Gilbert mayoral candidate drops out of race amid 'Goons,' financial fraud controversy

Shane Krauser withdrew his candidacy for Gilbert mayor amid scrutiny over election challenges, connections with the "Gilbert Goons" and a history of financial fraud.

Krauser submitted a candidate statement of voluntary withdrawal Wednesday morning, the Gilbert town clerk confirmed. The statement of withdrawal also states he will not run as a write-in candidate for mayor.

Krauser did not immediately respond to The Republic's request for comment, nor has he publicly addressed dropping out of the race.

In a post on X, formally known as Twitter, about an hour after he submitted paperwork to the clerk's office, he wrote, "So many have good intentions. We want to make our community safer, maintain a healthy environment, ensure criminals are held accountable, and facilitate a free society. Unfortunately, many in power will compromise the freedom of many for the sake of a well-intentioned plan."

Members of Krauser's campaign team were behind challenges seeking to kick others off the ballot. Michael Webb, who filed the election challenge, is on Krauser's election team.

Krauser took responsibility Tuesday evening for the signature challenge of Natalie DiBernardo, a real estate agent and former candidate for Legislative District 14, in a statement posted on X. Krauser denied involvement in the other two challenges.

Who is running for Gilbert mayor? Here are the candidates

Two candidates remain in the mayor's race: Current Vice Mayor Scott Anderson and DiBernardo.

In an emailed statement to the Republic, DiBernardo acknowledged Krauser’s withdrawal as a “difficult decision” and wished him the best.

“Only the candidate knows what is best for themselves and their family,” she wrote.

Moving forward, she said, "I look forward to civil discourse with fellow candidates, engaging with residents, and leading the town into a peaceful and bright future.”

Anderson said he sympathized with Krauser, saying leaving the race was the right thing for him to do amid the criticism of his past.

He remains hopeful the campaign season calms down, he told The Republic.

“We want it to be a fair election cycle. That’s what everyone seems to want to have, so let’s proceed forward that way,” Anderson said.

Who is Shane Krauser?

Krauser launched his bid for the mayoral set in December 2022 to try to unseat Mayor Brigette Peterson.

He made addressing the "Gilbert Goons" controversy a cornerstone of his campaign and confirmed to The Republic his son was in a video with known Goons.

He told The Republic that he had learned about the video two months earlier and immediately sat down with his son to discuss it with him the way "any parent would do." He denied that his son, now 17, is a member of the Goons or regularly associates with them.

Krauser worked as a deputy Maricopa County attorney from 2001 to 2013 and has touted his work as a former gang prosecutor.

While employed as a prosecutor in 2007, Krauser used his position to snare victims in an investment fraud scheme, according to state securities regulators.

About a year after leaving the prosecutor's office, Krauser entered into a consent agreement with the state, which accused him of bilking three investors out of more than $225,000.

In 2014, he admitted making false statements, operating a fraudulent or deceitful business, selling unregistered securities and acting as an unlicensed investment adviser, records show.

The State Bar of Arizona, which licenses and investigates lawyers in Arizona, suspended him for 90 days in 2017 over the scheme.

Includes information from Arizona Republic reporter Robert Anglen.

Reporter Maritza Dominguez covers Mesa, Gilbert and Queen Creek and can be reached at maritza.dominguez@arizonarepublic.com or 480-271-0646. Follow her on X, formerly Twitter: @maritzacdom.

This article originally appeared on Arizona Republic: Shane Krauser, Gilbert mayoral candidate, drops out of race