Top Management and Performance Challenges - Fiscal Years 2019 and 2020

This report identifies our views of the top management and performance challenges facing Amtrak (the company). Many other inspectors general are legislatively required to produce similar reports focusing on high-risk or high-impact activities and performance issues that affect programs, operations, and the achievement of strategic goals. Those reports have shown that periodically identifying and reporting these challenges to management and other decision-makers can help improve organizational performance.

EMPLOYEE RESIGNS FOR THEFT OF CASH

A ticket agent resigned on April 5, 2018, prior to an administrative hearing, for stealing money from a cash drawer at Amtrak’s Los Angeles Union Station. Our investigation determined that the employee would wait until train conductors electronically scanned passengers’ tickets and would then reset the ticket’s status as if it had not been scanned at all. This process of resetting the tickets’ status allowed the tickets to be refunded or exchanged. Subsequently, the employee processed the tickets for cash refunds, taking and keeping the money from the cash drawer.

EMPLOYEE COUNSELED FOR PROVIDING WRITTEN ENDORSEMENT OF A COMPANY VENDOR

An Amtrak Foreman in Chicago, Illinois, was issued a letter of counseling on September 9, 2018, for providing an unauthorized written endorsement of a company vendor. The written endorsement was posted on the vendor’s website.
On August 23, 2018, the vendor was issued a notice to remove the unauthorized endorsement, along with all company images and logos that had been posted to their website without permission. The vendor subsequently removed the unauthorized endorsement and images containing the company logo from their website.

EMPLOYEE PROSECUTED FOR STEALING CUSTOMER CREDIT CARD NUMBERS

An Amtrak Reservation Sales Agent resigned from employment on September 4, 2018, after the employee was prosecuted for theft of customer credit card numbers. The employee used the stolen credit card numbers to purchase items for personal use valued at over $2,100. On August 22, 2018, in the Court of Common Pleas of Philadelphia County, Pennsylvania, the employee entered into an Accelerated Rehabilitative Disposition (intervention program) agreement for 12 months. The investigation was conducted jointly with the Amtrak Police Department.

PODIATRIST PLEADS GUILTY TO CONSPIRACY TO COMMIT HEALTH CARE FRAUD

A podiatrist pleaded guilty in the U.S. District Court for the Central District of California to conspiracy to commit health care fraud, money laundering, and mail fraud on July 25, 2018. According to court documents, the podiatrist received kickbacks for prescribing unnecessary compounded medications to patients without their knowledge. As a result of the scheme, Amtrak’s insurance providers were fraudulently charged approximately $22,000.

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