Free Republic

Borrowing from novelist James Hilton, who coined the word “Shangri-La” to describe a Tibetan utopia in a 1933 novel, Franklin Roosevelt gave that name to the peaceful retreat we know as Camp David. For California Gov. Gavin Newsom and Los Angeles Democrats, Shangri-La hasn’t become synonymous with a place that connotes peace on earth. It stands for a hellish homeless housing nightmare, eye-popping alleged fraud, and the ease and scale with which alleged con-artists rip off taxpayers. In October, federal agents arrested Cody Holmes, the 31-year-old former CFO of Shangri-La Industries, a downtown Los Angeles-based developer who was supposed to...

Embattled Los Angeles developer Shangri-La Industries, which has left a trail of unpaid debts, unfinished projects and foreclosure threats since it took $114 million from the state to convert motels into housing for the homeless, is now accusing its former chief financial officer of embezzling millions of dollars to fund an extravagant lifestyle. Shangri-La, which is being sued by state housing authorities for breaching the terms of its agreement under Gov. Gavin Newsom’s signature Project Homekey program, alleges in a lawsuit that former CFO Cody Holmes, 29, engaged in bank fraud and check kiting in 2022 and 2023 with Shangri-La’s...