Democrat Backer Ensnared in Fraud Case; Another Councilman Hit with Fresh Corruption Charges

In a major blow to progressive circles, liberal activist and prominent Democratic donor Joseph Sanberg has agreed to plead guilty to two counts of wire fraud, according to a Justice Department press release issued late last week. Under federal law, Sanberg could face up to 20 years in prison for each count.

Sanberg, known for co‑founding the financial technology and sustainability firm Aspiration Partners, Inc., also served on its board. The DOJ says that over multiple years, he abused that position to deceive investors and lenders, resulting in losses totaling more than $248 million. “He used his role at Aspiration to mislead and enrich himself,” stated Acting Assistant Attorney General Matthew R. Galeotti of the DOJ’s Criminal Division. “We will pursue and prosecute fraudsters who harm their victims and weaken trust in our financial systems.”

Campaign finance records reviewed by news outlets confirm that Sanberg has donated heavily to Democratic causes, including contributions to California Governor Gavin Newsom.

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New Charges Against Councilman Curren Price

Meanwhile, in Los Angeles, Democratic City Councilmember Curren Price is now facing additional corruption charges in a scandal already roiling local politics. The Los Angeles County District Attorney’s Office has filed two new public corruption counts, alleging that Price embezzled public funds and steered government contracts to benefit himself financially.

Price had previously been indicted in 2023 on five counts of embezzlement; he pled not guilty at that time. The newly added charges stem from evidence that while Price cast votes awarding multimillion‑dollar contracts to city agencies, his wife was simultaneously paid more than $800,000 by those same agencies. The DA’s office claims this constitutes a breach of public trust and a conflict of interest.

“Embezzlement and self-dealing are the antithesis of public service,” said DA Nathan Hochman. “We expect more from our elected officials. This investigation reflects our dedication to exposing unethical behavior and holding people in power accountable.”

Curren Price has represented the Ninth District since 2013. Under city rules, he is barred from having any financial interest in projects before the council. The charges allege that Del Richardson & Associates, a firm owned exclusively by his wife, Delbra Pettice Richardson, received substantial developer payments between 2019 and 2021 in connection with projects on which Price voted. Price’s original indictment in 2023 included embezzlement, perjury, and conflict-of-interest charges tied to those votes.

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Wider Allegations Among High-Profile Democrats

The legal troubles do not end with Sanberg and Price. In separate developments, grand juries in both Virginia and Maryland are reportedly weighing indictments against New York Attorney General Letitia James and California Senator Adam Schiff. According to ongoing investigations, they are accused of fabricating property records to secure favorable loan conditions — allegations that, if true, could expose them to charges of mortgage fraud, bank fraud, and wire fraud carrying sentences of up to 30 years.

To manage those cases, former acting US Attorney for the District of Columbia, Ed Martin, was appointed by Attorney General Pam Bondi as Special Attorney overseeing potential prosecutions. Martin stated, “This is a serious mission. DOJ and the FBI have been working on these cases for months. My job is to follow the evidence wherever it leads and secure justice.”

Bondi, in announcing Martin’s role, affirmed the administration’s commitment to holding high-level public figures accountable, regardless of party affiliation.

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Political and Legal Stakes

These developments mark a fraught moment for the Democratic Party. Sanberg’s case undercuts a major financial backer whose activism and donations gave him prestige within progressive networks. Price’s expanding scandal threatens to weaken a city-level Democratic bastion. And the deepening investigations into James and Schiff could shake public trust in senior party leaders.

The timing also carries weight: with midterm elections looming, revelations of alleged fraud and corruption may shift narratives about integrity, accountability, and the misuse of power. Republicans may use these cases as political ammunition in upcoming campaigns.

At the same time, the Department of Justice appears to be signaling that no one is off-limits, whether a wealthy donor or an elected lawmaker. The appointment of a special attorney and the aggressive pursuit of charges in multiple jurisdictions reflect a particularly bold posture.

Whether these cases result in convictions or political fallout remains to be seen. But for now, Sanberg’s guilty plea, Price’s mounting legal jeopardy, and the looming cases against top Democrats ensure the spotlight remains firmly on demands for ethical governance and accountability.