New York Attorney General candidate Saritha Komatireddy has criticized Letitia James for not holding nonprofit homeless shelter providers accountable, despite numerous audits and investigations. A report from the New York State Comptroller revealed that New York City spent approximately $81,700 per unsheltered homeless person in fiscal year 2025, with spending on street homelessness increasing significantly since 2019, coinciding with a 78% rise in the city's homeless population.
Komatireddy described the situation as a crisis, noting that government spending has increased while the outcomes for the homeless have worsened. She stated, "So there really are questions about what has happened to that money and why that's happening," emphasizing that the attorney general should be investigating these issues.
The New York City Department of Investigation, the New York State Comptroller, and federal prosecutors have conducted investigations that uncovered allegations of fraud and mismanagement among organizations operating city-funded homeless shelters. One notable case involved Victor Rivera, the CEO of Bronx Parent Housing Network, who faced allegations of sexual misconduct and was later indicted on charges related to a kickback scheme.
A 2024 review by the Department of Investigation highlighted issues such as nepotism and excessive salaries among shelter providers, with some executives earning salaries nearing or exceeding $1 million. State Comptroller audits also found millions in unsupported costs at various nonprofit shelter providers.
Komatireddy called for comprehensive audits of all homeless shelter nonprofits receiving taxpayer funding to ensure accountability and proper use of resources. She criticized James for her limited enforcement actions against these organizations, stating that the attorney general's office has not adequately fulfilled its oversight role.
In response, James' campaign defended her record, stating that she has worked to protect homeless New Yorkers and hold accountable those who misuse funds.