Virginia Regional Transit

“On december 11, 2015, the vrt building in purcellville was the subject of a raid by the fbi. The subjects of the search were virginia regional transit ("vrt") and mobile auto truck repair, inc. ("mobile repair"), a vendor of vrt that leased space from vrt in its purcellville office and provided mechanical services to vrt for its buses. On april 6, tom ahalt, president of mobile repair ("ahalt"), entered a plea of guilty in the us district court in alexandria to conspiracy to commit bribery concerning programs receiving federal funds. Ahalt stated in court filings that, from the period of 2007 through december 15, 2015, he had provided mark mcgregor, then ceo of vrt ("mcgregor") with false invoices for extra work that was not performed, and that he made kickback payments to mcgregor of half of the amount that vrt paid for such extra work. The statement filed with the court claimed that, for the period commencing in 2007 and continuing until 2015, vrt had paid mobile repair approximately $380,000 under false invoices that mcgregor had approved while knowing that they were false, and that ahalt had then paid mcgregor approximately $190,000 in kickback payments for such approval. In addition, ahalt stated in the court filing that mobile repair regularly submitted false invoice to vrt for parts and labor on vrt's vehicles. The amount of false invoices paid by vrt was at least $136,000. On may 16, 2016, mcgregor entered in the us district court of alexandria a guilty plea to a single count of bribery concerning programs receiving federal funds. Mcgregor is no longer affiliated with vrt. Vrt has terminated its lease and service agreements with mobile repair and no longer does business with mobile repair.”

“The executive committee reviews form 990. The annual financial information and irs filings are then presented at the board of directors meeting for their approval prior to submission to the irs.”

“The conflict of interest policy is in the personnel policy manual. This is monitored constantly and in detail annually with each employee as part of the annual employee evaluation/review.”

“Committee of independent directors conducts surveys and studies to determine appropriate competitive compensation for vrt's ceo. The committee then conducts evaluation of ceo's performance based on stated performance criteria and meets to discuss the evaluation.”

“Virginia regional transit has its governing documents and financial statements available to the public upon request.”

“Finance committee oversees the review of the annual audited financial statments. Finance committee meets with the auditors annually to review the financial results and then presents the annual audited report to the board for the review and final approval. Board of directors selects and oversees the independent auditor.”