California’s Homeless Crisis Was a Cash Cow for Fraudsters

Summary

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Podcast Summary: The 47 Morning Update with Ben Ferguson

Episode: California’s Homeless Crisis Was a Cash Cow for Fraudsters

Date: February 7, 2026
Host: Ben Ferguson (Premiere Networks)

Episode Overview

This episode of The 47 Morning Update focuses on the alarming scale of fraud surrounding California's homelessness and social spending programs. Host Ben Ferguson dissects new revelations about how taxpayer funds meant to aid the homeless have instead fueled lavish lifestyles for fraudsters, drawing comparisons to earlier scandals in Minnesota. Ferguson is joined (via reports and commentary) by investigative figures like Nick Shirley, known for exposing similar frauds, to map out both specific cases and the broader mismanagement under California Governor Gavin Newsom's administration.

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Key Discussion Points & Insights

1. California Homelessness Program Fraud Exposed

• Major Case Highlighted: One LA man, Alexander Sukar, charged with defrauding $23 million intended for homeless relief, living extravagantly while homeless populations continue to suffer.
  • Quote (Fox News report):
    "Feds say 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 tens of millions of dollars to live a luxurious life."
    — Fox News Correspondent (05:52)
  • Purchased a mansion, luxury cars, a second home in Greece, private school tuition, and luxury travel with stolen funds
  • Falsely claimed to provide three nutritional meals a day; in reality, only had canned beans and ramen noodles
  • Indictment is part of at least 12 active fraud investigations in California
• Lack of Oversight:
  • Bill Asale, Assistant U.S. Attorney: "California was pushing this money out quickly. 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." (07:29)

2. Comparing California to Minnesota’s Scandal

• Ferguson and guests highlight how California’s fraud could be even larger than the recently exposed Minnesota fiasco, which was previously considered the worst.
• Nick Shirley (investigative watchdog who broke the Minnesota story) is now examining California and claims the scale is significantly greater:
  • "The homelessness has just increased as they receive more money. ... The fraud is like crazy in California. And they have the highest taxes."
    — Nick Shirley (09:38)

3. Whistleblower Incentives & Nick Shirley’s Work

• Discussion about potential whistleblower actions (using qui tam statutes) which could reward informants up to 30–50% of money recovered from fraud cases
  • Podcast Interviewer: "Nick, ... Has anybody approached you about thinking about using all of the information that you've garnered to try to launch some of these lawsuits or no?" (09:55)
  • Nick Shirley: "Yeah, I actually had somebody reach out to me the other day about it..." (10:18)
  • Suggestion for Shirley to set up his own tip line for future cases
• Shirley currently operates through social media (“Nick Shirley” on X with open tip/donation options)

4. The Larger Picture: Billions Lost Under Newsom

• Benny Johnson's Assessment Referenced: California labeled as “fraud capital of the world”
  • State auditor found $70 billion in taxpayer funds “lost”—no accounting
  • Breakdown of alleged losses:
    • $24B: Non-existent homeless programs
    • $18B: High-speed rail with no results
    • $32B: Covid relief fraud
    • $2.5B: SNAP (food stamps) fraud
    • Money for wildfire rebuilding—billions spent but no homes rebuilt
  • Ferguson: "But Gavin Newsom's California is far worse. Saying the American taxpayer needs firsthand to understand how criminal California's fraud is robbing our nation blind." (12:57)

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Notable Quotes & Memorable Moments

• Ben Ferguson:
  "This is just the tip of the iceberg. ... Billions of dollars in fraud under Gavin Newsom’s leadership. And they want more money. They want to raise taxes even higher than they are right now." (11:34)
• Nick Shirley (on support):
  "I love that this guy is doing this on his own. Like he's just like, yeah, if you want to support, go for it. I'm just going to be out here exposing all this waste, fraud and abuse. Like that's what I'm doing with my life now. I'm not afraid." (11:33)
• Podcast Interviewer (on whistleblower rewards):
  "You could become a billionaire here just with all the billions you've exposed. ... You'd be the most well loved billionaire in America if you did." (10:29)
• Fox News Correspondent:
  "People are literally dying and this guy is out vacationing, buying homes, buying Range Rovers and going shopping." (06:38)

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Timestamps for Key Segments

| Time (MM:SS) | Segment | |:----------------:|:------------| | 02:20–05:52 | Ferguson introduces the scale of fraud in California, previews news clip | | 05:52–07:47 | Fox News report on Alexander Sukar’s $23 million homeless fraud | | 09:38–11:33 | Nick Shirley details fraud magnitude, whistleblower incentives discussed | | 11:33–12:57 | Ferguson summarizes Benny Johnson’s and auditor’s findings—billions missing | | 12:57–14:12 | Closing thoughts—California as "fraud capital," call to action for reform |

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Episode Tone & Style

• Direct, urgent, investigative
• Emphasis on “unfiltered” conservative commentary and accountability for government spending
• Mix of humor (“you could become a billionaire whistleblower!”) and outrage over taxpayer abuse

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Takeaways for Listeners

• California’s homelessness funding has reportedly enabled astonishing fraud and theft on a scale even larger than the infamous Minnesota scandal
• Billions in taxpayer funds have been lost, with minimal oversight or accountability
• Whistleblowers play a pivotal role in uncovering corruption and may be entitled to significant legal rewards
• Host Ben Ferguson positions the crisis as emblematic of failed governance and urges listeners to stay informed and demand better stewardship of public resources

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For more, listen to the full episode or tune into upcoming updates from Ben Ferguson and the 47 Morning Update.

Transcript

[Ben Ferguson]

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[Ben Ferguson]

The Democrats are pushing it and the problem is that it's turning out to be the Democrats that were with and conspired with Epstein. So I think you're probably going to see a little pullback from them. But. But think of it. They were working together to try and help me lose the. But this is the oval office, so I guess that didn't work out too well. You're listening to the 47 Morning Update with Ben Ferguson. Good Saturday morning. Nice to have you with us on the 47 Morning Update. And we've got one big story for you. If you thought the fraud that was found in Minnesota is bad, apparently we've seen nothing yet. Take a look at California and it's truly unbelievable what they're finding out there. But first, I want to tell you about our friends over Patriot Mobile. Every so often, something happens that reminds us just how fragile our freedoms are. We can't afford to take our rights for granted. We must draw a line in the sand. And our friends at Patriot Mobile have been doing just that for more than 12 years. The truth is there is only one provider that boldly stands in the gap for Americans who believe freedom is worth fighting for. And that company is patriot mobile. Not only are they leading the red economy, they're also outpacing the competition in technology. Patriot mobile is one of the only carriers offering premium access to all three major U. S networks, giving you nationwide coverage and service that you can count on day after day. They also offer unlimited data plans, mobile hotspots, international roaming, Internet backup, and so much more. And switching has never been easier. You can activate in minutes on your phone from your home or your office. And you keep your same number you've got now, keep your same phone or upgrade to a new. And this is where the magic happens. Every month, about 5% of your bill is given back to conservative causes at no extra cost to you that stand up for our first and our second amendment rights, the rights of unborn children and our wounded warriors and those that have fought for our country and wear a badge. So take a stand today. Go to patriotmobile.com Ben47 or call 972-patriot and if you use the promo code Ben47, you're gonna get a free month of service. That's patriotmobile.com Ben47 or 972-patriot and make the switch today. It's the 47 Morning Update and it starts right now. Story number one, massive fraud found in California. And many, including Donald Trump, are warning that it may be bigger than what we found. Minnesota, millions of your tax dollars were defrauded in fact by just one man. The money was meant to feed the homeless. I want you to hear how FOX News talked about this one individual that defrauded Americans of more than $23 million. I'll say it again, this is just one person. Listen to the report from Fox News agents moving in today busting a man accused of stealing tens of millions of dollars meant for the homeless and spending that cash on a lavish lifestyle. Correspondent Matt Finn is live in Los Angeles for you. And you know, folks were warned about this and lo and behold, here it is.

[Fox News Correspondent]

Yeah, this is it behind me, John. The feds say 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 tens of millions of dollars to live a luxurious life. Exclusive Fox video shows the Fed's early morning bust here at the LA mansion. 42 year old Alexander Sukar was arrested. Sucer's $125,000 Land Rover was also seized by law enforcement. The Fed say Sucor 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. 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. People are literally dying and this guy is out vacationing, buying homes, buying Range Rovers and going shopping. Prosecutors say Suchr was supposed to provide three nutritional meals a day to the homeless. But during one inspection, Sucher only had canned beans and ramen noodles on hand. The Fed say Luker lied about various aspects of abundant blessings, including fake vendors, facilities and the homeless actually getting meals. The U.S. attorney's office in LA says they are actively investigating at least 12 other similar fraud cases here in California. First, Assistant U.S. attorney Bill Asale 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. California was pushing this money out quickly. 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. The suspect is scheduled to make his first appearance later today. He faces up to 20 years if convicted on a federal case. The local district attorney is also planning on prosecuting John.

[Ben Ferguson]

Now this is just the tip of the iceberg. In fact, we now have the same man, Nick Shirley, who did the incredible job of discovering massive fraud in Minneapolis and exposing it to the world that has landed in California. And he's now saying that's even worse than anyone else could have imagined. Before I get to that though, I want to tell you about my good friends over@bitcoin IRA. I gotta ask you a question. Can you buy real bitcoin in your retirement account? Well, if not, it's time to upgrade to Bitcoin IRA. It's 2026 and cryptocurrency is where so many investors are going to and diversifying. You can buy and sell bitcoin inside a tax advantage IRA with Bitcoin ira and that gives you more ways to diversify and grow your retirement savings. Security is their number one priority and your assets are protected by military grade multi key security. And you're covered up to 250 million in digital asset insurance. So what are you waiting for? Get in the bitcoin game today and diversify your portfolio. You actually talk to a real person. 8666-7968-7186-6679-7871 or bitcoin ira.com Ben. That's bitcoin ira.com Ben. To open a free account and earn up to $1,000 bonus right now. All right, take a listen to what Nick Shirley said about arriving in California and what he says is, well, incredible amounts of fraud that may be much bigger than what he exposed in Minnesota.

[Nick Shirley]

Oh, there's massive fraud in California. I mean the homelessness has just increased as they receive more money. That's just one part of it. And like you talked about the light rail and everything like that. The fraud is like crazy in California. And they have the highest taxes.

[Podcast Host/Interviewer]

Yeah. They want more.

[Nick Shirley]

Yeah.

[Podcast Host/Interviewer]

Nick, has anybody approached you about this thing? I tweeted it about it. I had never heard about it, but these guys educated me on it called Quitan, which is this framework where you can actually sue on behalf of the state and on behalf of taxpayers. Has anybody approached you about thinking about using all of the information that you've garnered to try to launch some of these lawsuits or no?

[Nick Shirley]

Yeah, I actually had somebody reach out to me the other day about it. So I'm going to actually hop on a phone call with that guy.

[Podcast Host/Interviewer]

Yeah. Also, as I understand it, some of these whistleblower laws reward the whistleblower with something like 20 to 30% of amounts. Up to 50% in some cases. Yeah. That are. I don't know if it's like fines or it's amounts that are recaptured. Recaptured. Yeah. But I don't know, Nick, you could become a billionaire here just with all the billions you've exposed.

[Nick Shirley]

I know, right? I gotta sit down and figure it out.

[Podcast Host/Interviewer]

I know that's not why you're in it, but you'd be the most well loved billionaire in America if you did. Absolutely. Well, the way to do it is, you know, since you're drafting off of these other news reports, is to set up your own tip line. So Nick, what's your website? Or do you have a website where people can donate and do you have a tip line? Because you wouldn't get the whistleblower awards for the stuff Fox 9 has been doing for a decade. But for the next one you could. So what is your website where people can donate, Nick?

[Nick Shirley]

Yeah, everything Just on social media. So they can message me on any platform. I should probably get a website going.

[Podcast Host/Interviewer]

What's your social media handle where people can DM you and donate?

[Nick Shirley]

Yeah, it's just Nick Shirley. And if you go on X, I do have my tip section open. So if you would like to donate there, that gives them all the, whether it be Venmo Cash app crypto, you can all do it right there.

[Fox News Correspondent]

So X stock.

[Ben Ferguson]

By the way, I love that this guy is doing this on his own. Like he's just like, yeah, if you want to support, go for it. I'm just going to be out here exposing all this waste, fraud and abuse. Like that's what I'm doing with my life now. I'm not afraid. Like Nick Shirley was in San Diego. He now estimates billions of dollars in fraud under Gavin Newsom's leadership. And they want more money. They want to raise taxes even higher than they are right now. There's also Benny Johnson who says his team is traveling to the fraud capital of the world. He's now saying it's California. They say the fraud uncovered in Minnesota was very bad and led to the destruction of Tim Waltz's career. But Gavin Newsom's California is far worse. Saying the American taxpayer needs firsthand to understand how criminal California's fraud is robbing our nation blind. He said, here's just a glimpse of what we already know. State auditor in California found ready for this. 70 billion. Think about that number. 70 billion in taxpayer funds that have been lost like they just disappeared. No accounting for them whatsoever. 24 billion in California alone spent on non existent homelessness programs. That means someone stole $24 billion. 18 billion poured into non existent high speed rail. You heard Nick talk about that a second ago. 32 billion for Covid relief funds that have been stolen. 2.5 billion ready for this word lost to snap fraud Billion spent on rebuilding after the Palisade fires but no homes have been built. That is just some of what's being exposed right now. This is all happening in California. It's truly incredible. But California is the fraud capital of America and the taxpayer funded non profits there are embezzling our money by the billions and the Governor is allowing it to happen. Thank you for listening to the 47 Morning Update with Ben Ferguson. Please make sure you hit subscribe wherever you're listening to this podcast right now. And for more in depth news, also subscribe to the Ben Ferguson Podcast and we will see you back here on Monday morning. Can you buy real bitcoin in your retirement account? If not, it's time to upgrade to Bitcoin ira. You can buy and sell Bitcoin with major tax advantages. Visit bitcoin ira. Or call 866-679-7871 now.

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[Nick Shirley]

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[iHeartRadio Announcer]

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[Ben Ferguson]

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[Nick Shirley]

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[Nick Shirley]

This is an iHeart podcast.

[Fox News Correspondent]

Guaranteed Human.