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MORRIS COUNTY, N.J., April 7 /PRNewswire/ -- Allstate New Jersey Insurance Company filed a civil suit today against a husband-wife chiropractic team accused of participating in fraudulent auto insurance schemes. The action follows those taken Wednesday by state criminal investigators who executed search and seizure warrants against the practitioners as well as a transportation company suspected of complicity in the alleged fraud scheme.
``Today's action validates the Auto Reform Law,'' said Richard C. Crist, Jr., President of Allstate New Jersey. ``The new law gives us important tools to stand up for our customers to aggressively fight fraud and lower costs. We are wasting no time to deliver savings to our customers.''
``Working closely with the Insurance Fraud Prosecutor, we are pursuing a number of investigations, including several sting operations, to attack these fraud mills,'' said Ed Moran, assistant vice president for Allstate's Special Investigative Unit. ``We have some new leads, and we will be going after runners, providers, and lawyers.''
Allstate led the fight in the legislature to shift the focus from imposing civil penalties to aggressively prosecuting criminal prosecutions for insurance fraud. This latest suit is an example of Allstate's commitment.
This latest suit, filed at Morris County Superior Court, alleges pattern and practice of fraud against Allied Trauma and Health P.C. of East Orange, N.J. and its owners, Drs. Litsa and George Tsiliones. Also named in the suit are Essex Shuttle, Inc. of East Orange, and its predecessor Love Courier, their principles Carl Love and Jessie Hilliard; and other alleged accomplices. The suit seeks treble damages from these individuals and an order allowing Allstate to ignore phony medical claims and treatments.
This action is the result of over a year of investigation by Allstate New Jersey's Special Investigative Unit (SIU), the largest SIU in the state. Allstate is continuing its investigation into the Allied matter. It is anticipated that additional defendants will be named in future action. A similar suit was filed Wednesday by the Prudential Property and Casualty Insurance Co.
Allstate New Jersey Insurance Company is an indirect, wholly owned subsidiary of The Allstate Insurance Company. The Allstate Corporation (NYSE: ALL - news) , is the parent of Allstate Insurance Company, the nation's largest publicly held personal lines insurance company, insuring one of every eight homes and automobiles in the country. The company provides insurance for more than 20 million customers and has approximately 15,000 full-time agents in the U.S. and Canada. Allstate Life Insurance is one of the country's largest life insurers and among the fastest growing.
SOURCE: Allstate Insurance Company
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