Dec. 2, 2020
After NJ Attorney General opened up a $15 Million lawsuit against Academy Bus last month; and, Governor Murphy vetoed new subsidized NJT routes to Academy yesterday; NJ Transit Board of Directors state that fiscal oversight is loose or nonexistent.
Allegedly, Academy Bus misrepresented their performance data of Rte.119, PABT-Jersey City-Bayonne bus routes. When NJT wasn’t looking, allegedly, Academy would cancel runs and still be compensated without properly notifying NJT, or documenting it properly. An internal whistleblower started the lawsuit in 2017 under the “New Jersey False Claims Act”.
Academy has responded to media reports: “Prior to this filing, Academy took corrective actions to improve its performance and the company will continue to work diligently to accomplish that objective…We value our relationship with New Jersey Transit and regret that this matter has been moved to litigation.”
Click here for article on NJ Transit Board of Directors demand for tighter controls: https://www.nj.com/news/2020/12/nj-transit-board-members-demand-tighter-controls-after-15m-academy-bus-lawsuit.html