N.J. Attorney General: 12 Indicted In Multi-Million Dollar Accident Fraud Scheme
NEW JERSEY (CBSNewYork/AP) — Investigators in New Jersey said they have broken up a multi-million dollar accident fraud scheme.
Acting Attorney General John Hoffman announced Thursday a 45-count indictment charging 12 people with racketeering, conspiracy, criminal use of runners and other related charges.
As WCBS 880’s Levon Putney reported, a lawyer from Rockaway, a doctor in Park Ridge, and two chiropractors who ran seven northern New Jersey offices are among those accused of recruiting motor vehicle accident victims as patients.
“Illegal runners were used to recruit motor vehicle accident victims,” Hoffman explained. “The runners allegedly retrieved the motor vehicle accident patients from their homes and personally drove them to the chiropractic facilities.”
A practice that Hoffman said is illegal.
“This imposes criminal penalties for acting as a runner or using, directing, or employing a runner,” he said.
The alleged ringleaders, 50-year-old Anhuar Bandy and 53-year-old Karim Bandy, allegedly received millions of dollars in illegal payments by referring patients to medical and legal service providers.
In all, he said the scheme made them anywhere between about $5 to $10 million before they were busted.
Hoffman said it’s also against the law to run a medical facility if not a licensed physician.
Check Out These Other Stories From CBSNewYork.com:
- 10 Injured When Fire Truck, Casino Minibus Collide In Yonkers
- NJ TRANSIT Conductors Accused Of Reselling Stolen Tickets At Major Markdowns
- Sources: Person In Custody In Shooting Of Off-Duty NYPD Officer In Brooklyn
- Port Authority: Former Agency Official Tried To Breach Security At JFK Airport
(TM and © Copyright 2014 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2014 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)