Amtrak Employees Plead Guilty in $11 Million Health Care Fraud Scheme

Newark, New Jersey – Federal prosecutors announced that several Amtrak employees have pleaded guilty to participating in a scheme that defrauded the railroad’s health plan of more than $11 million. The fraudulent activities occurred from January 2019 through June 2022, where employees allowed corrupt health care providers to submit false claims for medical treatments that were either not provided or medically unnecessary.

In exchange for their involvement, these employees received kickbacks averaging thousands of dollars. To date, five Amtrak employees have pleaded guilty, with ten individuals charged following an indictment in June 2024. U.S. Attorney Alina Habba stated, “The defendants admitted to colluding with corrupt health care providers in a scheme to defraud Amtrak’s health care plan for personal financial gain.”

Kevin Frink, 53, of Willingboro, New Jersey, is the latest to plead guilty before U.S. District Judge Madeline Cox Arleo. He joins other employees such as Michael Toal, 35, of Hazlet, and David McBrien, 37, of Levittown, Pennsylvania, who also pleaded guilty.

Each defendant faces up to 10 years in prison and a fine of $250,000, or twice the gross gain from the offense. David McBrien’s attorney, Michael V. Calabro, described the case as tragic for a man who used to lead a law-abiding life. “He was tempted by the lure of easy money, and as is so often the case, the easy way turned into the hard way,” he said.

Another defendant, Michael Toal, has had support from his attorney, Michael Chazen, who stated that the incident is out of character for his client. Chazen noted, “He made a smart decision to end this case and move on with his life.”

Investigations revealed that these employees conspired with health care providers, including Michael DeNicola, a podiatrist, who has also pleaded guilty. DeNicola, along with another conspirator, was implicated in the scheme. Figueroa, identified as the mastermind, was sentenced to 34 months in prison in September 2024. Four other charged Amtrak employees have not yet entered pleas: Quinton Johnson, Gregory Richardson, Timothy Bogen, and Dion Jacob.

The investigation was conducted by the Amtrak Office of Inspector General, the Amtrak Police Department, and the Drug Enforcement Administration.