See more of our coverage in your search results.
“For years American taxpayers have been sending billions to Los Angeles. The result? Fraud and corruption. That ends today.”
Sosaid Scott Brady, executive director of the White House Fraud Task Force, chaired by Vice President JD Vance.
Bradyannounced that the federal governmenthad cut off funding to the Los Angeles Homeless Services Authority (LAHSA), whose mismanagement has been legendary, even by local standards.
LAHSA has spent billions to solve the problem of homelessness in LA. Almost $1 billion of its funds have come from the federal government since 2021.
But acourt-ordered auditlast year found that LAHSA could not account for much of the money it had spent, and that there was even doubt about whether money was going toward homeless services at all.
Its CEO, Va Lecia Adams Kellum, resigned earlier this year after she wasfound to have awarded a $2.1 million contractto an organization where her husband happened to work.
The office of the inspector general at the Department of Housing and Urban Development (HUD) alsolooked into LAHSA earlier this year, finding that its federally funded “Continuum of Care” program “did not fully meet the goals and objectives of the program and did not always follow program requirements.” It also flagged nearly $900,000 in “salary and rent costs” that it said might not have been for the program.
Fox News reportedThursday that HUD had sent a letter to LAHSA informing it that the federal agency was suspending any more payments to LAHSA until the inspector general had conducted more investigations.
Critics have long been suspected that LAHSA is the center of the “homeless-industrial complex” — a system that profits off the homeless by taking public money and private donations to solve the problem, then failing to do so, and asking for more money, which the desperate public duly provides.
Source: California Post – Breaking California News, Photos & Videos
