Investigative Reports

A former Alamo Navajo School Board member was sentenced for stealing Federal funds and receiving kickbacks for an IT services contract.

An Amtrak electrical journeyman based in Miami, Florida, resigned from his position on April 19, 2024, as a result of our investigation. We found that the former employee violated company policies by failing to disclose a felony criminal conviction on his background investigation questionnaire when he was hired in 2014. In addition, he violated company policies by failing to notify the company of his pending deportation order that resulted from his arrest for alien inadmissibility per the Immigration and Nationality Act and his ineligibility to legally work within the United States since 2019.

EAC OIG requested that the Department of Interior OIG investigation allegations that the Executive Director of the EAC improperly obtained a pay increase, failed to report annual leave on his time and attendance records, and expensed unapproved training courses.

An Amtrak customer service representative based in Miami, Florida, signed a civil settlement agreement on April 16, 2024, with the U.S. Attorney’s Office, Southern District of Florida. The employee agreed to pay a total of $25,400 to the Small Business Administration (SBA), which includes damages, fees and a fine. Our investigation found that the employee submitted a Paycheck Protection Program (PPP) loan application to the SBA that included false statements and information. As a result, the employee received a PPP loan in the amount of $20,810 to which she was not entitled.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) investigated allegations that a contractor submitted invoices under its Blanket Purchase Agreement (BPA) with AmeriCorps that included unallowable and/or unsupported costs. AmeriCorps OIG’s investigation foundevidence that the contractor billed AmeriCorps $167,714.42 in unallowable charges in violation of acquisition regulations and policies, including, Federal Acquisition Regulation (FAR) 31.201-2(d) Determining allowability, FAR 5.503(c) Proof of advertising, and AmeriCorps Acquisition Policy5.1304(c) Invoice Certification, and the contractor lacked supporting documentation required by the BPA. In addition, the investigation found that the contractor both overbilled and underbilled AmeriCorps, the net of which favored the contractor.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) investigated allegations that the former Executive Director (ED) of the Volunteer and Community Service Commission of Puerto Rico (Commission) attempted to use AmeriCorps funds to award a sole-source contract to a close friend, required prayers before AmeriCorps events, and requested subgrantees allow AmeriCorps members to perform service outside the scope of their grant. AmeriCorps OIG’s investigation confirmed the allegations regarding the sole-source contract and that the former ED required a prayer before the start of multiple AmeriCorps events. The investigation also found that the Commission was not reimbursing its subgrantees in a timely manner and that a former Commission Program Coordinator was improperly paid $2,825.

Jason Chan and Jamar Rogers, both California residents, were sentenced on April 8, 2024, and March 27, 2024, respectively, in the U.S. District Court, Eastern District of California, for Wire Fraud and Aiding and Abetting. Chan was sentenced to 3 years’ probation and Rogers was sentenced to 12 months and one day in prison followed by 3 years’ probation. The men were also ordered to pay a total of $43,518.32 in joint restitution.Our investigation found that Rogers purchased Amtrak tickets with stolen credit cards and exchanged the tickets for vouchers that he then advertised for sale. Chan purchased the vouchers from Rogers at a discounted rate, used them to buy new tickets, cancelled those tickets to obtain new vouchers, and then offered Amtrak tickets for sale at a discount. As a result of the scheme, Rogers and Chan caused Amtrak to issue approximately $38,000 in ticket vouchers and caused losses of over $45,000 to Amtrak, card-issuing banks, and card holders.

We found that the Government email address of a former BIE employee was spoofed to change the employee’s direct deposit information.

On February 29, 2024, an Amtrak sheet metal worker based in Miami, Florida, signed a civil settlement agreement with the U.S. Attorney’s Office, Southern District of Florida, to pay a total of $18,750, including $16,537.34 in restitution. Our investigation found that the employee applied for and received two fraudulent Paycheck Protection Program (PPP) Loans for an alleged automotive repair business in the amount of $5,746 each. The employee claimed to have made over $25,000 in gross revenues from his business that qualified him for the loan. We interviewed the employee who admitted that the business had no reported income in 2019 or 2020 and that the PPP loan applications were false.

On March 11, 2024, an Amtrak customer service representative based in Miami, Florida, signed a civil settlement agreement with the U.S. Attorney’s Office, Southern District of Florida, and agreed to pay a total of $15,000, including $10,000 in restitution. Our investigation found that the employee falsified an application for a COVID-19 Economic Injury Disaster Loan (EIDL), and he received a EIDL loan advance in the amount of $10,000 from the Small Business Administration. While the employee claimed the loan was for a t-shirt making business, when we interviewed the employee, he admitted that the loan application was fraudulent.

An Amtrak Assistant Passenger Conductor based in Philadelphia violated company policy by altering her company paystub for July 2022 and submitting it to a financial institution for the purpose of securing a mortgage loan. On April 2, 2024, the employee received a final warning after she waived her right to a hearing and accepted responsibility for the charges.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) investigated allegations that AmeriCorps Volunteers in Service to America (VISTA) members were paid as employees of the Mississippi Center for Re-Entry (MSCRE) while simultaneously receiving an AmeriCorps living allowance for service at the organization, and that MSCRE’s founder instructed VISTA members to not disclose their employment relationship to AmeriCorps. AmeriCorps OIG’s investigation confirmed that one VISTA member was required to perform duties both within and outside their VISTA Assignment Description (VAD), while simultaneously receiving living allowance payments from AmeriCorps and paychecks from MSCRE. AmeriCorps OIG also confirmed that MSCRE’s founder directed VISTA members to not disclose their employment relationships with the organization to AmeriCorps.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) investigated an allegation that the President of the Great Lakes Community Conservation Corps (GLCCC) misused personal identifiable information provided by prospective AmeriCorps members at recruitment sessions to enroll them in AmeriCorps' Education Award Program, even though the members did not provide service. It was also alleged that these prospective members were enrolled in the MyAmeriCorps portal with the GLCCC President’s email address. AmeriCorps OIG’s investigation found that the GLCCC President used his email address to enroll 55 individuals as AmeriCorps members, and that at least one of the individuals was unaware that they were enrolled into an AmeriCorps program. AmeriCorps OIG further determined that the GLCCC President attended enrollment sessions of a partner organization that did not receive AmeriCorps funding in order to enroll members into GLCCC’s AmeriCorps program, and that hours members served for the partnership organization were counted as AmeriCorps service hours.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) received an allegation that a former Federal Emergency Management Agency (FEMA) Corps member with the National Civilian Community Corps (NCCC) was sexually assaulted while on deployment. It was further alleged that NCCC failed to investigate the allegation or report the allegation to law enforcement, failed to take disciplinary action against the alleged assailant, and removed the member from the NCCC program. AmeriCorps OIG did not investigate or render any findings regarding the validity of the complainant’s sexual assault allegations because complaints of sexual assault fall under the jurisdiction of local law enforcement. However, AmeriCorps OIG conducted an assessment of NCCC’s sexual assault prevention and response program.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) investigated allegations that multiple AmeriCorps Seniors Senior Companion Program (SCP) volunteers submitted falsified timesheets during their service at Kansas City Shepherd’s Center (KCSC). The investigation substantiated that three SCP volunteers submitted falsified timesheets and received a combined total of $7,769.82 in Federal funds as a result. One of the volunteers, Manuel Benson Jr., pled guilty to one count of 18 U.S.C. § 641, Theft of Government Money, and was sentenced to two years’ probation and ordered to pay $4,727.55 in restitution. The other volunteers entered into repayment agreements with KCSC and the United States Attorney’s Office declined to prosecute them. AmeriCorps OIG referred the matter to AmeriCorps and recommended it disallow the funds KCSC paid to the volunteers less the amount of Benson’s restitution. AmeriCorps OIG also recommended that AmeriCorps provide training and technical assistance to KCSC to ensure volunteer supervisors are adequately supervising volunteers.

The AmeriCorps Office of Inspector General (AmeriCorps OIG) investigated an allegation that Teach for America (TFA) improperly exited an AmeriCorps member (member) for Compelling Personal Circumstances (CPCs) who allegedly provided a fictitious reason for a CPC exit in order to participate in a teacher strike and still earn her education award.