Ex-San Leandro Councilmember Pleads Guilty in Modular Homes Fraud Scheme

Bryan Azevedo's guilty plea ends political career, sets up testimony in upcoming corruption trial

Published on Feb. 11, 2026

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Former San Leandro City Councilmember Bryan Azevedo pleaded guilty in federal court to conspiracy to commit honest services wire fraud and lying to federal officials. The plea deal effectively ends Azevedo's political career and positions him as a key witness in an upcoming public corruption trial involving former Oakland Mayor Sheng Thao and the Duong family.

Why it matters

This case highlights ongoing concerns about corruption and abuse of power by elected officials in the East Bay region. Azevedo's guilty plea sheds light on a complex scheme to defraud San Leandro taxpayers through the purchase of overpriced modular homes, and raises questions about the broader network of political and business relationships involved.

The details

Azevedo admitted to conspiring with Oakland businessman Mario Juarez, David Duong, and Andy Duong to push San Leandro to purchase $300,000 modular homes from their startup, Evolutionary Homes. In exchange, Azevedo was to receive a percentage of the sales price, with the payments concealed by having the money deposited into an account in his wife's name. Azevedo also lied to federal agents about receiving cash from Andy Duong and Duong's business interests before the city.

  • In August 2023, Azevedo went on a 'trade mission' to Vietnam hosted by the Vietnamese American Business Association, with his travel paid for by the Duongs' organization.
  • In November 2023, Azevedo, Juarez, and Andy Duong discussed an Emergency Homelessness Ordinance scheduled for a San Leandro City Council meeting, and Azevedo was instructed how to vote.
  • On January 15, 2025, FBI agents searched Azevedo's home and he lied about receiving cash from Andy Duong and Duong's business interests.

The players

Bryan Azevedo

Former San Leandro City Councilmember who pleaded guilty to conspiracy to commit honest services wire fraud and lying to federal officials.

Mario Juarez

Oakland businessman and co-founder of Evolutionary Homes, the startup that sold overpriced modular homes to San Leandro.

David Duong

Co-founder of Evolutionary Homes and member of the Duong family, who were indicted on bribery charges related to the modular homes scheme.

Andy Duong

Co-founder of Evolutionary Homes and member of the Duong family, who were indicted on bribery charges related to the modular homes scheme.

Sheng Thao

Former Oakland Mayor who is scheduled to stand trial in October 2026 on public corruption charges.

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What they’re saying

“The conspiracy began no later than August 2023 with a 'trade mission' to Vietnam hosted by the Vietnamese American Business Association. The trip included Port of Oakland officials and Oakland Mayor Sheng Thao. Azevedo's travel was paid for by the business organization run by the Duongs.”

— Abraham Fine, Assistant U.S. Attorney

What’s next

A status conference for Azevedo's sentencing has been set for December 3, 2026. He is expected to testify for the government in the upcoming trial of former Oakland Mayor Sheng Thao, Andre Jones, and the Duongs, which is scheduled to begin on October 19, 2026.

The takeaway

This case highlights the ongoing problem of corruption and abuse of power by elected officials in the East Bay region, and the need for greater transparency and accountability in local government. The guilty plea by Azevedo and the upcoming trial of other key figures involved in the modular homes scheme could shed further light on the complex web of political and business relationships that enabled this fraud to occur.