Allstate has accused 17 shell companies of running a $2 million ultrasound fraud ring through New York’s no-fault system.
A sprawling insurance fraud network allegedly used fake medical corporations and sham ultrasound clinics to submit fraudulent claims to Allstate, according to a lawsuit filed November 19 in federal court in New York’s Eastern District.
The case alleges that unlicensed operators recruited five physicians to front what looked like legitimate medical practices while secretly running a coordinated scheme to submit bogus claims for diagnostic ultrasounds that patients rarely needed – or sometimes never received…