The owner of a California CDL school has pled guilty to charges stemming from a multi-million-dollar fraud scheme. His Los Angeles-area trucking school defrauded the U.S. Department of Veteran’s Affairs out of $4.2 million.
Emmit Marshall is the 52-year-old owner and president of Alliance School of Trucking (AST). Located in Woodland Hills, a city in the Los Angeles metro area, AST had been taking advantage of the Post-9/11 GI Bill.
According to a Department of Justice press release, Marshall and his co-defendant, Robert Waggoner, recruited veterans to “attend” their school. Dozens of veterans were signed up for CDL school at AST without ever showing up. Instead, AST received the tuition for those students directly from the VA, and the veterans pocketed the housing allowance and money for books and supplies.
Marshall and Waggoner fabricated enrollment certifications and even kept student files to support their fraud. When they found out that they were under investigation, the men tried destroying the files.
From the time the fraud started in 2011 until 2015, AST had been paid approximately $2.3 million by the VA. Additionally, the VA paid around $1.9 million in benefits directly to the veterans who were part of the scheme.
Marshall has pled guilty to five counts of felony wire fraud. Waggoner is scheduled to go on trial on February 25th, 2020.