California Fraudster Spent Homeless Cash at Las Vegas Casinos
Posted on: January 24, 2026, 01:00h.
Last updated on: January 24, 2026, 01:00h.
- The man at the head of a $23 million fraud involving taxpayer funds meant for homelessness is said to have spent some of that cash at high-end Las Vegas casinos
- The Department of Justice (DOJ) and media reports did not identify the gaming venues by name
Alexander Soofer, the California man charged with spearheading a $23 million fraud involving taxpayer funds intended to help homeless people, allegedly spent some of those ill-gotten proceeds at luxury Las Vegas casino resorts.
Soofer, 42, a resident of the tony Los Angeles suburb of Westwood, was arrested Friday on charges of wire fraud. The Department of Justice (DOJ) says his Abundant Blessings charity was a sham that received $23 million in taxpayer money intended to help homeless people in Los Angeles. But the Justice Department says Soofer kept at least $10 million of that cash for himself, using it to fund a lavish personal lifestyle, including visits to unidentified high-end Las Vegas casino hotels.
Soofer allegedly prioritized his own greed over decency and respect for the laws of our country,” said Akil Davis, Assistant Director in Charge of the FBI’s Los Angeles Field Office. “The FBI and our law enforcement partners remain dedicated to investigating and holding accountable those, like Soofer, who we contend flagrantly disregarded our laws by seeking to enrich himself at the public’s expense.”
The accused’s other misdeeds with money that was supposed to go to helping the less fortunate include using some of the $10 million he allegedly pocketed for a down payment on a $7 million house in Westwood, “millions of dollars of upgrades to that home,” private jet travel, private schooling for his children and the purchase of a $475,000 vacation house in Greece, said DOJ.
California Is the Fraud ‘Poster Child,’ Says AUSA
The charges against Soofer arrive against the backdrop of frequent talk of California’s inability to track $24 billion in homeless-related spending and at a time when Minnesota is facing questions regarding purported multi-billion dollar fraud involving daycare and healthcare centers, some of which may not be legitimate businesses.
In the wake of the Minnesota scandal, there’s been talk that the state is “tip of the iceberg” in terms of improprieties involving taxpayer funds, prompting speculation things could be significantly worse in California. Leadership in the state denies that and is attempting to take credit for its purported role in unearthing Soofer’s misdeeds, but DOJ disagrees.
“California is the poster child of rampant fraud, waste, and abuse of tax dollars,” said First Assistant United States Attorney Bill Essayli. “The state has facilitated the spending of billions of dollars to combat homelessness, with little to show for it and almost no oversight. Thankfully, the federal government has begun auditing California’s spending and today’s is just one example of how fraudsters have swindled millions of dollars from taxpayers. This money should have gone to those in need, instead in lines the pockets of individuals subsidizing their lavish lifestyle.”
DOJ says Soofer also bought a $125,000 Range Rover with the homeless money. He could face up to 20 years in prison if found guilty.
Where Did Soofer Gamble, Stay in Las Vegas?
That’s the $1 million question. For now, DOJ is keeping that information private, but by process of deduction, it’s fair to say only a handful of Las Vegas Strip casino hotels meet Soofer’s exacting travel standards.
It’s also clear he’s potentially joining a long list of California fraudsters that have spent some of their stolen cash in Las Vegas.
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