Aspen Claims Service

Feds Bust Gangs For $100M No-Fault Insurance Fraud Racket

 Friday, January 14, 2022

 New York Post

Two gangs that enlisted trusted professionals to steal $100 million dollars from insurance companies were taken down Wednesday in what the feds are calling one of the biggest fraud busts in history.

More than a dozen suspects, including a New York City cop, were arrested following an investigation by the Justice Department, the NYPD and Westchester County District Attorney’s office, officials said.

Both criminal enterprises would bribe police dispatchers and health care workers for information about car accident victims, who they connected with crooked doctors that performed unneeded medical procedures, officials said in a news release.

The gangs would then overbill insurance companies to exploit automobile insurance laws in New York and New Jersey that require them to pay for victim’s medical bills in certain situations.