A construction industry captive insurer along with three construction contractors have filed a lawsuit alleging a massive New York fraud scheme involving staged workplace accidents and bogus workers’ compensation and personal injury lawsuits backed by complicit lawyers and medical providers.
The lawsuit filed by reinsurer Ionian RE in federal district court claims that the scheme involved fake unwitnessed falls on construction sites representing hundreds of millions of dollars in workers’ compensation payments and liability insurance settlements.
The suit targets personal injury lawyers and law firms including Subin & Associates, LLC; Wingate, Russotti, Shapiro, Moses &