California High-Speed Rail Authority Strips CEO's Contracting Power Amidst $600,000 Questionable Travel Expenses
The board overseeing the California High-Speed Rail Authority has voted to limit CEO Ian Choudri's authority to sign and manage contracts under $25 million. This decision follows a state investigation by the inspector general's office, which uncovered approximately $600,000 in questionable travel expenses billed by four consulting firms over a two-year period. The investigation revealed that consultants engaged in unauthorized travel, including first-class flights, luxury rides, and visits to nightclubs and restaurants, often at the request of the agency's top executives. Agency staff reportedly failed to adequately vet these requests, and in some instances, were unaware of the trips until invoices were received. The board's vote, which was 7-2, also mandates that the agency's in-house attorneys must approve or modify any new or existing contracts. The four consulting firms implicated are KPMG LLP, Nossaman LLP, AECOM-Fluor Joint Venture, and SYSTRA/TYPSA Joint Venture. The authority has paused all travel ...