They were supposed to protect California’s most vulnerable citizens.
But these fraudsters allegedly stole millions from taxpayers and blew the funds on insane spending sprees for fancy houses, flash cars, private jets — and even breast implants.
In San Diego, former nonprofit executive Amy Knox is accused of stealing more than $130,000 earmarked to fight fentanyl overdoses.
Prosecutors say at least $30,000 went straight into cosmetic procedures including a boob job, arm and thigh tweaks and a tummy tuck.
Authorities allege the same pot of cash also paid for trips to Hawaii and Disneyland, purebred dogs and everyday personal expenses, all while the funding was supposed to keep people alive amid a deadly overdose crisis.
In LA, federal prosecutors say Alexander Soofer, who ran a nonprofit contracted to house hundreds of homeless residents, is tied to roughly $23 million in public funding.
More than $10 million of it, the Justice Department alleges, was diverted for personal use.
A $7 million home in Westwood. A $125,000 Range Rover. Private school tuition. Private jet travel. Luxury resort stays. Even a vacation property in Greece.
All while Soofer’s organization was tasked with housing more than 600 people experiencing homelessness.
Last October federal agents arrested Cody Holmes, the 31-year-old former CFO of Shangri-La Industries, a downtown Los Angeles developer who was supposed to be providing housing for homeless people in Southern California.
Holmes, who pleaded not guilty, is accused of embezzling more than $2 million in taxpayer funds slated for homeless housing construction to host extravagant parties; a $46,000-per-month Beverly Hills mansion; private jet travel; leases of exotic cars; high-end handbags totaling $128,000; a $35,000 diamond watch; and 20 VIP passes for the 2023 Coachella Music and Arts Festival.
In another high-profile case, Dana Williamson, once a top aide to Gavin Newsom, was indicted last year on fraud charges tied to more than $1.7 million in alleged bogus business expenses.
Prosecutors say the spending spree included a $15,000 Chanel handbag, a chartered private jet and a $156,000 birthday blowout in Mexico.
Up north in San Francisco, Gwendolyn Westbrook, who was CEO of United Council of Human Services, allegedly grifted more than $1.2 million in public funds, after the organization received tens of millions in government grants over the past 20 years.
She allegedly bragged to staff that she’d purchased a Tesla, a Jeep Renegade and an Infiniti SUV for herself and friends — and was known to drive around with a “trunk full of high-priced jewelry,” according to the San Francisco Standard.
Westbrook paid for family members’ weddings, fertility treatments and other expenses, according to a legal complaint.
“Gwendolyn Westbrook enriched herself and misappropriated millions of dollars in public funding meant to benefit the community,” David Chiu, San Francisco city attorney who investigated Westbrook’s activities, said in a statement.
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