The Long Island Rail Road (LIRR) has uncovered a significant fraud scheme involving employees who exploited the system using fake ID cards. The investigation, led by the Metropolitan Transportation Authority’s (MTA) inspector general, spanned three years and revealed that over three dozen workers participated in this elaborate scheme.
LIRR Employees Exploit System with Fake ID Scheme
The investigation highlighted various tactics employed by LIRR workers to leave their shifts early while still receiving pay. This included using cloned identification badges hidden in lockers and refrigerator units across multiple facilities.
Details of the Fraudulent Scheme
- Cloned IDs were sold to employees for $5–$40.
- Workers coordinated absences via group chats, leaving to hit gyms or work second jobs.
- Some workers left early most days, taking advantage of COVID-era changes that suspended biometric time clocks.
One foreman specifically, John Cerulli, was observed arriving late and leaving early on 14 occasions over three months, which was corroborated by surveillance footage. Investigators also found evidence of other employees engaging in similar behaviors.
Findings of the Investigation
The comprehensive 65-page report detailed the breadth of the problem, revealing a culture of fraud within the LIRR. Some employees admitted to their involvement, suggesting that the cloning of cards and covering for absent workers was rampant.
- Investigators identified 36 employees involved, including seven supervisors.
- Most of these employees have faced disciplinary actions, although none have been criminally charged.
- Some retired or left before the findings were made public, allowing them to evade consequences.
Among the highest earners was Craig Murray, who made $345,779 in the past year, raising questions about the disparity between fraudulently inflated paychecks and regular salaries.
Systematic Changes Implemented
In response to the fraud, LIRR President Rob Free stated that the organization has begun implementing measures to prevent future occurrences. Key actions taken include:
- Installation of security cameras near time clocks.
- Regular audits of employee attendance and location.
Despite these efforts, experts note that no system can eliminate all fraudulent behaviors entirely. Inspector General Daniel Cort emphasized that human ingenuity could always find ways to bypass regulations, even with robust systems in place.
The revelations have sparked a conversation about workplace culture and accountability within the LIRR. As the investigation continues, it aims to deter similar fraudulent activities in the future.
