In a civil RICO suit that accused three doctors of operating a fraud mill that sharply inflated medical care costs for car accident victims, a federal jury last week awarded more than $15.4 million to State Farm Mutual Automobile Insurance. The company alleged that the suspected ringleader concocted a scheme of systematically prescribing a full menu of tests, treatments, prescriptions and medical equipment, and routinely padding the files with bills for additional treatments that were never provided.
April 01, 2009 at 12:00 AM
1 minute read
The original version of this story was published on Law.Com
In a civil RICO suit that accused three doctors of operating a fraud mill that sharply inflated the costs of medical care for car accident victims, a federal jury last week awarded more than $15.4 million to State Farm Mutual Automobile Insurance Co.
After a three-week trial before U.S. District Judge Eduardo C. Robreno, the jury on Thursday awarded State Farm more than $4 million in compensatory damages and $11.4 million in punitive damages.
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