Millionaire Shelters Swalwell During Sex Scandal, Now Ditches Democratic Party

Stephen Cloobeck, whose mansion housed the former congressman, claims he's now a 'libertarian Republican'.

Apr. 14, 2026 at 9:05pm

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A conceptual abstract painting featuring overlapping, fragmented geometric shapes in navy, crimson, and gold, conveying a sense of political turmoil and shifting loyalties.A wealthy donor's dramatic political realignment reflects the fallout from a high-profile sex scandal in California.Beverly Hills Today

Near-billionaire business tycoon Stephen Cloobeck, whose $26 million Beverly Hills mansion former Rep. Eric Swalwell took refuge in when his sex scandal broke, revealed he has ditched the Democratic Party, saying 'I am no longer a Democrat! I'm now a libertarian Republican, because that's what a blue dog Democrat used to be.'

Why it matters

Cloobeck's shift away from the Democratic Party is notable, as he had previously endorsed Swalwell for California governor before the sex scandal allegations surfaced. His decision to cut ties with Swalwell and the party highlights the fallout from the former congressman's scandal and the broader political realignment happening among some wealthy donors.

The details

Cloobeck, the founder and former CEO of Diamond Resorts International, briefly ran for California governor as a Democrat himself before dropping out and endorsing Swalwell. However, after the sex scandal allegations against Swalwell emerged, Cloobeck said he was 'blown away' and 'there's no way I would have endorsed him.' Cloobeck made clear he wants nothing to do with Swalwell, saying 'Eric who? Is that clear? Don't bust the trust. You bust the trust, OK, you don't exist in my life.'

  • In November 2025, Cloobeck briefly ran for California governor as a Democrat before dropping out and endorsing Swalwell.
  • In April 2026, Swalwell's sex scandal broke, leading him to take refuge in Cloobeck's Beverly Hills mansion.

The players

Stephen Cloobeck

A near-billionaire business tycoon and the founder and former CEO of Diamond Resorts International, who briefly ran for California governor as a Democrat before dropping out and endorsing Eric Swalwell.

Eric Swalwell

A former Democratic congressman from California who resigned from Congress on Tuesday amid a sex scandal involving allegations of sexual harassment, assault, and sleeping with subordinates.

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What they’re saying

“I am no longer a Democrat! I'm now a libertarian Republican, because that's what a blue dog Democrat used to be.”

— Stephen Cloobeck, Businessman

“Eric who? Is that clear? Don't bust the trust. You bust the trust, OK, you don't exist in my life.”

— Stephen Cloobeck, Businessman

The takeaway

Cloobeck's shift away from the Democratic Party and his strong rebuke of Swalwell highlights the political fallout from the former congressman's sex scandal, as well as the broader realignment happening among some wealthy donors who are reconsidering their party affiliations.