{"id":2664014,"date":"2026-09-18T08:56:58","date_gmt":"2026-09-18T12:56:58","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/utm_sourcerssutm_mediumrssutm_campaigncalifornia-spirals-down-into-constant-soul-destroying-fraud\/"},"modified":"2026-09-18T09:00:09","modified_gmt":"2026-09-18T13:00:09","slug":"utm_sourcerssutm_mediumrssutm_campaigncalifornia-spirals-down-into-constant-soul-destroying-fraud","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/utm_sourcerssutm_mediumrssutm_campaigncalifornia-spirals-down-into-constant-soul-destroying-fraud\/","title":{"rendered":"California Spirals Down Into Constant, Soul-Destroying Fraud"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">14<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Futm_sourcerssutm_mediumrssutm_campaigncalifornia-spirals-down-into-constant-soul-destroying-fraud%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2664014&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The article highlights widespread corruption and fraud among California&#8217;s political and social service sectors. It discusses the guilty pleas of former chief of staff members linked to Democratic officials, emphasizing that California has a culture deeply entrenched in fraud.The narrative critiques the state&#8217;s political dominance by democrats, noting that every top statewide office is held by them, with a history of corruption and mismanagement.<\/p>\n<p>It details numerous cases of financial misconduct,including a convicted healthcare fraudster sentenced to 30 years and another involved in homeless services fraud who forfeited luxury possessions. The article points out the systemic issues within homeless services, where billions of public dollars flow through numerous nonprofits with little oversight, leading to rampant theft and misappropriation. Notably, LAHSA, the main agency involved, faced federal sanctions and withdrew from homeless funding roles amid allegations of corruption.<\/p>\n<p>The piece also criticizes california\u2019s high-speed rail project, which has consumed over $15 billion yet has no operational trains or completed tracks, and portrays the state as mired in decadence and decadence, with examples of luxury lifestyles amid systemic rot. It concludes by contrasting the state&#8217;s claims of fighting fraud with recent high-profile guilty pleas, including Newsom\u2019s former chief of staff, illustrating a cycle of denial and corruption at the highest levels.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<div>\n<p>In California, the former chief of staff to the current Democrat governor has <a href=\"https:\/\/www.justice.gov\/usao-edca\/pr\/california-political-consultant-and-former-public-official-pleads-guilty-conspiracy\" target=\"_blank\" rel=\"noreferrer noopener\">pled guilty<\/a> to a bunch of felonies and is awaiting sentencing. At the same time, the former chief of staff to the Democrat running to <em>replace<\/em> the current governor has also <a href=\"https:\/\/www.justice.gov\/usao-edca\/pr\/california-lobbyist-and-former-chief-staff-elected-official-plead-guilty-conspiracy\" target=\"_blank\" rel=\"noreferrer noopener\">pled guilty<\/a> to a bunch of felonies and is also awaiting sentencing. California has a serious shot at choosing back-to-back governors whose former top staff members will go to prison for fraud. We <em>stack and cluster<\/em> the fraud among public officials, so the <a href=\"https:\/\/www.courthousenews.com\/former-xavier-becerra-chief-of-staff-pleads-guilty-in-fraud-case\/\" target=\"_blank\" rel=\"noreferrer noopener\">headlines<\/a> about fraud convictions need subheds about related fraud defendants:<\/p>\n<figure><figcaption>\n<div>\n<p>         <span>Image Credit<\/span>Screenshot       <\/p>\n<\/div>\n<\/figcaption><\/figure>\n<p>The former chief of staff who\u2019s pleading guilty is linked to the former chief of staff who pleaded guilty. Fraud is California\u2019s new normal, the old joke about the two fish: First fish says that the water\u2019s cold today, and the second fish says, \u201cWhat\u2019s water?\u201d Fraud is California, and California is fraud. If you throw a rock in California you\u2019ll hit some fraud, but it\u2019s also probably only a matter of time before the rock is also indicted.<\/p>\n<p>This explosive decompression in the culture of the state is taking place in an atmosphere of consistent single-party rule. Every top statewide elected office is held by Democrats, and Democrats have supermajorities in <a href=\"https:\/\/ballotpedia.org\/California_State_Legislature\" target=\"_blank\" rel=\"noreferrer noopener\">both houses<\/a> of the state legislature. The last Republican governor <a href=\"https:\/\/governors.library.ca.gov\/38-schwarzenegger.html\" target=\"_blank\" rel=\"noreferrer noopener\">left office<\/a> fifteen years ago. <\/p>\n<p>This is California:<\/p>\n<figure>\n<p><span><\/p>\n<blockquote data-width=\"500\" data-dnt=\"true\">\n<div lang=\"en\" dir=\"ltr\">\n<p>Rolls-Royces. Luxury homes. Nearly $400,000 a year in income from California ghost daycares. The DOJ says California knew.<\/p>\n<p>I exposed Mohamad Alawad in January. Here\u2019s his social media with Rolex watches and expensive cars. <a href=\"https:\/\/t.co\/FThiTUiaOk\">pic.twitter.com\/FThiTUiaOk<\/a><\/p>\n<\/div>\n<p>\u2014 Amy Reichert (@amyforsandiego) <a href=\"https:\/\/x.com\/amyforsandiego\/status\/2100011673776205845?ref_src=twsrc%5Etfw\">September 15, 2026<\/a><\/p><\/blockquote>\n<p><\/span> <\/p>\n<\/figure>\n<p>That\u2019s it. That\u2019s what years of Governor Gavin Newsom, Attorney General Rob Bonta, and Mayor Karen Bass and others like her gets you. The news about fraud arrests and convictions is beginning to resemble a snowball as it nears the bottom of the hill. Fraud everywhere, fraud all the time, fraud as the local culture.<\/p>\n<figure>\n<p><span><\/p>\n<blockquote data-width=\"500\" data-dnt=\"true\">\n<div lang=\"en\" dir=\"ltr\">\n<p>Massive fraud ring busted in San Diego. Zoom in on the names. What do you notice?<\/p>\n<p>Our country is just being plundered by foreign enemies <a href=\"https:\/\/t.co\/gBhFOsjcuH\">pic.twitter.com\/gBhFOsjcuH<\/a><\/p>\n<\/div>\n<p>\u2014 Mrs B (@attackdogX) <a href=\"https:\/\/x.com\/attackdogX\/status\/2100234422427505126?ref_src=twsrc%5Etfw\">September 16, 2026<\/a><\/p><\/blockquote>\n<p><\/span> <\/p>\n<\/figure>\n<p>In Southern California, Paul Randall has just been <a href=\"https:\/\/nypost.com\/2026\/09\/10\/us-news\/california-fraudster-gets-30-years-for-269m-medi-cal-scheme-involving-bogus-claims\/\" target=\"_blank\" rel=\"noreferrer noopener\">sentenced<\/a> to <a href=\"https:\/\/www.justice.gov\/usao-cdca\/pr\/orange-county-man-sentenced-30-years-federal-prison-orchestrating-massive-health-care\" target=\"_blank\" rel=\"noreferrer noopener\">30 years in federal prison<\/a> after he submitted $270 million in fraudulent Medi-Cal claims \u2013 Medi-Cal is what California calls its federally funded Medicaid program, government health insurance for the poor \u2013 over the course of <em>11 months<\/em>. Several co-defendants are awaiting sentencing in the same fraud ring.<\/p>\n<p>The schemes are becoming <em>preposterous<\/em>, sliding into the very late stage when people just turn to mass pillaging in a dying system. There\u2019s an odor to Weimar California, the scent of obscene decadence. It\u2019s the place where people know they live in an atmosphere of depravity.<\/p>\n<p>This week in Los Angeles, the operator of a chain of homeless services facilities pled guilty to wire fraud and money laundering in federal court, acknowledging the significant theft of public funds. His name is Alexander Soofer, and his plea bargain agreement concedes that he owes the government\u00a0\u201ca personal money judgment of forfeiture against defendant in the amount of $1,960,463.39,\u201d with further fines and penalties possible in addition to a prison sentence that has yet to be determined. He\u2019s also forfeiting his Range Rover, the cash federal agents found in the Range Rover and on his bathroom counter, some watches, gold and silver coins from his closet at home, and (among several other available examples of luxury goods) a \u201cChanel Classic flap bag.\u201d If you\u2019re into Chanel stuff, look for the federal auction.<\/p>\n<p>Soofer still faces a long list of other felony charges in Los Angeles Superior Court, though those charges appear to be stalled as local prosecutors have apparently waited for the outcome in the federal case. The Los Angeles County District Attorney\u2019s Office declined to answer questions from The Federalist about the ongoing case, and Soofer\u2019s lead defense lawyer didn\u2019t respond to questions from The Federalist this week.<\/p>\n<p>On the same day Soofer was agreeing to plead guilty, federal agents were out making more homeless services fraud arrests in Los Angeles. Among <a href=\"https:\/\/www.justice.gov\/opa\/pr\/two-defendants-employed-la-area-homeless-nonprofits-arrested-federal-charges-alleging-misuse\" target=\"_blank\" rel=\"noreferrer noopener\">those arrests<\/a> was one directly linked to Soofer: Lakiya Malone, an employee of the non-profit Special Service for Groups, is charged with creating \u201cghost\u201d homeless clients for Soofer\u2019s facilities, and \u201ctaking more than $180,000 in bribes and kickbacks\u201d from Soofer in exchange. (On Sept. 9, a week before that arrest, a <a href=\"https:\/\/thefederalist.com\/2026\/09\/09\/homelessness-non-profits-are-killing-los-angeles\/\" target=\"_blank\" rel=\"noreferrer noopener\">story<\/a> at The Federalist described Special Service for Groups as an example of the kind of questionable social services non-profits that are destroying Los Angeles. They also didn\u2019t respond to our questions.)<\/p>\n<p>From the same day of new arrests, here\u2019s how Michael Young made out from running a homeless services non-profit in Los Angeles, taking in a bunch of cash from the Los Angeles Homeless Services Authority (LAHSA) and many other government agencies: \u201cThrough numerous contracts with LAHSA and other public entities, Young received more than $118 million in public funds from LAHSA, the City of Los Angeles, the County of Los Angeles, and the United States Department of Housing and Urban Development.\u201d<\/p>\n<p>Sample alleged use of those public funds for homeless services: \u201cYoung spent more than $1 million to open and operate a high-end restaurant and nightclub in Inglewood called Six Seven Five Lounge.\u201d<\/p>\n<p>Bill Essayli, who leads federal prosecutors in Los Angeles, is becoming the most important U.S. Attorney in the country, despite <a href=\"https:\/\/archive.ph\/quYV6\" target=\"_blank\" rel=\"noreferrer noopener\">not formally being a U.S. Attorney<\/a>. Discussing homeless services fraud with the news media this week, Essayli <a href=\"https:\/\/archive.ph\/i9IVl#selection-2851.135-2851.255\" target=\"_blank\" rel=\"noreferrer noopener\">said the obvious<\/a>: \u201cThere\u2019s no vetting. There\u2019s no auditing. There\u2019s no accounting. It was just a rush to push \u2026 money out the door.\u201d (The ellipsis just covers some awkward extra words, as Essayli fumbled with his phrasing.)<\/p>\n<p>LAHSA is a <a href=\"https:\/\/bbklaw.com\/resources\/the-ins-and-outs-of-joint-powers-authorities-in-california\" target=\"_blank\" rel=\"noreferrer noopener\">joint powers agency<\/a>, formed by the City of Los Angeles and Los Angeles County to channel a flood of homelessness cash from <a href=\"https:\/\/ballotpedia.org\/Los_Angeles_County,_California,_Sales_Tax_for_Homeless_Services_and_Prevention,_Measure_H_(March_2017)\" target=\"_blank\" rel=\"noreferrer noopener\">Measure H<\/a>, a tax increase measure passed by voters in 2017, and then <a href=\"https:\/\/ballotpedia.org\/Los_Angeles_County,_California,_Measure_A,_Sales_Tax_Measure_(November_2024)\" target=\"_blank\" rel=\"noreferrer noopener\">Measure A<\/a>, a larger tax increase passed in 2024. On its <a href=\"https:\/\/www.lahsa.org\/about\" target=\"_blank\" rel=\"noreferrer noopener\">website<\/a>, LAHSA boasts about the size of the county\u2019s homelessness <a href=\"https:\/\/x.com\/joseletemuniz\/status\/1842185547223105937\" target=\"_blank\" rel=\"noreferrer noopener\">NGOcracy<\/a>: <\/p>\n<p>\u201cThrough LAHSA, funding, program design, outcomes assessment, and technical assistance are provided to more than 100 nonprofit partner agencies that <a href=\"https:\/\/amzn.to\/3YuVZYV\" >assist people experiencing homelessness achieve independence<\/a> and stability in permanent housing.\u201d One county, one function, over 100 nonprofits.<\/p>\n<p>The fraud is in the form. Prosecutors and journalists catch individuals stealing social services funding, but the structure of a system in which <em>billions<\/em> of public dollars flow through hundreds of private corporations guarantees that no one can track all of the spending and all of the outcomes. \u201cThere\u2019s no vetting. There\u2019s no auditing. There\u2019s no accounting.\u201d <em>Now you know why<\/em>.<\/p>\n<p>In June, the Trump administration <a href=\"http:\/\/chrome-extension:\/\/efaidnbmnnnibpcajpcglclefindmkaj\/https:\/\/www.hud.gov\/sites\/default\/files\/Main\/documents\/LAHSA-notice-of-suspension.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">informed LAHSA<\/a> that it would no longer receive federal funding, a move that put a Republican president second in line behind the <a href=\"http:\/\/chrome-extension:\/\/efaidnbmnnnibpcajpcglclefindmkaj\/https:\/\/file.lacounty.gov\/SDSInter\/bos\/supdocs\/201356.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">similar defunding decision<\/a> made by the 80 percent-Democrat Los Angeles County Board of Supervisors. The halfwit mayor of Los Angeles has consistently framed federal concerns about fraud in homeless services as cynical and unwarranted political attacks:<\/p>\n<figure>\n<p><span><\/p>\n<blockquote data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Let\u2019s call this what it is: the latest attack on Los Angeles by Donald Trump to punish our city and distract from his administration\u2019s corruption. I won&#8217;t be bullied. I&#8217;m continuing the real work of cleaning up encampments, housing Angelenos, and making our city safer.\u2026<\/p>\n<p>\u2014 Karen Bass (@KarenBassLA) <a href=\"https:\/\/x.com\/KarenBassLA\/status\/2099928084715900974?ref_src=twsrc%5Etfw\">September 15, 2026<\/a><\/p><\/blockquote>\n<p><\/span> <\/p>\n<\/figure>\n<p>But then, with <em>remarkable<\/em> timing, Bass <a href=\"https:\/\/ktla.com\/video\/l-a-mayor-karen-bass-steps-down-from-lahsa-commission\/12154374\/\" target=\"_blank\" rel=\"noreferrer noopener\">resigned her seat<\/a> on the commission that oversees LAHSA, and she did it a week before the latest round of arrests. She fled ahead of the arrival of accountability.<\/p>\n<p>As Bass falsely described concerns about fraud and poor financial controls in homelessness spending as mere politics, LAHSA itself <a href=\"https:\/\/www.lahsa.org\/news?article=1076-lahsa-sues-trump-administration-to-protect-over-11-000-angelenos\" target=\"_blank\" rel=\"noreferrer noopener\">sued<\/a> the federal government to force the Trump administration to continue to fund the agency. This week, though, as the new wave of fraud arrests swept through the county, LAHSA gave up: Federal officials announced that the agency had <a href=\"https:\/\/archive.ph\/ehTzf\" target=\"_blank\" rel=\"noreferrer noopener\">agreed to withdraw<\/a> from federally funded homeless service roles.<\/p>\n<p>While homeless services and fake childcare descend into the darkly comical realm of constant, massive fraud, California\u2019s high-speed rail system has <a href=\"http:\/\/chrome-extension:\/\/efaidnbmnnnibpcajpcglclefindmkaj\/https:\/\/hsr.ca.gov\/wp-content\/uploads\/2026\/06\/FA-Capital-Outlay-Budget-and-Expenditures-Report-June-24-2026-A11Y.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">spent over $15 billion<\/a> so far, but has <a href=\"https:\/\/www.cbsnews.com\/news\/california-high-speed-rail-train-procurement-newsom\/\" target=\"_blank\" rel=\"noreferrer noopener\">no trains<\/a>, provides no service, has <a href=\"https:\/\/chrisbray.substack.com\/p\/potemkin-flourishes-coming-for-californias\" target=\"_blank\" rel=\"noreferrer noopener\">laid no tracks<\/a>, and is still years away from having any functioning rail lines. The <a href=\"https:\/\/nypost.com\/2026\/09\/15\/us-news\/california-high-speed-rail-improperly-paid-for-consultants-travel-audit\/\" target=\"_blank\" rel=\"noreferrer noopener\">news about the project<\/a> this week has focused on the sushi, tiki bars, and cigar lounges that high-speed rail has covered for consultants on the project.<\/p>\n<p>While California spirals down into constant, soul-destroying fraud that shows up everywhere and in everything, note as a finishing thought that Governor Gavin Newsom\u2019s communications staff opened the year by mocking the idea that the Trump administration would ever find any fraud in the state: <\/p>\n<figure>\n<p><span><\/p>\n<blockquote data-width=\"500\" data-dnt=\"true\">\n<div lang=\"en\" dir=\"ltr\">\n<p>HAPPY FRIDAY!<\/p>\n<p>Donald Trump&#8217;s stooges went ghost-hunting for widespread \u201cfraud\u201d with no evidence in California. <\/p>\n<p>A federal court just said NO and BLOCKED the illegal, and politically motivated attempt to rip child care and food from our kids. <a href=\"https:\/\/t.co\/xdDLxbFZCa\">https:\/\/t.co\/xdDLxbFZCa<\/a><\/p>\n<\/div>\n<p>\u2014 Governor Newsom Press Office (@GovPressOffice) <a href=\"https:\/\/x.com\/GovPressOffice\/status\/2009802898226741603?ref_src=twsrc%5Etfw\">January 10, 2026<\/a><\/p><\/blockquote>\n<p><\/span> <\/p>\n<\/figure>\n<p>Newsom\u2019s press office posted the claim that Trump could find no evidence of fraud in California about three months before Newsom\u2019s former chief of staff pled guilty to federal fraud charges.<\/p>\n<hr>\n<p>      Chris Bray is a senior correspondent at The Federalist and a former infantry sergeant in the U.S. Army. He has a history PhD from the University of California Los Angeles, not that it did him any good. He also posts on Substack, at &#8220;Tell Me How This Ends,&#8221; <a href=\"https:\/\/chrisbray.substack.com\/\">here<\/a>.<\/p>\n<\/p><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>California Dem officials&#8217; ex-staffs plead guilty to felonies<\/p>\n","protected":false},"author":2086,"featured_media":2664015,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/thefederalist.com\/wp-content\/uploads\/2026\/09\/fraud-sentencing-scaled.jpg","fifu_image_alt":"","footnotes":""},"categories":[33651],"tags":[4045,6909,4633],"class_list":["post-2664014","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-western-journal","tag-california","tag-fraud","tag-scandal"],"fifu_image_url":"https:\/\/thefederalist.com\/wp-content\/uploads\/2026\/09\/fraud-sentencing-scaled.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2664014","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2086"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2664014"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2664014\/revisions"}],"predecessor-version":[{"id":2664023,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2664014\/revisions\/2664023"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2664015"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2664014"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2664014"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2664014"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}