News
Wasatch Railroad Contractors and CEO Found Guilty of All Charges
United States Attorney for the District of Wyoming Bob Murray announced Monday that 47-year-old John Eldon Rimmasch of Cheyenne and Wasatch Railroad Contractors were found guilty by a federal jury on five counts of wire fraud and one count of knowing endangerment. The trial took place earlier this month before Federal District Court Judge Alan B. Johnson. Sentencing has been scheduled for July 5, 2022. Wasatch performed repair and restoration on freight cars and its Wasatch Railroad Contractors division purported to specialize in restoring historic railroad equipment. Rimmasch is the founder and owner of Wasatch and served as its Chief Executive Officer. The case arose after Wasatch entered a contract to restore a historic railcar owned by the National Park Service. Wasatch failed to complete the restoration, and in the process, endangered its employees by exposing them to asbestos without proper safety measures.
Through directives of its owner, Rimmasch, Wasatch invoiced the National Park Service certifying that it performed the asbestos abatement pursuant to the contract, knowing full well it had not. The contract also obligated Wasatch to pay Davis Bacon wages to its laborers, which Wasatch failed to do. Rimmasch, however, directed others to knowingly submit false certified payrolls to the National Park Service stating his employees were paid the minimum Davis Bacon wage. Rimmasch knew that compliance with the contract was necessary to receive the $800,000 payment from the National Park Service, which was received. Wasatch and Rimmasch were indicted on five counts of wire fraud for knowingly submitting false invoices and payrolls to the NPS for payment. Both were also indicted on one count of knowingly releasing asbestos and placing Wasatch’s employees in imminent danger of death or serious bodily injury. If convicted on all counts, Rimmasch faces up to 115 years imprisonment and up to $1.5 million in fines. Wasatch could face up to $2.25 million in fines. The crimes were investigated by the United States Department of the Interior, Office of the Inspector General, and the United States Environmental Protection Agency.

Mark Steingass
April 26, 2022 at 1:12 pm
…and the Wasatch Railroad Contractor was the second lowest bid for the asbestos removal work on the 5631…the bid should have never been awarded to the Wasatch Railroad Contractor in the first place…
michael Mclaughlin
April 26, 2022 at 1:25 pm
same company the city used to “clean-up” the 5631? Makes ya wonder?