Crazy stuff going on with the Homeless Prevention Coalition of Guilford County. The day after Bush administration official Philip Mangano “energetically” weighs in on the 10-year plan to en homelessness, Yes! Weekly’s Jordan Green reports on the federal investigation for possible fraud and waste involving a federal grant. (Seems like I’ve heard this before.)

Those involved assure the public that it’s a simple data error that will be resolved, including Cara Michele Forrest, who says “HPCGC members (myself included) are all looking forward to a quick and good resolution of this issue, and those I’ve spoken to are looking at it as a learning opportunity that will help us strengthen our application process for the future.”

After accusing Cara Michele of being the HUD tipster, coalition member Gail Haworth raises one mother of a red flag when she mentions —of all things — Project Homestead:

In her comments Haworth alluded to the Project Homestead scandal, in which Executive Director Michael King committed suicide after investigators uncovered extensive financial fraud.

“The problem is that Michele Forrest did not follow policy,” Haworth said. “Going to HUD was not proper procedure. We have policies in place. If you have a problem you should bring it to the executive committee. We’ve had too much of that with Project Homestead. You don’t just go to a HUD investigator. I was just really upset that this stuff is coming up at a critical time.”

Further comment underscored the sensitivity of the revelations and Haworth’s sense that the matter is receiving undue attention.

“There’s an investigation going on and it may just blow up in a lot of people’s faces,” she said. “It wasn’t meant to be malicious and lying. It’s very insignificant and should not have been brought up. And it’s not being covered up.”

Not a good example. Cara Michele wrote she wasn’t sure what Haworth meant when she said the “investigation may blow up in a lot of people’s faces.” If it blows up the way the it did in the late Rev. King’s face, then someone’s in a lot of trouble.