4 Charged With Fraud Involving... Note

4 Charged With Fraud Involving Millions Of Taxpayer Dollars For Homelessness Aid

Federal prosecutors in California have charged four individuals with misappropriating millions of taxpayer dollars intended for homeless housing and services. These funds were allegedly diverted to finance personal luxuries and business ventures. Michael Young, founder of Home At Last, is accused of using over $7.5 million to open a nightclub and bingo hall. He allegedly created shell corporations and used fraudulent billing to fund these projects and boost his real estate portfolio. Donye Mitchell, CEO of The Big Blue Umbrella, allegedly received over $1.2 million in grant money by falsely claiming his nonprofit was a major homeless-housing provider. Mitchell is accused of using these funds for personal expenses, including bail payments and credit card debt. The grant money was intended for homeless services but was allegedly misused by Mitchell. Amity Foundation canceled its contract with Mitchell's organization due to concerns about misrepresented spending and unmet goals. Lakiya Malone, an employee of Special Service for Groups, is accused of accepting over $180,000 in bribes from Alexander Soofer. In exchange, Malone allegedly provided priority housing referrals, including for fictitious clients. Soofer, executive director of Abundant Blessings, has agreed to plead guilty to wire fraud and money laundering for taking at least $2 million in taxpayer funds. These schemes defrauded taxpayers by diverting crucial funds away from vulnerable populations. Authorities emphasize their commitment to pursuing accountability and prosecuting those who exploit public funds for personal gain.
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