WATCH: Billions Vanish in California as Federal Prosecutors Sign a Main Crackdown | JP
Minnesota isn’t the only blue state that has experienced massive fraud in social services.
The state of California is under investigation t00!
United States Attorney for the Central District Bill Essayli, whom President Trump appointed, has revealed that billions of taxpayer dollars have gone unaccounted for in California.
The majority of the missing funds were supposed to go towards housing to help curb the homeless crisis in the state.
Essayli joined News Nation to break down the fraud occurring in California:
Here’s a backup video if needed:
🚨 HOLY SMOKES. The fraud is DEFINITELY WORSE in Gavin Newsom’s California than Tim Walz’s Minnesota
The US attorney is promising more investigations after BILLIONS just went unaccounted for…in one county
“$2.3 billion sent to LA County over 4 years is completely unaccounted… pic.twitter.com/gEpYR0vQoK
— Eric Daugherty (@EricLDaugh) December 22, 2025
Fox News reported more on the fraud occurring in California:
The freshly appointed, MAGA-aligned U.S. attorney for the Central District of California, which includes Los Angeles County, has launched an ambitious new federal criminal task force aimed at forensically investigating how billions in homeless funding over the past five years was spent.
“We will get to the bottom of it. And if we find that any federal laws are violated, we will arrest and prosecute those individuals involved,” U.S. Attorney Bill Essayli told Fox News in his first television interview at his office in Downtown Los Angeles.
Essayli announced the launch of the Homelessness Fraud and Corruption Task Force, which will include federal prosecutors from the FBI, IRS and HUD. One of the items on the agenda is investigating the results of a recent audit that revealed $2.3 billion of homeless funding is unaccounted for in Los Angeles County alone.
“That is not a rounding error. That’s a lot of money. So we want to get to the bottom of where that money went,” Essayli said.
Los Angeles County has received nationwide criticism for being unable to fix its homeless population that is visible from the streets of Skid Row in downtown, to the VA Hospital on Wilshire Boulevard and tourist hot spots in coastal Santa Monica.
“It’s un-American what’s happening there. You have people living on the streets and there’s nothing around, there’s no government services that are being offered,” Essayli said about his recent tour of Skid Row.
Los Angeles Mayor Karen Bass said she hoped Essayli’s investigation would not become a “fishing expedition” or a “distraction” to her homeless mission.
“Last year, Los Angeles bucked national increases with a 10% decrease in street homelessness and preliminary data points to another decrease for a second year in a row,” a Bass spokesperson wrote in a statement. “These results are in part due to increased accountability and transparency around results and budgeting.”
Your thoughts?