Thomas Eugene Ahalt, Bribery Conspiracy, Virginia 2023
Purcellville Company President Pleads Guilty to Bribery Conspiracy
ALEXANDRIA, Va. – Thomas Eugene Ahalt, 71, of Berryville, pleaded guilty today to conspiracy to commit bribery concerning federal program funds for his role in a bribery scheme that caused over $500,000 in losses to the U.S. government.
According to the statement of facts filed with the plea agreement, Ahalt has served as the President of Mobile Auto Truck Repair (Mobile Auto), an automotive repair business in Purcellville, since 2007. Mobile Auto provided repair services to Virginia Regional Transit (VRT), a not-for-profit 501(c)(3) organization that provides transportation services throughout Northern Virginia.
VRT is funded by a combination of federal, state and local grants, including from the U.S. Department of Transportation. Ahalt participated in two fraud schemes from January 2007 through December 2015. In the first scheme, Ahalt and M.M., a former chief executive officer of VRT, agreed Mobile Auto would submit—and VRT would approve—false invoices for certain labor charges.
In exchange, Ahalt would make bi-weekly kickback payments to M.M. totaling half of the additional labor charges. Accordingly, between 2007 and 2015, M.M. approved and VRT paid to Mobile Auto approximately $380,000 in fraudulent additional labor charges. During the same period, Ahalt gave M.M. approximately $190,000 in illegal kickback payments.
In addition to the kickback payment scheme, Ahalt also regularly caused Mobile Auto to submit false invoices to VRT for parts and labor associated with maintaining VRT vehicles. Ahalt, for example, frequently added fictitious entries to invoices for repairs that had not occurred and for parts that had not been installed.
Mobile Auto submitted at least $136,000 in false invoices to VRT between 2012 and 2015. VRT subsequently paid these false invoices using, in part, federal funds from the U.S. Department of Transportation.
Ahalt faces a maximum penalty of five years in prison and a $250,000 fine when sentenced on June 21.
Key Facts
- State: Virginia
- Category: Public Corruption
- Source: DOJ Press Release â†â€â€
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