# State Farm Wins Fraud Settlements 

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In one of the first lawsuits of its kind to settle, State Farm has won $8 million from legal actions against a phony automobile accident ring that had staged 500 accidents in the Chicago area. 

"We‘re pleased to say this legal action has shut down a network of people that State Farm alleged made big money from phony auto accidents," said Ron Brown, vice president of operations for State Farm in Illinois. 

"The sad part of this situation is that innocent drivers were at risk of injury or death, all because of greed. Our hope is this action and others like it are sending a strong message that we intend to put an end to fraud." The settlements and default judgments, which resulted in the defendants in the Chicago lawsuit agreeing to pay more than $8 million, amounted to the largest fraud judgment State Farm has ever obtained. The suit had been scheduled for trial in the U.S. District Court in Chicago on Sept. 18.