AMTRAK: Additional Insights on Fraud Risks as the Company Increases Its Contracts and Procurements

Our office remains committed to investigating and prosecuting fraud cases, and identifying opportunities to improve related internal controls. Ultimately, the company is responsible for preventing, detecting, and reporting fraud and instituting the controls necessary to do so. To help inform the company’s efforts to combat this persistent threat, we issued a report in May 2023 that identified four fraud risk areas facing the company: contracts and procurements, health care, employee wrongdoing, and cybercrime. That report highlighted indicators of potential fraud as well as mitigation activities the company could undertake to address these risks.

This follow‐on report provides deeper insights on a specific fraud risk area—contracts and procurements—for the company’s consideration as it continues its unprecedented expansion in mission and federal funding. Accordingly, the purpose of this report is to share insights from industry practices and our own observations about collecting and analyzing data to monitor for and detect contract and procurement fraud.