CA non-profit founder indicted for bribing county supervisor to secure $12 Million COVID-19 funds

CALIFORNIA – The U.S. Department of Justice (DOJ) announced June 6 that the founder of a defunct non-profit was indicted for bribing ex-Orange County Supervisor Andrew Hoang Do to secure $12 million in COVID-19 funds, pocketing most of it, and laundering the proceeds.

Peter Anh Pham, 65, of Garden Grove, faces charges including conspiracy, wire fraud, money laundering, and bribery.

Also charged in the indictment is Thanh Huong Nguyen, 61 of Santa Ana, with conspiracy, wire fraud, and money laundering.

The DOJ said Pham is a fugitive, while Nguyen’s initial appearance and arraignment are expected to occur on Monday in U.S. District Court in Santa Ana.

County supervisor used role to steer county contracts to Pham and Nguyen

According to the indictment, Pham was a friend of Do, 62, a former Orange County Supervisor who oversaw the county’s $9 billion budget until resigning in October 2024.

Do pleaded guilty in October 2024 to conspiracy to commit bribery and faces up to five years in federal prison at his June 9 sentencing.

From June 2020 to October 2024, Do used his official position as a county supervisor to vote for millions of dollars in county funds to be allocated in his district, subject to disbursement at his sole discretion.

Do then steered county contracts and grants to Pham and Nguyen, the indictment alleges.

For example, in June 2020, Do voted to approve an agenda item that allocated $5 million in federal COVID-19 pandemic-relief funding to a county nutrition program.

As part of this agenda item, Do authorized himself a budget of $1 million to develop that nutrition program in his district, which he could distribute without further approval from the rest of the Board.

Eight days after Do voted to approve the agenda item, Pham founded the Huntington Beach-based non-profit organization Viet America Society (VAS).

Pham and Nguyen spent funds on personal expenses, commercial and residential real estate

Pham’s VAS and Nguyen’s Garden Grove group, Hand-to-Hand Relief Organization (H2H) signed contracts with the county, falsely promising to repay unused funds and certifying all money would be used only for the grant’s intended purpose.

In exchange for bribes paid to his daughters, Do used his position to push contracts to VAS and H2H. Do and his staff altered terms of the contracts to benefit Pham and Nguyen.

Through the influence of Do and his staff, the county wired funds to Pham and Nguyen.

After receiving county funds, Pham and Nguyen transferred most of the money to other entities they controlled.

They then spent large portions of the funds to pay personal expenses such as rent and bills, to pay off debts owed by their other businesses, and to make personal investments such as purchasing commercial and residential real estate.

Pham and Nguyen also used county funds to bribe Do through payments to his daughters.

Pham funneled money through an air conditioning company

Pham used county funds to pay Do’s chief of staff’s future wife, falsely claiming she consulted for VAS.

The chief of staff then helped VAS and H2H obtain county contracts, edited the contracts’ terms to make them more favorable to VAS and H2H, and helped those organizations fulfill reporting requirements and get paid.

Pham and Nguyen submitted false invoices claiming all funds were spent properly.

To disguise the funds’ source, Pham and an associate funneled county funds through Westminster-based D Air Conditioning Co. LLC, which then paid Pham, his associate and Do’s daughter.

In total, Pham and Nguyen unlawfully acquired approximately $12 million in county funds through this conspiracy.

Pham and Nguyen face up to 20 years in prison

If convicted of the charges, Pham and Nguyen face up to 20 years in federal prison for the conspiracy count, each wire fraud count, and each money laundering count.

Pham also would face up to 10 years in federal prison for the bribery count.

“Today’s indictments are another critical step in ensuring accountability – and consequences – for those who conspired to use the County of Orange’s COVID-19 funds as their personal ATMs – and to return those stolen funds to their rightful owners – the community for which these funds were originally intended,” said Orange County District Attorney Todd Spitzer.