Federal Reports

Our objective was to determine whether the Social Security Administration (SSA) had adequate controls to ensure it properly adjusted the monthly benefit amounts of retired beneficiaries who worked before they attained full retirement age.

This report presents the results of the examination of the description of the National Finance Center’s (NFC) payroll and personnel system for processing user entities’ payroll and human resource transactions throughout the period October 1, 2019 to June 30, 2020 based on the criteria identified in NFC’s assertion and the Office of the Chief Information Officer’s (OCIO) assertion. This report also presents the results of the examination of the suitability of the design and operating effectiveness of NFC’s and OCIO’s controls included in the description to achieve the related control objectives stated in the description.

An Amtrak baggageman based in Chicago, Illinois, was terminated from employment on November 3, 2020, following his administrative hearing. On September 14, 2020, we were notified that the former employee had been arrested for offenses which included Identity Theft. At the time of his arrest, he was in possession of 21 Social Security cards and 13 state and government-issued identification cards belonging to 21 different individuals. Our investigation found that of the 21 individuals’ identification documents in his possession, 19 were previously located in the Chicago Union Station lost and found or were reported lost on Amtrak trains.

The VA Office of Inspector General (OIG) conducted an inspection in response to multiple allegations related to Ophthalmology Clinic management, quality of care, oversight, medication management, and facility leaders’ failures at the VA Central Iowa Health Care System (facility) in Des Moines. The OIG team did not substantiate that the facility hired a new physician right out of residency to be Chief of Ophthalmology, there was a lack of appropriate supervision of ophthalmology residents, the quality of cataract surgeries decreased while the number of complications increased, cataract surgery outcomes were not reviewed by an oversight group, and surgery managers and facility leaders were told about complications and other concerns and did not take action. Facility audit report findings identified inappropriate storage and labeling of medications in the Ophthalmology Clinic. The OIG found facility leaders took actions to resolve the findings. The OIG identified deficits in Ophthalmology Clinic staff members’ knowledge and use of the required patient safety event reporting system. The OIG also identified issues with the management and impact of ongoing personnel conflicts within the Ophthalmology Clinic. Leaders at multiple levels had difficulty managing the impact of interpersonal conflicts in the Ophthalmology Clinic that adversely affected the culture of the clinic. The OIG made four recommendations to the Facility Director related to training staff on reporting patient safety incident events and close calls, entering patient safety events and close calls into the Joint Patient Safety Reporting system, addressing the Ophthalmology Clinic culture, and the oversight and management of the Ophthalmology Clinic.

John Kosloski, a chiropractor based in Dolton, Illinois, pleaded guilty in U.S. District Court, Northern District of Illinois, to Health Care Fraud on November 3, 2020. Our investigation found that Kosloski submitted fraudulent medical claims to Amtrak insurance providers for services that were not rendered. Kosloski obtained personal identifying information of former Amtrak employees or those of their dependents, in exchange for cash kickbacks. As a result of this scheme, Amtrak incurred a loss of approximately $504,374. Kosloski’s sentencing is pending.

An Amtrak trackman/watchman based in Chicago, Illinois, was terminated from employment on November 3, 2020, following his administrative hearing. Our investigation found that the former employee failed to report an arrest and conviction for a DUI while employed with the company. We also found that the former employee violated company policy by signing out a company vehicle when his driver’s license was suspended, and that he bid for a position which required a valid driver’s license for which he submitted fraudulent records. Further, the former employee was dishonest with our agents during his interview.