Investigative Reports

The OIG investigated an allegation that a National Park Service (NPS) employee misused an assigned Government Owned-Vehicle (GOV) by taking it home overnight on multiple occasions without authorization.We found that the employee routinely used the assigned GOV as a home-to-work vehicle without prior, written authorization as required by 41 C.F.R. § 102.5 and NPS policy.

An Amtrak locomotive technician based in Seattle, Washington, was terminated from employment on November 12, 2020, following his administrative hearing. Our investigation found that the former employee violated company policies by driving a company-owned vehicle without a valid driver’s license on at least two occasions. We also found that the former employee failed to report an arrest and subsequent conviction to the company for a driving under the influence violation as required by company policy.

Adam Micek, of Queens, New York, was sentenced in U.S. District Court, Eastern District of New York, on November 12, 2020, to a prison term of time served, probation for 36-months and was ordered to pay restitution of $132,787. Micek previously pleaded guilty to conspiracy to commit wire fraud for his involvement in an Amtrak eVoucher scheme. Our investigation found that Micek and his co-conspirators used stolen credit card information to make unauthorized purchases of Amtrak tickets and then cancelled or exchanged those tickets for eVouchers. Subsequently, they sold the fraudulently obtained eVouchers on the internet.

An Amtrak secretary based in Chicago, Illinois, resigned from the company on November 10, 2020, while under investigation for engaging in outside employment while taking Family Medical Leave Act (FMLA) leave and while on a Medical Leave of Absence. Our investigation found that the former employee violated company policy by working as a personal assistant as part of a program funded through the Illinois Department of Human Services while also working for Amtrak. She conducted her job as a personal assistant during times that she was taking FMLA leave, a medical leave of absence, or sick leave. We also found that the former employee falsified a Railroad Retirement Board (RRB) application for sickness benefits by stating she had no income while she was receiving RRB benefits, when in fact she did have income from the State of Illinois.

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.

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.

This investigation addressed an allegation that an employee violated federal ethics laws by obtaining outside employment with a TVA contractor while still employed with TVA. The investigation revealed that the employee obtained outside employment only after TVA eliminated his position and he began a 90-severance period during which TVA told him he could pursue employment with any outside company. Furthermore, there was no evidence the employee attempted to influence any official action at TVA during this period. The employee did not comply with several legal and regulatory requirements such as filing a statement notifying the Designated Agency Ethics Official (DAEO) of his negotiation for outside employment. Additionally, the employee did not file a recusal statement, obtain a written waiver for outside employment or qualify for a regulatory exemption from these requirements. The evidence shows the employee worked solely with TVA Human Resources (HR) during the termination process and did not receive advice from the DAEO regarding these requirements.The OIG recommends that TVA HR consult with TVA’s DAEO to ensure TVA employees receive detailed guidance regarding outside employment and post-employment issues.

We investigated allegations that Helen Hernandez, former Secretary of the Credit and Finance Office (CFO), Oglala Sioux Tribe, Pine Ridge Indian Reservation, SD, issued payroll deduction loans to herself. It was also alleged that Hernandez used other individuals’ personal information to acquire loans in their names and then used those funds for her benefit.Our investigation showed Hernandez, then the Secretary of the CFO, issued 44 checks between February 2014 and June 2015, worth approximately $42,100 in total. Hernandez admitted to fraudulently issuing the checks and entering false loan recipient names in CFO records to conceal her activities. She was one of only two employees at the CFO and was responsible for receiving applications, verifying qualifications, and otherwise processing loans. Because of the lack of a clear separation of duties, she could essentially issue loans to whomever she chose, with no outside verification.The U.S. Attorney’s Office, District of South Dakota, indicted Hernandez, who pled guilty to 18 U.S.C. § 1163, “Embezzlement and theft from Indian tribal organizations,” and agreed to pay restitution of $42,100 to the Oglala Sioux Tribe.

An Amtrak ticket agent based in North Dakota was terminated from employment on October 28, 2020, following her administrative hearing. Our investigation found that the former employee left her post on seven separate occasions for extended periods of time, without approval or authorization, to attend personal events and activities on company time, and without clocking out as company policy requires.

We investigated an allegation that U.S. Geological Survey (USGS) Director James Reilly retaliated against a USGS employee after the employee filed a complaint with our office about Reilly’s conduct. We substantiated the allegation. We issued a report on our investigation to the Secretary of the Interior for any action deemed appropriate.

Michael Hollingsworth, a resident of New York, was sentenced on October 26, 2020, in U.S. District Court, Southern District of New York, to 36 months of probation and forfeiture of $200 for falsifying an Amtrak pre-employment drug test. Hollingsworth received cash from an Amtrak job applicant to submit a fraudulent drug test sample so the applicant would pass Amtrak’s drug screening requirement. At the time, Hollingsworth was the owner and operator of DDW Drug Testing Services, a subcontractor that conducts pre-employment drug-test collections for Amtrak’s prime contractor. His company served as the primary drug test sample collector for Amtrak in the New York City area since 2016. He previously pleaded guilty for his role in the scheme on November 19, 2019.In addition to our investigation into Hollingsworth’s activities, we issued a management information report to the company presenting our observations regarding Amtrak’s prime contractor. Our report identified a disturbing lack of due diligence by the contractor regarding their subcontractors involved in the pre-employment drug testing process. We also found that the prime contractor was less than candid with Amtrak officials and us about prior problems with Hollingsworth. The company concurred with our observations and took corrective action to address them.