MTA Board member James O'Donnell Criticizes LIRR Time-Fraud Scandal Response
MTA Board member James O'Donnell, a former MTA Police chief, has expressed frustration over the handling of the LIRR time-fraud scandal, where employees cloned ID cards and committed fraud. O'Donnell argues that the board should be fully informed about the extent of the scandal and the actions taken against those involved. He believes that the board members should receive a detailed briefing from the MTA Inspector General's Office to understand the investigation's findings and the disciplinary actions taken.
The LIRR's maintenance of equipment department was at the center of a three-year investigation by the MTA Inspector General, Daniel Cort. The investigation revealed that LIRR employees used magnetic swipe card readers and blank cards purchased online to create counterfeit employee badges, which they sold to coworkers for a profit. This scheme allowed employees to cover for each other when they were late, left early, or didn't show up at all, resulting in significant financial losses for the MTA.
O'Donnell's concern is twofold. Firstly, he questions why only one of the 36 implicated workers has been fired, suggesting that some employees who remain on the payroll are among the highest earners in terms of overtime. He finds it unacceptable that these individuals will continue to benefit financially from their fraudulent actions through their pensions. Secondly, O'Donnell emphasizes the financial impact of the scandal, stating that the stolen funds amount to hundreds of thousands of dollars, and he believes the board should be briefed to understand the full scope of the issue.
MTA Chairman and CEO Janno Lieber acknowledged the need for a briefing but suggested it would be held in a closed-door executive session. David Mack, the Nassau County representative on the board, agreed with this approach, prioritizing confidentiality. The MTA Inspector General's office has confirmed receipt of O'Donnell's request but has not provided further comments.
The scandal has led to resignations and retirements among implicated employees, but O'Donnell argues that more needs to be done to address the issue. LIRR President Rob Free explained that disciplinary actions must follow a specific process, which has been initiated for those who have been fired or resigned. However, O'Donnell's criticism highlights the need for transparency and a comprehensive response to prevent similar incidents in the future.
