Latest news with #MarkSnedden
Axios
28-04-2025
- Business
- Axios
Inside the corruption scandal at Philly's 30th Street Station
As a massive redevelopment of Philadelphia's 30th Street Station is underway, a corruption scheme from a station restoration project years earlier is playing out in court. Why it matters: The elaborate scheme, which spanned more than three years, ballooned the taxpayer-funded project's price tag to $109 million, nearly double its original cost, the Inquirer reports in a deep dive into the case. The big picture: Five people who worked on the project to restore the Amtrak station's historic facade between 2015 and 2018 have admitted to bribe-related crimes in federal court. The latest: The owner of masonry restoration firm Mark 1 Restoration — Mark Snedden — was charged in the case last month with conspiracy to commit bribery. State of play: Authorities were investigating Ajith Bhaskaran, a former Amtrak manager who oversaw the project, in the bribery scheme when they discovered evidence suggesting he was involved in an unrelated crime, per a criminal complaint. He was indicted on wire and Social Security fraud charges in 2020 but died of heart failure while the case was pending. Prior to his death, federal prosecutors say, Bhaskaran admitted to accepting bribes from Amtrak contractors hired to help with the project, per the Inquirer. They estimate he pocketed gifts worth nearly half a million dollars, including cash, concert tickets, steak dinners, jewelry and trips from the contractors, who knew he controlled the project's purse strings. What they're saying: An Amtrak Inspector General report in 2023 said capital improvement projects were susceptible to fraud. The agency told the Inquirer it has taken steps to shore up contract oversight. Catch up quick: In 2015, Amtrak signed a $58 million contract with Mark 1 Restoration to repair the station's limestone exterior and clean its facade. Prosecutors accuse Mark 1 Restoration of submitting inflated bills to Amtrak to cover bribes. Bhaskaran brought another contractor, Vega Solutions, on to oversee Mark 1's work for $1.3 million, per the Inquirer. Prosecutors say Bhaskaran helped Vega Solutions submit false work invoices to Amtrak, along with fraudulent reimbursements. Vega Solutions' Sandeep Hardikar and Madhura Atitkar pleaded guilty to conspiracy to commit bribery and fraud, per the Inquirer. Atitkar was sentenced last year to three years of probation and a fine. Hardikar's sentencing was sealed by the court, but prosecutors said he paid more than $786,000 in restitution.
Yahoo
04-04-2025
- Business
- Yahoo
Contractor Allegedly Tried To Bribe An Extra $52 Million Out Of Amtrak With A Purebred Puppy And Luxury Watches
Built during the early 1930s, Philadelphia's 30th Street Station is one of the country's final railroad temples and still serves millions of passengers today as Amtrak's third-busiest station. The federally-owned railroad awarded a $58 million contract in 2015 to Mark 1 Restoration to clean the station's monumental limestone facade and restore its windows. A federal lawsuit filed last week alleges that Mark Snedden, the company's owner, heaved lavish gifts at an Amtrak official for an additional $52 million in change orders, skyrocketing the deal's value to over $100 million. The value of the gifts provided to Amtrak's project manager exceeded $325,000, according to the Engineering News-Record. The list of claimed bribes from Snedden and three Mark 1 vice presidents includes classics like over $7,000 in cash, cash, jewelry and expensive dinners, as well as a $4,700 purebred German Shepherd puppy and all-expenses-paid vacations to Ecuador and India. The filing claims that the Amtrak employee was able to upgrade a few of the gifts. After being given a $5,600 Tourneau watch, the project manager wanted a different timepiece and returned the Tourneau for an $11,000 watch. Read more: These Should Be The Next Mail Trucks When The Post Office Gets Privatized Snedden is slated to be arraigned on federal bribery and false claims charges at the end of the month. The three Mark 1 vice presidents have already pleaded guilty to a single count of federal bribery each and are awaiting sentencing. Although the Amtrak project manager isn't named in the lawsuit, the project manager was identified as Ajith Bhaskaran. He was charged with wire fraud in September 2020 for allegedly defrauding the Social Security Administration but died of a heart attack a month later at home while negotiating a plea deal. While the Trump administration continues to let Elon Musk and his unqualified DOGE lackeys run rampant through the federal government, they should be tackling cases of real government waste like this. The 30th Street Station restoration was 90% funded by federal taxpayers. Contractors, like SpaceX, are willing to do anything to milk the federal budget. Last year, the Pentagon discovered that Boeing overcharged the Air Force by nearly 8,000% on spare soap dispensers on the C-17 Globemaster. Want more like this? Join the Jalopnik newsletter to get the latest auto news sent straight to your inbox... Read the original article on Jalopnik.
