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Charity executive in Los Angeles taken into custody for $23 million fraud in homeless services

Charity executive in Los Angeles taken into custody for $23 million fraud in homeless services

Fraud Scheme Lands Charity Director in Federal Custody

Federal agents arrested Alexander Soofer, 42, the executive director of a charity based in South Los Angeles, on Friday. He’s accused of running a significant fraud scheme, allegedly diverting $23 million intended for the city’s homeless population to fund a lavish lifestyle.

Soofer, who leads Abundant Blessings, was taken into custody at his home in Westwood. Prosecutors assert that while he claimed to provide housing and meals for vulnerable individuals, he misused public funds, treating them as his “personal piggybank.” Evidence shows he spent millions on a $7 million mansion, private jets, and luxury goods.

According to a criminal complaint, Soofer’s charity received over $23 million between 2018 and 2025 through contracts with organizations like the Los Angeles Homeless Services Authority (LAHSA). In return, Abundant Blessings was supposed to offer housing and three nutritious meals daily for more than 600 participants.

However, the reality at Soofer’s facilities was much different:

  • Unhealthy Food Options: Investigators found that, despite claiming to provide healthy meals, residents were often served only ramen noodles, canned beans, and breakfast bars.
  • Fabricated Board of Directors: When asked about oversight, Soofer mentioned a board of directors that allegedly approved his expenditures. Federal agents later discovered that this board was fictitious—some “members” didn’t exist, while others were unaware of Soofer or his charity.
  • False Invoices: Prosecutors allege that Soofer created fake invoices using logos and addresses of legitimate companies to make it seem as though he was paying vendors, when in reality, he pocketed the funds.

While the city’s most vulnerable residents were left with inadequate food, prosecutors claim Soofer misappropriated at least $10 million for personal expenses. Among the purchases detailed by the Department of Justice were:

  • A $7 million home in Westwood and a $475,000 vacation property in Greece.
  • Charters for private jets and stays at luxury resorts, notably the Four Seasons Resort Maui, a location highlighted in the HBO series “The White Lotus.”
  • Luxury purchases from designers like Hermès and Chanel, including customized loafers and sandals costing over $1,000 each.
  • A $125,000 Range Rover that was seized during Soofer’s arrest.

“This money should have gone to those in need; instead, it funded one person’s extravagant lifestyle,” remarked First Assistant U.S. Attorney Bill Essayli during a press briefing.

Soofer is facing wire fraud charges, which could result in a maximum sentence of 20 years in federal prison. Additionally, L.A. County District Attorney Nathan Hochman has filed 11 felony counts including conflict of interest and forgery, which could add another 17 years to his sentence if convicted.

Los Angeles Mayor Karen Bass condemned the allegations as “despicable,” stressing a “zero tolerance” approach toward fraud in city homelessness programs.

“Today, we learned about a private developer arrested for a complicated scheme to defraud lenders. This case involved real estate intended for housing elderly Angelenos facing homelessness. My administration will not tolerate corruption. We’re collaborating with the U.S. Attorney’s office to ensure that fraud against the city is met with strict legal action and relentless accountability,” she stated.

Soofer appeared in court for the first time on Friday afternoon at the U.S. District Court in Santa Ana.

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