Oakland inks new deal with security company tied to a key player in FBI probe

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The company will be paid up to $6 million for that work, along with another $3.2 million in backpay that the city owed the company for its services earlier this year.

Oakland mayor Sheng Thao enters the room during a press conference at Oakland City Hall in Oakland, Calif., on Monday, June 24, 2024. This was the mayor’s first public appearance since her home was raided by the FBI two days ago.

In those situations, Oakland’s mayor must either personally decide the matter, or decline to weigh in and let the measure fail.But in a last-minute change, city officials re-wrote the contract extension so that it would pay ABC Security Service nearly $3.2 million in expenses that ABC has accrued since early 2024, while clearing the way for the company to receive up to $6 million more to keep the company on board through the middle of 2025.

The two appear to have done business as far back as seven years ago, when they bought and sold properties between each other in East Oakland. Often, those deals were done through little-known companies that each of them led. City officials, meanwhile, will look into how much Oakland pays for its security services versus other neighboring cities. Oakland’s ongoing financial crisis forced the town earlier this year to cut $2.5 million from its security budget, forgoing some patrols and metal-detection equipment at public facilities.

the series of June 20 raids at the homes belonging to Thao and the father-and-son duo of David and Any Duong, Alameda County prosecutors had charged Juarez in a felony case stemming from election mailers that Juarez allegedly orchestrated against Thao’s political rivals during the final days of the 2022 mayoral campaign. Juarez has since pleaded not guilty.

 

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