A 42-year-old woman has been arrested following a police raid on a nearly $5 million property in San Francisco’s Sea Cliff neighbourhood, where residents had reported suspicious activity for about a year.
Diana Peng was taken into custody on Friday after the San Francisco Police Department executed a warrant at 250 32nd Avenue following an investigation and complaints from neighbours.
Footage of the arrest showed Peng, wearing sunglasses and a high ponytail, being escorted from the property to a police vehicle. She was reportedly the only person inside the house at the time.
Residents had raised concerns about late-night activity, stolen property and fears of intruders around the property over the preceding months.
Multiple Charges Filed Against the Suspect
Peng was booked into San Francisco County Jail on allegations including possession of a firearm by a convicted felon, possession of ammunition by a convicted felon, narcotics offences, driving without a licence and improper care of animals.
During the search, police reportedly seized a firearm and ammunition, while seven dogs found in the property were handed over to Animal Control after being described as neglected.
Peng later appeared before San Francisco Superior Court Judge Michelle Tong, pleaded not guilty and was released on bail subject to several conditions.
According to The San Francisco Standard, the judge ordered her to remain at least 150 feet away from the property, undergo drug testing and attend Narcotics Anonymous meetings at least once a week.
Her public defender, Eli Huscher, said Peng worked as a legal assistant and earned approximately $3,000 monthly, which she used to support her mother.
Huscher also said there were no allegations that Peng had threatened or acted violently towards anyone. He added that the evidence available to him did not establish that she did not own the property.
San Francisco City Attorney Pursues Separate Property Fraud Case
Peng’s arrest comes amid a separate civil lawsuit filed by San Francisco City Attorney David Chiu against her and Brandon Aadee over allegations that they fraudulently altered property deeds to obtain ownership of the house.
Chiu alleged that the pair attempted to take control of the property unlawfully and sell it for millions of dollars.
“Defendants are effectively trying to steal a house and sell it to make millions in profit,” Chiu said in a statement.
He added that several notaries had reported that their signatures were forged or their official seals misused in documents connected to the property transfers.
The city attorney’s office said the alleged scheme involved eight deeds recorded over approximately 13 months, with five containing forged notary signatures.
Property Changed Hands Multiple Times in Alleged Deed Scheme
According to the city’s account, the property belonged to Wei Wang and her husband from 2013 until 2025.
Wang subsequently left the United States and stopped paying property taxes, leaving an alleged outstanding tax debt of approximately $320,000. The house was later placed up for tax auction to recover the unpaid amount.
However, the city attorney alleged that Aadee recorded a fraudulent deed in July 2025, transferring ownership from Wang to himself.
Over the following 13 months, Aadee and Peng allegedly transferred the property between themselves eight times through recorded deeds.
The city said several notaries confirmed that their signatures or seals had been forged or used without authorisation. In some instances, notaries reportedly said they had legitimately completed remote notarizations for Peng, but the documents were subsequently altered to suggest that Aadee had personally appeared before them.
The pair allegedly used explanations such as divorce or dissolution of marriage to justify some of the transfers. However, the city attorney said there were no marriage records for either individual.
Authorities Allege Attempt to Sell Property Below Market Value
The city attorney’s office further alleged that Peng and Aadee attempted to sell the multimillion-dollar property below its market value to secure a quick transaction before the alleged deed fraud could be discovered.
In its statement, the office said the circumstances indicated that the pair had no intention of living in the house and were instead seeking to make a substantial profit from a property they allegedly did not own.
Peng has denied wrongdoing in the civil proceedings and challenged the legal sufficiency of the case, according to The San Francisco Standard.
The civil lawsuit and the criminal charges arising from Friday’s police operation are separate proceedings.
No Trespassing Signs Placed at the Property
Following the police operation, no-trespassing signs were placed around the Sea Cliff property.
It remains unclear whether additional arrests will be made or when Peng is expected to return to court.
The Daily Mail said it had contacted Peng, her public defender, the San Francisco Police Department, Wang and Aadee for comment.
