LA City Attorney Report Flags Up to $87 Million in Unaccounted Funds for Raman-Backed Eviction Program

A report from the Los Angeles City Attorney's office has identified a significant discrepancy, with up to $87 million in taxpayer funds allocated to an eviction-defense program potentially unaccounted for in public financial records. The program is associated with Los Angeles City Councilwoman Nithya Raman, who is currently running for mayor.

The report, issued by City Attorney Hydee Feldstein Soto on October 9, focuses on the Legal Aid Foundation of Los Angeles (LAFLA), a nonprofit organization that provides legal assistance to tenants facing eviction. According to the report, LAFLA received a total of $157.1 million from the city and county between 2020 and 2025. However, Feldstein Soto stated that between $55 million and $87 million of these funds could not be reconciled with the nonprofit's publicly available financial documents.

The City Attorney's report suggests that these unreconciled funds "may well have been used for other purposes, most notably to fund litigation against the very City that provided the funds." Feldstein Soto is calling for a comprehensive audit and accounting of the funds.

Raman, who previously chaired the housing and homelessness committee, has been a vocal supporter of the city's Right to Counsel program, which aims to provide free legal representation to low-income tenants facing eviction. She has described her work on tenant protections as one of her most significant achievements on the council. In March 2026, Raman voted in favor of a $177 million tenant-rights package, with LAFLA receiving $106.6 million of that amount over three years.

A portion of the funding for LAFLA comes from Measure ULA, a voter-approved tax on high-value property sales intended to support affordable housing initiatives and combat homelessness. LAFLA has received $42.9 million from this measure.

This situation has drawn criticism from political opponents. John McKinney, Deputy District Attorney and a candidate for City Attorney, stated, "This is an outrageous failure of accountability. Angelenos are watching their tax dollars disappear into a system that can’t adequately explain where the money went or what it accomplished." He added, "Tens of millions provided to LAFLA remain unaccounted for in public records, while attorneys connected to taxpayer-funded organizations are helping finance Marissa Roy’s campaign." McKinney pledged to be a "watchdog over taxpayer dollars" if elected.

The California Post has previously reported on LAFLA's legal challenges against the city, including lawsuits that have contested the city's efforts to clear homeless encampments and remove abandoned vehicles.

LAFLA and representatives for Raman's mayoral campaign, as well as for Marissa Roy's City Attorney campaign, did not immediately respond to requests for comment from The California Post.