A federal investigation in California has led to the arrest of a Los Angeles homeless-services contractor accused of diverting tens of millions of taxpayer dollars meant to house and feed homeless individuals into a lavish personal lifestyle, according to a Fox News report featuring correspondent Matt Finn and video clips of U.S. Attorney Bill Essayli.

The contractor, identified as Alexander Suker, was arrested during an early-morning federal operation at his Los Angeles mansion.

Authorities allege Suker was contracted by the City and County of Los Angeles to provide housing and meals for hundreds of homeless individuals, but instead used public funds for luxury purchases and personal expenses.

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“This man was contracted with the City and County of Los Angeles to house and feed up to 600 homeless people, but instead, he was misusing 10s of millions of dollars to live a luxurious life,” Finn said during the Fox News segment.

“Exclusive Fox video shows the Fed’s early morning bust here at the LA mansion. 42-year-old Alexander Suker was arrested.”

According to Finn, law enforcement also seized one of Suker’s high-end vehicles during the arrest.

“Suker is $125,000 Land Rover was also seized by law enforcement,” Finn said.

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“The Feds say Suker defrauded the City and County of La out of 23 million in taxpayer dollars for not only his mansion and car, but a second home in Greece, luxury vacations, designer clothes and private schools.”

Federal prosecutors allege that Suker’s company failed to deliver basic services required under his government contract.

Investigators say Suker was supposed to provide three nutritious meals per day to homeless individuals under his care, but inspections revealed otherwise.

“Prosecutors say Suker was supposed to provide three nutritional meals a day to the homeless, but during one inspection, Suker only had canned beans and ramen noodles on hand,” Finn reported.

Authorities further allege Suker falsified records and misrepresented how public money was being spent.

“The feds say Suker lied about various aspects of abundant blessings, including fake vendors facilities and the homeless actually getting meals,” Finn said.

U.S. Attorney Bill Essayli condemned the alleged conduct, contrasting Suker’s lifestyle with the conditions faced by homeless individuals in Los Angeles.

“He was living the high life, while the people suffering homeless on the streets with no shelter, no food, they’re living out in the streets,” Essayli said.

“People are literally dying, and this guy is out vacationing, buying homes, buying Range Rovers and going shopping.”

The case has drawn broader attention to California’s handling of homeless funding and oversight of nonprofit and contractor programs.

According to Finn, the U.S. Attorney’s Office in Los Angeles is not limiting its investigation to Suker’s case.

“The US Attorney’s Office in LA says they are actively investigating at least 12 other similar fraud cases here in California,” Finn said.

“First Assistant US Attorney Bill Essayli says there’s a tremendous amount of fraud in this state, and that today’s bust of one man who misused $23 million alone may show how little oversight there is.”

Essayli said the rapid distribution of funds contributed to the alleged abuse.

“California was pushing this money out quickly,” Essayli said.

“A lot of money went out the door with, frankly, very little vetting, very little checks and balances, and he’s one of the individuals that got it.”

Suker is expected to appear in federal court for the first time later in the day. According to Finn, the charges carry significant prison exposure.

“The suspect is scheduled to make his first appearance later today,” Finn said.

“He faces up to 20 years if convicted on a federal case. The local district attorney is also planning on prosecuting.”

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