Allstate, State Farm Sue Medical Providers for Fraudulent Billing

  Wednesday, May 1st, 2019 Source: Claims Journal

Two insurance carriers filed separate lawsuits last week against medical doctors and their pain-management clinics, accusing them of submitting bills for unnecessary medical procedures performed on vehicle-accident victims.

State Farm Mutual Auto Insurance Co. filed suit in the U.S. District Court for Southern Texas against Dr. Nooruddin S. Punjwani as well as the clinic where he practiced, Pain Alleviation & Interventional Needs (PAIN), as well as the owners of the clinic. It is seeking $3 million in damages.

Allstate Insurance Co. filed a racketeering lawsuit in the U.S. District Court for the Eastern District of Michigan against The Pain Center USA, Interventional Pain Center and Dr.s Rajendra Bothra and Erick Backos, seeking $860,000 in damages. The carrier in February filed a similar lawsuit against several other clinics, seeking $3.5 million.

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