Federal Prosecutors Arrest LA Charity Director in $23M Homelessness Fraud
Prosecutors say Alexander Soofer siphoned more than $23 million in taxpayer funds and pocketed at least $10 million, authorities said.
Overview
Federal prosecutors in the Central District of California arrested Alexander Soofer, 42, on a federal criminal complaint charging him with wire fraud after he allegedly obtained more than $23 million in taxpayer funds meant to combat homelessness, officials said.
The alleged scheme spanned 2018 to 2025 and involved contracts with the Los Angeles Homeless Services Authority and payments routed through Special Service for Groups Inc., records show.
First Assistant U.S. Attorney Bill Essayli, joined by Los Angeles County District Attorney Nathan Hochman and IRS Criminal Investigation Special Agent in Charge Tyler Hatcher, announced the arrest at a Friday press conference and said the office’s Homelessness Fraud and Corruption Task Force led the probe.
Prosecutors allege Soofer diverted at least $10 million for personal use, including a down payment and renovations on a $7 million Westwood home, a $125,000 Range Rover and about $475,000 toward a Greek vacation property, according to the complaint.
Soofer is scheduled to appear in U.S. District Court in Santa Ana on Friday afternoon and, if convicted on the wire fraud charge, faces up to 20 years in federal prison, officials said.
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FAQ
Abundant Blessings is a South Los Angeles-based charity founded in 2018, led by Alexander Soofer as executive director, contracted with LAHSA to provide housing and three nutritional meals daily to over 600 homeless or at-risk individuals across multiple sites.
Soofer allegedly diverted at least $10 million for personal use, including a $7 million Westwood home down payment and renovations, a $125,000 Range Rover, $475,000 toward a Greek vacation property, private school tuition, and luxury items from Hermes and Chanel.
Investigators discovered substandard food like ramen noodles, canned beans, and breakfast bars instead of promised three nutritional meals; fake board members; falsified invoices using real companies' logos; above-market payments to Soofer-owned properties disguised as third-party rentals; and hotline complaints leading to site visits.
Soofer faces federal wire fraud charges with up to 20 years in prison, plus state charges from LA County DA for defrauding LAHSA of over $5 million, potentially up to 17 years in state prison if convicted.
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