A chilling confession has surfaced from within the Los Angeles Housing Department, revealing a potential scheme of widespread fraud. A Finance Development Officer, Donald Byers, secretly detailed how millions of taxpayer dollars are vanishing within the city’s low-income housing system.
Undercover recordings reveal Byers estimating between ten and twenty million dollars are being diverted, ending up “in people’s pockets.” He specifically pointed to “homeless developers” engaging in embezzlement, exploiting the system for personal gain.
The most startling claim centers on a deliberate cover-up. Byers alleges that his superiors are intentionally ignoring the fraudulent activity, shielding those responsible to protect the financial interests of Mayor Karen Bass and her re-election campaign.
Byers recounted repeatedly flagging the irregularities internally, only to be met with inaction. “I’ve reported it… nothing happens,” he stated, painting a picture of systemic indifference to blatant corruption.
Despite significant delays in project completion, funding continues to flow freely, even as oversight seemingly collapses. This continued investment occurs despite Byers’s own admission that officials are failing to properly manage the funds.
He specifically named CRCD and the Marcella Gardens project as examples of financial mismanagement, admitting the city has no clear accounting of where the allocated money has gone. The implication is stark: the funds are simply disappearing.
Byers expressed a growing sense of self-preservation, stating he is now “just covering myself” after his attempts to raise concerns were ignored. He fears repercussions for speaking out against the alleged corruption.
The officer also questioned the effectiveness of LAHSA, the Los Angeles Homeless Services Authority, noting they receive substantial funding yet demonstrate limited tangible results. This raises further questions about the allocation and impact of resources dedicated to addressing homelessness.
According to Byers, confronting the developers with ties to the Mayor’s office carries a significant risk. The fear is that exposing their actions could jeopardize Bass’s fundraising efforts and her ability to secure necessary support.
This explosive revelation paints a disturbing picture of alleged corruption and political maneuvering within Los Angeles city government, raising serious questions about accountability and the responsible use of public funds.
