DOJ: Director of L.A. charity arrested on suspicion of $23M homeless fraud

News release

LOS ANGELES – A Westwood man was arrested Friday on a federal criminal complaint charging him with fraudulently obtaining $23 million in public money intended to combat homelessness and pocketing at least $10 million of it, including using it for a $7 million house in Westwood, $125,000 Range Rover, private school tuition for his children, private jet travel, and stays at luxury resorts. 

Alexander Soofer, 42, is charged with wire fraud. He was arrested Friday morning and was expected to make his initial appearance Friday afternoon in United States District Court in Santa Ana, according to a news release from the federal Department of Justice. 

“California is the poster child of rampant fraud, waste and abuse of tax dollars,” First Assistant United States Attorney Bill Essayli said in the release. “The state has facilitated the spending of billions of dollars to combat homelessness, with little to show for it and almost no oversight. Thankfully, the federal government has begun auditing California’s spending and today’s is just one example of how fraudsters have swindled millions of dollars from taxpapers. This money should have gone to those in need, instead it lines the pockets of individuals subsidizing their lavish lifestyle.” 

“Soofer allegedly prioritized his own greed over decency and respect for the laws of our country,” Akil Davis, assistant director in charge of the FBI’s Los Angeles Field Office, said in the release. “The FBI and our law enforcement partners remain dedicated to investigating and holding accountable those, like Soofer, who we contend flagrantly disregarded our laws by seeking to enrich himself at the public’s expense.” 

According to an affidavit filed with the complaint, Soofer is the executive director of Abundant Blessings, a Hyde Park-based charity. Through this charity, Soofer contracted with the Los Angeles Homeless Services Authority to provide housing for people who were homeless or were at risk of becoming homeless. By July 2023, Soofer had multiple contracts with LAHSA to provide housing and supportive services to more than 600 homeless program participants at multiple sites across South Los Angeles.  

In total, between 2018 and 2025, Soofer received more than $23 million in homeless housing funding. Of that, more than $5 million came directly from LAHSA and more than $17 million came through a downtown Los Angeles-based non-profit called Special Service for Groups Inc., the release said. 

In some contracts, Soofer agreed to house participants at sites he managed, according to the release. In other contracts, he committed to pay third parties, including hotels or motels, to provide this housing. And regardless of where participants were housed, Soofer committed to provide participants with three meals a day, which the contracts defined as meals that were healthy, balanced, and met participants’ nutritional needs. 

But Soofer lied to LAHSA about how he was using the taxpayer money his charity received, falsely stating he used it exclusively to combat the homelessness crisis in Los Angeles, when he was misappropriating millions of dollars for himself, the DOJ release said. He also lied about payments supposedly being made to third party vendors for homeless housing services and took steps to conceal that he was diverting the money to his personal bank accounts, the release said. 

To cover up the fraud, Soofer is accused of fabricating fake and misleading invoices – at times stealing the names, addresses, and logos of real companies – to make it appear that the vendor and rent payments were legitimate, the release said. 

When a LAHSA investigator asked Soofer if his charity’s board knew how he was spending money, he said they did, but the investigator later learned that the board was fake – some of the people did not exist, and others had never heard of Abundant Blessings or Soofer, according to the release. 

Rather than providing the services for which he billed these public entities, Soofer pocketed at least $10 million, the release said, adding that he used that public money for a down payment on his $7 million Westwood home, millions of dollars of upgrades to that home, private schooling for his children, lavish spending in Las Vegas, private jet travel, and stays at luxury resorts across the United States – from Hawaii to Florida.  

“Alexander Soofer is alleged to have stolen millions of dollars designated to combat homelessness in Los Angeles,” Special Agent in Charge Tyler Hatcher of IRS Criminal Investigation, Los Angeles Field Office, said in the release. “These funds were intended to support the city’s most vulnerable residents. IRS Criminal Investigation is committed to pursuing those who exploit public programs for personal gain. Today’s action demonstrates our determination to hold accountable individuals who misuse taxpayer dollars for self-enrichment.” 

If convicted, Soofer would face a statutory maximum sentence of 20 years in federal prison. 

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