Los Angeles, January 24, 2026
Alexander Soofer, the executive director of a nonprofit in Los Angeles, was arrested for allegedly misappropriating over $23 million in taxpayer-funded homeless services. Investigators claim that he diverted funds for personal use, including luxury properties and designer goods. Authorities are calling for increased accountability in managing resources designated for the homeless community following this shocking misuse of public funds.
Los Angeles Man Arrested for Allegedly Stealing Millions in Homeless Funds
Los Angeles, CA – Alexander Soofer, 42, was arrested on January 23, 2026, on charges of wire fraud after allegedly misappropriating over $23 million in taxpayer funds intended for homeless services in Los Angeles. Soofer, the executive director of the Hyde Park-based nonprofit Abundant Blessings, is accused of diverting these funds for personal use, including purchasing luxury properties and designer goods.
Details of the Alleged Fraud
Between 2018 and 2025, Soofer’s organization received more than $23 million through contracts with the Los Angeles Homeless Services Authority (LAHSA) and other partner organizations. Federal prosecutors allege that Soofer misused at least $10 million of these funds to finance a $7 million Westwood home, a vacation property in Greece, private schooling for his children, and luxury vacations. Additionally, he is accused of falsifying invoices to conceal the diversion of funds, claiming to provide services such as fresh meals and housing accommodations, while in reality, clients received minimal assistance like canned beans and breakfast bars.
Reactions from Authorities
Los Angeles County District Attorney Nathan Hochman condemned Soofer’s actions, stating that he “ripped off the taxpayers of LA County, and sadly and tragically he ripped off the homeless.” Mayor Karen Bass echoed this sentiment, emphasizing her administration’s zero tolerance for fraud and the betrayal of public trust. Councilwoman Monica Rodriguez also called for greater accountability in the management of homeless funds, highlighting the need for effective oversight to prevent such misuse.
Background on Abundant Blessings
Founded in 2018, Abundant Blessings was contracted by LAHSA to provide housing and supportive services to over 600 individuals experiencing homelessness across multiple sites in South Los Angeles. The organization was responsible for offering three nutritional meals daily and safe housing accommodations. However, investigations revealed that Soofer misrepresented the services provided, leading to significant public outcry and scrutiny of the organization’s operations.
Potential Legal Consequences
If convicted of the federal wire fraud charge, Soofer faces up to 20 years in prison. Additionally, the state charges carry a maximum sentence of 17 years upon conviction. The case underscores the critical need for stringent oversight and accountability in the allocation and use of public funds designated for vulnerable populations.
Ongoing Investigations
This arrest is part of a broader initiative by federal authorities to investigate and prosecute fraud involving homelessness funds in Los Angeles. The task force aims to ensure that resources intended to assist the homeless are used appropriately and effectively, holding accountable those who exploit these funds for personal gain.
Related Cases
In October 2025, federal authorities arrested Cody Holmes, the former chief financial officer of Shangri-La Industries, a developer of affordable housing. Holmes was charged with mail fraud for allegedly submitting false bank records to obtain $25.9 million in state grant money intended for homeless housing projects. In a separate case, Steven Taylor of Brentwood was charged with bank fraud, aggravated identity theft, and money laundering for allegedly defrauding lenders to support his property-flipping business, including the sale of a Cheviot Hills property to a homeless housing developer at an inflated price.
Public Response
The community has expressed outrage over the misuse of funds meant to support the homeless. Advocates are calling for increased transparency and oversight in the management of homelessness resources to prevent future fraud and ensure that aid reaches those in need.
Conclusion
The arrest of Alexander Soofer highlights the ongoing challenges in safeguarding public funds allocated for homelessness services. It serves as a reminder of the importance of vigilance and accountability in the administration of programs designed to assist vulnerable populations.
Frequently Asked Questions (FAQ)
What is Alexander Soofer accused of?
Alexander Soofer, 42, is accused of wire fraud for allegedly misappropriating over $23 million in taxpayer funds intended for homeless services in Los Angeles. He is accused of diverting these funds for personal use, including purchasing luxury properties and designer goods.
How did Soofer allegedly misuse the funds?
Between 2018 and 2025, Soofer’s organization, Abundant Blessings, received more than $23 million through contracts with the Los Angeles Homeless Services Authority (LAHSA) and other partner organizations. Federal prosecutors allege that Soofer misused at least $10 million of these funds to finance a $7 million Westwood home, a vacation property in Greece, private schooling for his children, and luxury vacations. Additionally, he is accused of falsifying invoices to conceal the diversion of funds, claiming to provide services such as fresh meals and housing accommodations, while in reality, clients received minimal assistance like canned beans and breakfast bars.
What are the potential legal consequences for Soofer?
If convicted of the federal wire fraud charge, Soofer faces up to 20 years in prison. Additionally, the state charges carry a maximum sentence of 17 years upon conviction. The case underscores the critical need for stringent oversight and accountability in the allocation and use of public funds designated for vulnerable populations.
What is the background of Abundant Blessings?
Founded in 2018, Abundant Blessings was contracted by LAHSA to provide housing and supportive services to over 600 individuals experiencing homelessness across multiple sites in South Los Angeles. The organization was responsible for offering three nutritional meals daily and safe housing accommodations. However, investigations revealed that Soofer misrepresented the services provided, leading to significant public outcry and scrutiny of the organization’s operations.
What other cases of fraud involving homelessness funds have occurred?
In October 2025, federal authorities arrested Cody Holmes, the former chief financial officer of Shangri-La Industries, a developer of affordable housing. Holmes was charged with mail fraud for allegedly submitting false bank records to obtain $25.9 million in state grant money intended for homeless housing projects. In a separate case, Steven Taylor of Brentwood was charged with bank fraud, aggravated identity theft, and money laundering for allegedly defrauding lenders to support his property-flipping business, including the sale of a Cheviot Hills property to a homeless housing developer at an inflated price.
What is being done to prevent future fraud in homelessness funding?
This arrest is part of a broader initiative by federal authorities to investigate and prosecute fraud involving homelessness funds in Los Angeles. The task force aims to ensure that resources intended to assist the homeless are used appropriately and effectively, holding accountable those who exploit these funds for personal gain.
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