ensnared in the alleged blackmail scheme has intensified. State Assemblymember Ash Kalra has been linked to a karaoke bar, Music Cafe, which the Duongs are accused of using for illegal political contributions. Text messages show Andy Duong invited Kalra to the bar. Kalra’s office stated that the shared text messages demonstrate his full cooperation with investigators and that he had no further relationship with Duong after a single lunch six years prior.
California Attorney General Rob Bonta’s ties to the Duongs have also drawn scrutiny. Juarez allegedly sent Bonta a letter in May 2024 claiming the existence of a compromising video of him. Bonta’s office dismissed the claim, stating Juarez wrote the letter at a “desperate moment.”
Prosecutors also detailed evidence on Friday related to communications between the Duongs and Thao, as well as the creation of a fake job for Jones as part of the alleged conspiracy.