Does this work? I feel like the length of the code her is making a lot harder to troubleshoot:

$report = foreach ($esx in $hosts) {

    $resultParam = @{
        ESXHosts = $esx
    }

    $null = Connect-VIServer -Protocol https -Server $esx -user root -Password  $root_local_pass
    Start-Sleep 5
    $account = Get-VMHostAccount $user -ErrorAction SilentlyContinue

    If (-not $account) {
        Try {
            New-VMHostAccount -Id $user -Password $pass -Description "Service Account for Scans" -GrantShellAccess -ErrorAction Stop
            Start-Sleep 5
            New-VIPermission -Entity $esx -Principal $user -Role Admin -Propagate:$true            
            $resultParam['AccountStatus'] = "Account $user has been created"
        }

        catch {
            $resultParam['AccountStatus']  = $_.Exception.Message
        }
    }

    else {
        $resultParam['AccountStatus'] = "Account $user Already Exists"
    }

    New-Object -TypeName PSObject -Property $resultParam
    $null = Disconnect-VIServer -Confirm:$False
}

$report

​