New York attorney general hopeful Saritha Komatireddy claimed the state’s homeless were shelters broken and rife with fraud — and accused incumbent Democrat Letitia James of enabling it.
“Nearly 20 New Yorkers died in the winter, freezing to death on the streets because they were homeless,” Komatireddy said outside City Hall Thursday. “That is a sign of a failing system. In one of the richest places in the world we have people dying on the streets. It’s unconscionable.
“We spend $81,000 per homeless person in New York. You could give a guy $81,000 and he wouldn’t be homeless tomorrow,” the Republican added. “Where is that money going?”
Komatireddy pointed blame at her Democratic opponent James, accusing the AG of ignoring calls to investigate the shelter system despite claims of fraud.
“The New York State Comptroller, the New York City Comptroller, the Department of Health, the Inspector General, have all conducted investigations,” Komatireddy said. “They have identified concrete instances of fraud, of corruption, of kickbacks. Our homeless shelter industry is just that.
“Attorney General James has ignored those calls. She has completely failed to supervise the homeless shelters in the state, even though it is her responsibility,” she said.
Komatireddy’s claims about questionable behavior among shelter system overseers were not unfounded — in 2024, the New York Department of Investigation flagged the entire shelter system’s $4 billion budget as being ripe for fraud and corruption exploitation.
That came just three years after Victor Rivera — former CEO of the city’s largest shelter operator –pleaded guilty to using his position to line his pockets in a bribery and kickback scheme.
Questions also been raised about how the lucrative contracts to run homeless shelters are handed out. In 2023, then-Councilman Robert Holden (D-Queens) flagged $1.7 billion in contracts being awarded to a firm where the former Homeless Service Administrator head’s sister worked.
Komatireddy said New Yorkers had seen just the tip of the iceberg of shelter system corruption — and claimed AG James was letting it slide.
“Every homeless shelter files annual financial reports with the attorney general’s office, and every homeless shelter must get the attorney general’s review and approval for major related transactions or dispositions of assets,” she said. “But Attorney General James doesn’t use that authority. She gives them a blank check.
“It’s an industry where people make millions of dollars for themselves and leave the homeless abandoned on the streets,” Komatireddy said. “The people who are paying the price [are] the innocent, homeless New Yorkers of New York, who are dying on the streets.”
Komatireddy vowed she would crack down on homeless shelters on day one if elected, promising to undertake a system-wide audit to root out corruption.
“I will audit and investigate every homeless shelter in New York, starting on day one as attorney general, will clean up this industry, and we’ll actually make sure we help the homeless in New York,” Komatireddy said.
“Nearly 20 people died last January, freezing to death in the cold in New York,” she added. “If nothing changes, if our attorney general doesn’t change, if we keep everything the same, 20 more will die next January.”
A spokesperson for James responded to the comments by attempting to tie the Republican to President Trump.
“Ms. Komatireddy should first ask her biggest endorser, Donald Trump, why he attempted to cut billions of dollars of funding for shelters, which would have left thousands of New Yorkers on the streets,” the spokesperson said. “Thanks to the work of Attorney General James, that funding was protected, because all New Yorkers should live with dignity.”
James is leading Komatireddy 54%-39% in the deeply blue Empire State, according to the latest Siena College poll. No Republican has won a statewide race since 2002.
The state AG serves a four-year term at an annual salary of $220,000.
Election Day is Nov. 3 with early voting already underway.
