BOSTON — A former official at Keolis Commuter Services, contract operator of Massachusetts Bay Transportation Authority commuter trains, has been sentenced to more than five years in prison for defrauding Keolis of more than $8.5 million and the Internal Revenue Service of more than $2.6 million.
John P. Pigsley, 59, was sentenced on Thursday, April 17, to 70 months in prison and three years of supervised release, the U.S. Attorney’s Office for the District of Massachusetts said in a press release. He was also ordered to pay $8.58 million in restitution to Keolis, $2.69 million to the IRS, forfeiture of three pieces of real estate, and $7.69 million money judgment.
Pigsley pleaded guilty in January to five counts of wire fraud, six counts of tax evasion, four counts of structuring financial transactions to evade reporting requirements, and one count each of conspiracy to commit wire fraud and filing a false tax return. [See “Former Kelois official pleads guilty …,” Trains News Wire, Jan. 23, 2025].
The former assistant chief engineer of facilities for Keolis and co-conspirator John Rafferty were charged in April 2023. Rafferty, general manager of an electrical supply vendor, used false involces to defraud Keolis of more than $4 million between July 2014 and November 2021. Pigsley also had Keolis order copper wire that he stole and sold for scrap, pocketing more than $4.5 million in cash. He failed to pay income tax on the money from the two schemes and structured more than $1.9 million in bank deposits so they would not be reported.
Rafferty pleaded guilty to one count of conspiracy to commit wire fraud in June 2023. He is scheduled to be sentenced in May.
Guess the “bean counter” hens in Bean Town failed for 7 years to notice the fox in the henhouse.
That is only one guy they caught. How many others are there, and how many more millions of dollars are gone. We shall never know. It is no wonder they can’t afford to keep the system in good shape.
If they incarcerated everyone on the take at the T they might run weekly service.
Fraud in Boston? Really?