The new top federal prosecutor in Los Angeles is launching a task force to investigate possible fraud, waste, abuse and corruption involving funds meant to address homelessness in Southern California.
U.S. Attorney Bill Essayli, who has been in the Trump-appointed role for the seven-county Central District of California for less than a week, announced on Tuesday that the new unit will include federal prosecutors that handle major fraud, civil rights, public corruption and civil fraud cases.
Essayli, 39, was a Republican state lawmaker where he was frequent antagonist of California Democrats, including Gov. Gavin Newsom, when President Trump tapped him for the federal prosecutor job last week. The appointment will require Senate confirmation for Essayli to stay in the role longer than 120 days.
About 75,000 homeless people reside in Los Angeles County, with more than half of them in the City of Los Angeles, according to the most recent headcount data available from the Los Angeles Homeless Services Authority (LAHSA). The county's homeless population was just under 53,000 in a 2018 count.
Essayli said in a statement that he quickly launched the probe into funding for homelessness programs because he has seen little progress, despite new initiatives and billions of dollars spent.
"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. If we discover any federal laws were violated, we will make arrests."
Essayli didn't identify any specific programs alleged of wrongdoing. He said the Homelessness Fraud and Corruption Task Force will start by reviewing all federal, state and local programs that address homelessness in the Central District of California and receive federal funds.
The Federal Bureau of Investigation (FBI)’s Los Angeles field office, the U.S. Department of Housing and Urban Development Office of Inspector General (HUD-OIG) and Internal Revenue Service (IRS) Criminal Investigation unit are assisting the task force.
“Any exploitation of the homelessness crisis via the theft of funds intended to improve conditions cannot and will not be tolerated,” FBI field office assistant director Akil Davis said in a statement.
Newsom spokesperson Tara Gallegos told The Hill that the governor supports accountability efforts.
“Local governments must use state and federal homelessness dollars responsibly — and we expect them to deliver results," she said. "We share the federal administration’s goal of ensuring taxpayer funds are being used effectively to get people off our streets."
Los Angeles County said in a statement that it will "fully cooperate with any forthcoming review by this task force," and leaders "are committed to accountability and transparency in homeless funding."