Billionaire Stephen Cloobeck, a former Democratic donor and California gubernatorial candidate, was arrested Tuesday in Los Angeles on felony charges. The Los Angeles County Sheriff’s Department (LASD) confirmed Cloobeck, 64, surrendered to authorities in West Hollywood on an outstanding warrant for allegedly attempting to dissuade or intimidate a witness or victim (136.1 PC). He was released later that day after posting $300,000 bail.
The arrest stems from an investigation conducted jointly by the Malibu/Lost Hills Sheriff’s Station and the Los Angeles Police Department, linked to the Adva Lavie case. Cloobeck, a real estate developer and founder of Diamond Resorts International, suspended his gubernatorial campaign in November 2025 to endorse Democratic Rep. Eric Swalwell. However, he later cut ties with Swalwell amid sexual misconduct allegations, publicly disavowing the Democratic Party and aligning with libertarian and Republican views.
Cloobeck’s political ambitions were short-lived, as a University of California, Berkeley poll found he garnered less than half of 1% of voter support. His arrest follows earlier controversies, including being barred from the prediction market platform Kalshi for betting on the California governor’s race. If convicted, he could face up to three years in prison.