Newsom Lawyers Up as Missing Tax Returns Fuel More Questions About Federal Probe

AP Photo/Evan Vucci

It's been almost a month since California Gov. Gavin Newsom announced, out of the blue, that he and his wife are under criminal investigation by the U.S. Department of Justice. Newsom claimed that "federal agents have knocked on the doors of family, friends, and former employees, not because they found a crime, because they're simply trying to find one." He said the agents were "demanding records" and "abusing the grand jury process," but didn't name any of the people involved or the types of records supposedly demanded, and cast the investigation as a politically-motivated witch hunt.

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Sources with knowledge of the investigation(s) told Townhall Media at that time that there were several ongoing investigations that originated in Sacramento, that at least one related to First Partner Jennifer Siebel Newsom's taxes and nonprofits, and that they began during the Biden administration.

Despite Newsom's hair-on-fire announcement, which many observers took to mean that bigger news was imminent, not much has happened since.

Here's a rundown of the few things that have transpired.

Private Attorney Hired

In the days after Newsom's announcement, he'd tasked his Legal Affairs Secretary with sending a wide-ranging FOIA request to the DOJ, which raised eyebrows since the investigation is his personal problem, not something that should be defended at taxpayer expense. At a Thursday afternoon press conference, though, Newsom said the couple now had private counsel, but neither he nor his office would say who he hired. (Several of the state's leading white collar criminal defense attorneys are already representing prominent Democrats, whether in the Dana Williamson case or the Oakland corruption scandal, so the pickings might be slim if he's going to hire a California lawyer.)

Tax Returns? What Tax Returns?

During that Thursday afternoon press conference, Newsom crashed out when asked about his 2021 through 2025 tax returns, which his spokeswoman said the office was "working to prepare" on June 19 "for transparency," adding, "unlike Donald Trump, the Governor has nothing to hide." 

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I already have. I've given 20 years of my taxes, yes. I know you love taxes. Donald Trump... when's he releasing his taxes?

The journalist followed up by asking Newsom, "Don't you say you're different from Trump?"

I am, because that's why I've released all my taxes for decades, and you will have all those new tax returns, because I have no reason why you haven't gotten them already, so I have no problem...

Why would he say "new" tax returns? What we're seeking are tax returns from the years 2021 through 2025, which should be easily produced by his accountant.

As we've documented here at RedState, despite promising to release his full tax returns every year as governor, Newsom only released full tax returns for the 2017 through 2020 tax years, and only did that because he was required to in order to appear on the 2022 primary ballot for his re-elect. That law requires gubernatorial candidates to release their five most recent tax returns, but since he had filed for an extension on his 2021 taxes he only produced four years worth of returns. (That man will find a loophole in anything, won't he?)

Over the intervening years California journalists have repeatedly asked Newsom's office when additional returns would be released, and have been stonewalled. 


Newsom's Finances Don't Add Up—and Now He's Finally Promising Tax Returns

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The only financial information Newsom's "given" for 20 years is the information required by the state's political watchdog, the Fair Political Practices Commission. He's filled out his Form 700 every year, but has been fined numerous times for omissions. He has allowed a select set of journalists to review some of his tax returns (but not photograph or take copies) in a controlled setting for a fixed period of time. The years we have incomplete information for are from 2010 through 2016. Prior to 2010 there's scattered reporting from San Francisco journalists about his returns.

Friends, Family, Former Employees

Some of the "friends, family, and former employees" who've been approached by federal agents have also hired attorneys, according to Gavin, who said Thursday:

"The abuse was overwhelming. Poor and innocent people getting knocks on the door first thing in the morning, having to hire private attorneys. Lives and reputation at risk for no other reason than they want to take me out." 

Who are the "poor and innocent" people getting early-morning door knocks? Newsom won't say, but we know they're not "poor." And since he and his wife hire friends and family to manage their businesses and handle their financial affairs, and both appoint friends, family, and business associates to nonprofit or state boards, it's likely that investigators want to talk to those people about their professional dealings with the Newsoms and aren't just digging around.

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For example, here's a brief list of folks who'd likely be contacted by agents investigating the Newsoms' finances and nonprofits (California Partners Project, The Representation Project, California Protocol Foundation):

  • Ken and Judy Siebel: Jennifer Siebel Newsom's parents (no, he's not the Siebel Systems guy), who are members of MHBD Farms LLC, which owns the $9.1 million Marin County mansion the Newsoms have lived in since late 2024
  • Hilary Newsom Callan: Gavin's sister and Plumpjack CEO.
  • Jeremy Scherer: Gavin's first cousin, Plumpjack CFO, alleged source of the cash used to purchase the Newsoms' Fair Oaks mansion in 2018.
  • Robert Callan Jr & Barbara Callan: Hilary's in-laws, prominent San Francisco real estate agents who represented MHBD Farms LLC in the Marin County mansion purchase
  • Doug Hendrickson: Gavin's longtime BFF (the two played baseball together in college) and his "Politickin'" podcast partner
  • Shyla Hendrickson: Doug's wife, an attorney who manages the Gavin C. Newsom Blind Trust
  • Joanna Rees: Friend of Jennifer, San Francisco venture capitalist, The Representation Project board member
  • Brian Brokaw: Senior advisor on Gavin's gubernatorial campaigns, The Representation Project board member
  • Norah Weinstein: Friend of Jennifer Newsom, Baby2Baby CEO, California Partners Project board member
  • Tom Willis: Attorney who represents Gavin in matters before the FPPC, including the recent $31,500 fine for failing to timely report behested payments; California Partners Project board member
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Distancing From Alexis Podesta

Multiple reports have suggested that one of the investigations into Newsom was sparked by the tax fraud and corruption case against his former chief of staff, Dana Williamson, Xavier Becerra's former chief of staff, Sean McCluskie, and a powerful Sacramento lobbyist (all of whom have entered guilty pleas). We learned last week that an unindicted co-conspirator, Alexis Podesta, wore a FBI wire as far back as June, 2024, as part of that probe.


Whoa: A Sacramento Insider Wore a Wire in Dana Williamson/Gavin Newsom Probe


Newsom took issue with the media characterization that Podesta was part of his inner circle and had his "Press Office" post a lengthy rant basically saying, "I don't even know who she is."

At the bottom of the crash-out, the interns wrote:

Ms. Podesta departed as an agency secretary appointed by Governor Newsom’s predecessor, within the first year of Newsom's taking office. The Post offers no real evidence she was in his “orbit.” Under the Post’s theory, every one of the more than 2,000 appointees to boards and commissions is somehow an “ally” and in the political orbit of the Governor. Framing Ms. Podesta’s personal relationship with Ms. Williamson as part of the Governor’s inner circle is shoddy journalism.

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Begging for Subpoenas?

Back in mid-June, Newsom's press office said the governor expected to receive subpoenas and that, "The Governor looks forward to it." To date, no subpoenas have been received.

What's Next?

In an ideal world, indictments and perp walks would be next, and there are rumblings in Sacramento and Washington, DC that Gavin's increasingly manic presentation is an attempt to get ahead of some really bad news. I would bet on something like that happening before he willingly produces his tax returns from 2021 through 2025, though. With Newsom, one can never truly predict what's next.

Editor’s Note: Support our Managing Editor Jennifer Van Laar's continuing investigations into Gavin Newsom's finances and California corruption by joining RedState VIP. Use promo code FIGHT to receive 60% off your membership.

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