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Investigations

Date

Former President of Massachusetts Transit Authority Operator Charged with Theft

On August 5, 2014, John George, Jr. of North Dartmouth, Massachusetts, was indicted in U.S. District Court, Boston, Massachusetts and charged with conspiracy and theft or bribery concerning programs receiving federal funds. The charges were related to his role as the former president/owner of the Union Street Bus Company (USBC). USCB served as the operator for the Southeastern Regional Transit Authority (SRTA). From approximately 2005 to 2011, SRTA received approximately $42 million from Federal Transit Administration (FTA) through grants.

The indictment alleged that from approximately December 2007 to October 2011, SRTA paid USBC over $1 million to manage and operate the public bus transit service. These funds were used to pay USBC salaries, benefits, and other expenses. The investigation disclosed that George misused federal funds by directing several employees to perform work on his personally owned produce farm during regular working hours. George also caused USBC to pay approximately $10,000 to a contractor for compensation for performing personal construction work, including re-modeling a kitchen, at his residence. In approximately 2010, George also inflated his salary by approximately $200,000 (from $75,000 to $275,000) in an attempt to boost his yearly pension payment from SRTA.

Note:  Indictments, informations, and criminal complaints are only accusations by the Government. All defendants are presumed innocent unless and until proven guilty.