Consumer Law

Whistleblower Lawsuit Filed Against Academy Bus for Allegedly Defrauding $15M

A company that contracts bus services with NJ Transit has been accused by the Office of the Attorney General of running no-show buses, perpetrating a fraud scheme of more than $15 million, according to allegations in court documents. 

Attorney General Gurbir Grewal announced the decision Monday morning to intervene in a whistleblower lawsuit filed by Hector Peralta, a former employee of Academy Bus. Academy and its affiliated corporations have contracted with NJ Transit since at least 2011.

“Academy’s fraud was massive,” Grewal said in court documents filed Monday in Superior Court in Essex County. “Between at least April 2012 and December 2018, Academy deliberately failed to report to New Jersey Transit tens of thousands of missed bus trips, defrauding New Jersey Transit out of more than $15 million.”

Read the source article at NJ news from Bergen, Passaic

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