Former Keolis commuter rail engineer John Pigsley, indicted this week in an $8 million federal fraud case, was no stranger to the courts, data reveal.
Pigsley’s previous fuel-oil firm was convicted of a felony in New Hampshire, with a responsible plea submitted to passing unhealthy checks in Grafton County in 2010. He was positioned on probation and given a positive, which the Granite State’s legal professional basic’s workplace mentioned was suspended.
The AG’s workplace added full restitution was paid to prospects concerned in that case.
It does, nevertheless, increase the query of why was Pigsley was employed by Keolis, the MBTA’s commuter rail vendor.
Keolis Commuter Services informed the Herald Pigsley, a Beverly resident, was certainly one of “2,000 people hired on” after they took over the contract from Massachusetts Bay Commuter Railroad in July of 2014.
Keolis mentioned in a press release they’re “aware of the indictment” and take the allegations “seriously.”
The rail firm added they noticed “project anomalies linked with the practices of an employee” in 2021 and “took immediate action to investigate and ultimately suspended and then terminated the employee.”
Keolis added: “Our priority was to ensure that our partners at the MBTA were not harmed in any way, and we reimbursed them for any related goods and services.”
A federal grand jury on Tuesday indicted Pigsley, 58, on 5 counts of wire fraud, one depend of conspiracy to commit wire fraud, six counts of tax evasion, one depend of submitting a false tax return and 4 counts of structuring monetary transactions to evade reporting necessities.
It’s alleged he did this whereas employed because the assistant chief engineer for services for the Paris-based Keolis’ commuter rail operations.
U.S. District Court Magistrate Judge Paul Levenson on the Wedneday afternoon preliminary look in federal courtroom in Boston launched Pigsley beneath private recognizance and scheduled an preliminary standing convention for May 22 at 11:15 a.m.
John Rafferty, 69, of Hale’s Location, N.H., Pigsley’s alleged co-conspirator and buddy, in line with the criticism filed within the case, has already agreed to plead responsible to 1 depend of conspiracy to commit wire fraud.
“The criminal conduct alleged here specifically involves the Commuter Rail — the entity Keolis operates for the T — and two men who lied to, cheated and stole from Keolis,” U.S. Attorney for Massachusett Rachael Rollins mentioned. “We allege that the defendants stole over $8 million from Keolis, and that Pigsley did so while an employee of the organization. The $8 million they stole could have been used to ensure significantly safer, faster and more reliable transportation for riders. Instead, these men lined their pockets for their own selfish gain. It is my hope that this prosecution holds these alleged criminals accountable.”
He was liable for the upkeep of the Commuter Rail Facilities and related engineering operations, together with repairs and mission administration.
Beginning in 2014, the criticism states, Pigsley directed his buddy Rafferty to buy all kinds of products for Pigsley, his firm the Pigman Group and for the household’s profit — together with car and building gear — and to then have Rafferty’s firm, LJ Electric, ship invoices to Keolis for the stability, with a ten% to 30% revenue for Rafferty on prime.
In all, prosecutors allege, Rafferty bought $3 million price of apparatus and was reimbursed $4 million from Keolis.
Those objects embrace 9 vans — solely seven are detailed within the doc, that are three Ford F550s and 4 F350s — price $470,000; not less than even Bobcat machines, every of which prices greater than $70,000; $110,000 in doorways and home windows for building initiatives together with for Pigsley’s own residence; and $20,000 in countertop and tiles for Pigsley’s house.
Howie Carr contributed to this story.
Source: www.bostonherald.com”