Former Virginia Transit CEO Sentenced to Federal Prison

Mark W. McGregor, 63, of Charles Town, WV, was sentenced Friday to 18 months in prison for bribery and was ordered to pay $380,000 in restitution, $380,000 in forfeiture, and a $50,000 fine, according to the U.S. Attorneys Office.

The long-time CEO of Purcellville-based Virginia Regional Transit pleaded guilty May 16 for his role in a bribery scheme that caused $380,000 in losses to the U.S. government.

VRT, a nonprofit that provides bus service in Loudoun and other Virginia jurisdictions, is funded by a combination of federal, state and local grants, including from the U.S. Department of Transportation.

McGregor was charged with engaging in a bribery scheme with co-conspirator Thomas Ahalt, then president of Mobile Auto Truck Repair, which provided automotive repair services to VRT.

According to evidence presented in the case, from January 2007 through December 2015, Mobile Auto submitted—and McGregor caused to be approved—false invoices for additional weekly labor charges. McGregor approved and VRT paid to Mobile Auto approximately $380,000 in fraudulent labor charges. A portion of the money VRT paid to Mobile Auto were federal program funds originating from the Federal Transit Administration. McGregor received regular kickback payments from Ahalt and others associated with Mobile Auto totaling half of the additional weekly labor charges. In total, McGregor received approximately $190,000 in kickback payments.

FBI agents raided the VRT offices last December. McGregor resigned in February. Ahalt, 71, of Berryville, pleaded guilty to the conspiracy charges in April, followed by McGregor in June.