NJ Company Ran Unsafe School Buses, Hired Unqualified Drivers: AG

ESSEX COUNTY, NJ — Hiring unqualified drivers with criminal histories. Failing to perform drug tests and background checks. Operating unsafe school buses. These are some of the allegations that the owner of a company in Essex County recently admitted to under the terms of a plea bargain that will likely result in prison time for him – and pretrial intervention for a co-owner of the business, state prosecutors say.

Ahmed Mahgoub, 65, of East Hanover, along with his East Orange-based company, F&A Transportation, entered guilty pleas to false representation for a government contract (second-degree) during a court hearing in Essex County last week, according to the New Jersey Office of the Attorney General.

Prosecutors said F&A Transportation co-owner Faiza Ibrahim, 50, also of East Hanover, was charged with tampering with public records or information (third-degree). Ibrahim has agreed to enter into pretrial intervention for three years, and will be supervised by a probation officer.

Under the terms of a plea agreement, the state will recommend that Mahgoub serve five years in state prison. Sentencing is scheduled for June 28.

Additionally, under a plea deal with the Office of Public Integrity and Accountability, Mahgoub and Ibrahim are expected to pay a combined $575,000 in corruption profiteering penalties. They have agreed to be barred from doing business with the state of New Jersey or any of its administrative or political subdivisions for a decade, prosecutors said.

The defendants were indicted in August 2021 on multiple charges following an investigation by OPIA and the New Jersey State Police Official Corruption Bureau. Their criminal conduct related to contracts F&A secured from 2016 through 2020 with public school districts in Essex, Passaic, Morris, and Union counties, prosecutors said.

Those contracts had a combined value of nearly $3.5 million, authorities said. The specific school districts involved were not cited in a statement about the plea deal.

• See Related: NJ School Bus Firm Allegedly Used Unqualified Drivers: Prosecutor
• See Related: NJ School Bus Company Owners Indicted, Face Multiple Charges

Here are the allegations against F&A Transportation and its owners, prosecutors said:

“The investigation revealed the defendants knowingly hired drivers who did not hold valid commercial driver’s licenses or required license endorsements, as well as drivers who had criminal histories, known substance abuse problems, and suspended licenses. They hired drivers before completion of criminal background checks or, in some instances, without any criminal background check at all. The investigation further found that the business owners falsified vehicle inspection forms to indicate their buses consistently passed required pre- and post-trip company inspections. Those forms must be maintained for review by the New Jersey Motor Vehicle Commission (MVC) and are relied upon by school districts as proof of bus safety.”

Despite the defendants’ indications that their buses consistently passed company inspections, in February and August 2019, the MVC inspected F&A’s buses — and nearly all of the company’s buses failed on both occasions, prosecutors said.

On at least one occasion, an F&A driver drove a bus carrying children while intoxicated – and ended up crashing, authorities noted.

“There are requirements in place designed to require school bus drivers to meet certain basic, commonsense standards and to prevent potentially tragic traffic incidents,” said Thomas Eicher, executive director at the OPIA.

“Those who violate the law by using unqualified drivers and commit fraud to circumvent the rules will be held accountable,” Eicher said.

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