Five Amtrak employees have recently admitted to their involvement in a significant health care fraud scheme that led to over $11 million in false claims submitted to the company’s health care plan. The U.S. Attorney’s Office for the District of New Jersey disclosed that Kevin Frink, 53, from Willingboro, N.J., has pleaded guilty to conspiracy charges alongside four others: Michael Toal, 35, from Hazlet, N.J.; David McBrien, 37, from Levittown, Pa.; Damany Walker, 41, from Irvington, N.J.; and David Lonergan, 65, from Rockaway Park, N.Y.
U.S. Attorney Alina Habba emphasized the seriousness of the crime, stating that the individuals colluded with corrupt health care providers to exploit Amtrak’s health care plan for monetary gain. The indictment of the five has also included four additional co-conspirators: Quinton Johnson, 53, Gregory Richardson, 35, Timothy Bogen, 59, and Dion Jacob, 50.
Documents reveal that these individuals accepted cash kickbacks from health care providers in exchange for approving billing for nonexistent and unnecessary medical services. The conspiracy charge carries a potential maximum sentence of 10 years in prison and a $250,000 fine, with sentencing dates set for several defendants throughout the summer and fall.
Earlier this month, Amtrak’s Office of Inspector General released a concerning report indicating a troubling culture within Amtrak’s Northeast workforce that appeared to normalize criminal activities. The investigation has implicated at least 119 employees, leading to the resignation of 17 individuals last year amidst the ongoing inquiries. The scheme had previously resulted in six guilty pleas and agreements for over $11.6 million in restitution.
In addition to the health care scandal, Amtrak has faced other issues, including charges against former employees regarding an IT bribery scheme and a longstanding bribery case associated with renovations at Philadelphia’s 30th Street Station.
The investigations and subsequent guilty pleas can be seen as a positive step toward restoring integrity within Amtrak, demonstrating a commitment to accountability in a system that has faced serious mismanagement issues. تن−