New York Attorney General candidate Saritha Komatireddy is accusing Letitia James of failing to hold New York’s nonprofit homeless shelter providers accountable despite years of audits, investigations and scandals involving billions of taxpayer dollars.
The criticism comes as a New York State Comptroller report in March found New York City spent roughly $81,700 per unsheltered homeless person in fiscal year 2025, with spending on street homelessness more than tripling since 2019 as the city’s homeless population climbed 78%.
Komatireddy described the situation as a crisis, arguing that government spending has surged while outcomes have deteriorated.
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“So there really are questions about what has happened to that money and why that’s happening,” Komatireddy told Fox News Digital. “The person who should be asking those questions, the person who should be investigating, is the attorney general. But Letitia James has totally failed New Yorkers when it comes to holding homeless shelter nonprofits accountable so that they actually help the homeless.”
Her criticism follows years of investigations by the New York City Department of Investigation, the New York State Comptroller and federal prosecutors that uncovered allegations of fraud, self-dealing, kickbacks, conflicts of interest, excessive executive compensation and weak financial oversight at organizations operating city-funded homeless shelters.
Among the highest-profile cases was that of Bronx Parent Housing Network CEO Victor Rivera, who was accused by at least 10 women in a 2021 New York Times investigation of sexual assault or unwanted sexual conduct while they lived in shelters operated by his nonprofit.
Weeks later, Rivera was federally indicted on conspiracy, wire fraud and money laundering charges tied to an alleged kickback scheme. He pleaded not guilty.
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A 2024 Department of Investigation review found nepotism, lack of competitive bidding and exorbitant salaries were issues among 51 city-funded shelter providers, including executives earning salaries approaching or exceeding $1 million. The report specifically noted that the attorney general has authority under New York law to challenge improper transactions involving nonprofit organizations.
State Comptroller audits also identified millions of dollars in unsupported or improper costs at several nonprofit shelter providers, including CAMBA, Westhab, the Institute for Community Living and Samaritan Daytop Village, with follow-up audits finding that many recommendat
