CTA Scam Sucks Millions in Taxpayer Funds

It is after all the Chicago way.

The CTA has potentially inflated by up to $150 million the federal taxpayer money it received since as far back as 1982 by “fraudulently over-reporting” the number of miles CTA buses travel while in service, according to a new report by a little-known watchdog group.

In its report, titled “A bus tour of Chicago-style fraud,” Washington-based Cause of Action alleged that CTA officials reaped millions in extra federal money that the agency was not entitled to by improperly including “deadhead,” or out-of-service bus miles, along with funding-eligible revenue bus miles when applying for money from the Federal Transit Administration.  …

But Cause of Action, which said it based its findings on “insider audit information” from six years ago, said the CTA likely continues to get away with its inaccurate mileage reporting, with the knowledge of the U.S. government, because of the transit agency’s political connections stretching from Chicago to Washington.

It cited the clout of Valerie Jarrett, who is senior adviser to President Barack Obama and also a former chairwoman of the CTA (1995 to 2003), and Robert Rivkin, general counsel at the U.S. Department of Transportation. From 2001 to 2004, Rivkin was general counsel at the CTA.

Officials at Cause of Action said they brought the matter to the attention of the U.S. Department of Transportation inspector general, the U.S. attorney general and Congress, but no action was taken.

via Chicago Tribune.

Surprise Surprise Surprise!!

The good citizens of Chicago are naturally shocked and appalled that Valerie Jarrett and other stooges of The Machine have engaged in taxpayer fraud. Shocked and appalled.

This sounds like a Qui Tam lawsuit in the making.  Someone going to get on that?


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