Investigative Reports

John Flores, a former Amtrak reservation sales agent based in Riverside, California, pleaded guilty on September 29, 2021 in U.S. District Court, Central District of California, to theft from programs receiving federal funds. Our investigation found that Flores stole hundreds of eVouchers valued at over $25,000 from customers’ accounts by exploiting the company’s computer system and resold them for his own personal gain. Flores previously resigned from the company on May 2, 2017.Flores will be sentenced at a future date.

Judy Azar, a medical assistant based in Los Angeles, pleaded guilty in U.S. District Court, Central District of California, on September 24, 2021, to health care fraud, bank fraud, identity theft and tax fraud. Our investigation found that Azar participated in a scheme to defraud health care benefit programs by using false and fraudulent pretenses in connection with the delivery of, and payment for, health care benefits and services.Azar forged a doctor’s signature to fraudulently authorize prescription refills and then sold a portion of the filled prescriptions to interested buyers. The buyers paid Azar with checks made payable to the doctor. Azar then forged the doctor’s signature to endorse the checks, which were then deposited in bank accounts controlled by Azar. As a result of the scheme, Amtrak’s insurance providers were fraudulently charged approximately $13,500.

We did not substantiate allegations that a now-former DOI senior official may have violated Federal ethics laws and the Federal ethics pledge.

We did not substantiate the allegations that a tribal administrator misused tribal funds.

We did not substantiate allegations that the former director of a tribal credit department misappropriated funds from the tribal loan program.

We did not substantiate the allegations that an oil and gas company intentionally reduced its reported mineral sales volumes.

We did not substantiate the allegations that an oil and gas company submitted false mineral production reports to ONRR.

The evidence did not support a finding of retaliation because the letter issued by the senior official was not considered a personnel action.

An Amtrak Sheetmetal Worker Mechanic based in Beech Grove, Indiana, resigned from the company on September 14, 2021, following the release of our investigative report. Our investigation found that the former employee violated company policies by engaging in self-employment that interfered with his job duties and responsibilities. On some occasions, he used a personal leave of absence and leave granted under the Americans with Disabilities Act to operate his lawn care service.

Phong Hung Tran, a licensed physician and surgeon in the state of California, was sentenced in United States District Court, Southern District of California, on September 13, 2021, to time served, two years’ probation and 12 months of home confinement for conspiracy to commit honest services mail fraud and health care fraud.Our investigation found that Tran and other doctors arranged for and accepted kickback payments from suppliers of health care services and products. The kickback scheme involved the referral of prescriptions for medically unnecessary compounded drugs and other items that were reimbursed by health care benefit programs. As a result of the scheme, Amtrak’s insurance providers were fraudulently charged approximately $22,000. Criminal judicial proceedings for other defendants in this case are pending.