Former Keolis Engineer Sentenced for $8.5 Million Fraud

John P. Pigsley, former Assistant Chief Engineer of Facilities for Keolis Commuter Services, was sentenced to over five years in federal prison for stealing more than $8.5 million from funds meant for the MBTA commuter rail and defrauding the IRS of more than $2.6 million. Pigsley, who worked at Keolis from 2014 to 2021, pleaded guilty to multiple charges including wire fraud, conspiracy, tax evasion, filing a false tax return, and structuring financial transactions. He orchestrated a fraudulent invoicing scheme with John Rafferty, the general manager of an electrical supply vendor, resulting in millions in false invoices and stolen materials. Pigsley also directed Keolis to purchase copper wire, which he then stole and sold for cash, further contributing to the losses. The court ordered Pigsley to pay restitution to both Keolis and the IRS, forfeit three real estate properties, and pay a multimillion-dollar money judgment. Rafferty has also pleaded guilty and is awaiting sentencing.