
Regina Laack calls the Offentsive camp for homeless women off Fairfield Drive home on Monday, February 3, 2025, but a recent Escambia County code violation order may jeopardize that.
Los Angeles, California – U.S. Attorney Bill Essayli announced Tuesday the formation of a new federal task force aimed at uncovering fraud, waste, abuse, and corruption tied to billions of dollars allocated to address homelessness in Southern California.
The newly established Homelessness Fraud and Corruption Task Force will investigate the potential misuse of federal funds and private donations intended to aid the homeless population across the Central District of California — a region that spans seven counties and is home to approximately 20 million people.
In a statement, Essayli specifically called out Los Angeles County, citing growing public concern over the effectiveness and transparency of homelessness programs. “Officials have been unable to account for all the expenditures and outcomes, and the homeless crisis has only gotten worse,” he said. “Taxpayers deserve answers for where and how their hard-earned money has been spent. If state and local officials cannot provide proper oversight and accountability, we will do it for them.”
The task force’s mission includes investigating whether federal laws were violated in the handling of homelessness-related funds, with Essayli vowing to “make arrests” if crimes are uncovered. It will also probe fraudulent schemes involving private donations meant to support homeless services.
The announcement comes on the heels of a court-ordered audit released last month, which revealed significant issues in how Los Angeles city and county agencies manage homelessness efforts. The report cited “disjointed” services, poor data integration, and inadequate financial oversight in contract monitoring.
In February, Governor Gavin Newsom launched a new state-run website designed to provide transparency in how counties are using funds for homelessness, housing, and behavioral health. The site also tracks which counties are meeting state standards. As of the latest update, multiple Los Angeles County cities — including Compton, Norwalk, and Carson — were flagged as being “out of compliance.”
“No one in our nation should be without a place to call home,” said Newsom. “We expect fast results, not excuses. While we are pleased by the progress many communities have made, there is more work to do.”
The federal task force aims to hold agencies and individuals accountable while restoring public trust in how homelessness funds are managed.