Federal prosecutors have opened an investigation into a New York City Council member and an aide to Gov. Kathy Hochul in connection with a series of charges against leaders of a homeless shelter nonprofit organization that is being accused of stealing over $1 million. Adding intrigue to the matter, the councilmember and the aide are sisters.
City Council member Farah Louis, along with her sister, Debbie Louis, who currently serves as the governor’s assistant secretary of New York City governmental affairs, have not formally been charged in the matter, however, prosecutors are now looking into whether they accepted bribes in connection with the alleged scheme.
Sources close to the matter spoke with CBS News reporter Marcia Kramer, revealing that Debbie Louis was placed on leave by Hochul after the governor found out about the corruption investigation. A City Council spokesperson responded to the investigation into Farah Louis, saying, “The council takes any potential misconduct extremely seriously. New Yorkers deserve confidence in their government.”
“It is essential that the federal investigation proceed fairly and expeditiously to bring this matter to a resolution,” the spokesperson added, according to CBS News. A recently unsealed indictment goes on to describe a corruption scheme in a homeless shelter nonprofit known as BHRAGS Home Care. Three out of four individuals who have been charged appeared in court on March 31, 2026.
Prosecutors revealed that two of the organization’s leaders, Roberto Samedy and Jean Tirelus, essentially stole hundreds of thousands of dollars from BHRAGS that were originally earmarked for economic growth and affordable housing. The group is largely funded by millions of taxpayer dollars it receives.
HRAGS Home Care Inc., a Brooklyn-based nonprofit that originally provided in-home services to the sick and elderly but has, since the tidal wave of illegal aliens and asylum seekers to the sanctuary city of New York in 2022, expanded its activities to include emergency shelters for migrants. The group has received over $200 million from the government.
Mayor Zohran Mamdani issued a response to the alleged corruption. “We’ll definitely be looking into these because any allegation, especially if it’s being substantiated of improper action and behavior, is one that has to be followed up on,” Mamdani said, explaining his response to the massive scandal.
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Investigators also stated that those accused in the scheme received kickbacks for leading contracts worth millions of dollars to businesses under the control of the two other individuals charged, Edouardo St. Fort and Miguel Jorge.
The investigation into the Louis sisters seeks to uncover whether they received any bribes or kickbacks from the scheme. A warrant, which was dated March 19, 2026, is also looking into Edu Hermelyn, the husband of state Assembly member Rodneyse Bichotte Hermelyn. According to Delta Optimist, BHRAGS received its first contract to run an emergency migrant shelter in 2022.
The nonprofit has since received over a dozen contracts for homeless services for over $200 million. It’s important to note that a search warrant doesn’t mean that prosecutors are planning to bring criminal charges against Farah and Debbie Louis. It only means that investigators presented enough probable cause to convince a magistrate judge to allow them to look deeper and seize potential evidence.