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OIG Investigation Prompts INDYGO Review, Uncovering $2.9 Million in Overcharges on FTA Grants

An FTA review revealed that the Indianapolis Public Transportation System (INDYGO) charged $2,993,912 in unallowed expenses to three FTA grants. The expenses are being deducted from future grants. The review was prompted by an OIG investigation into various contract irregularities at INDYGO, including a complaint alleging INDYGO steered $15,000 of subcontract work to Greater Transportation Enterprise (GTE), Indianapolis, to deter GTE from taking legal action against INDYGO for not winning a prime contract. The OIG investigation uncovered a series of other contract, grant, and administrative irregularities that eventually prompted FTA to review INDYGO’s grant activities since 1999.