Oakland is embroiled in a significant political scandal involving Mayor Sheng Thao and other government officials. An FBI raid revealed that officials allegedly received donations laundered through a sex trafficking and drug ring. The scandal includes accusations that the Oakland progressive political machine was funded with straw donations from a bar that served as a front for a brothel and drug emporium. Additionally, the city council allegedly violated bidding laws to award a massive recycling contract to a mob front, despite staff recommendations against it. This has led to widespread issues with waste management in Oakland, with overflowing trash cans and litter in commercial corridors and bus stops. The controversy has sparked broader discussions about corruption among West Coast progressives.