FBI Sting “Crashes” Auto Accident Ring

An extensive and lengthy scheme to defraud auto insurance agencies has been exposed by the FBI and DC police departments.

 Federal authorities have charged three alleged lawbreakers and a Silver Spring lawyer for recruiting auto accident “victims” to fake their injuries in order to collect higher than normal insurance claim payouts, The Examiner reported.  Documents stated that the FBI and DC police conducted an undercover operation that had an agent file a false crash report in the police department’s system for reported traffic accidents. A special agent then posed as the driver who had been in the accident.

According to court records, the day after the fake report was put into the system, the undercover agent allegedly received a call from a man named Alba Bustamante who stated that he had obtained the accident report.  Officials say that he then referred him to Ryan A. Lahuti, a personal injury lawyer who has offices in both Silver Spring and Rockville.

The driver/undercover agent then explained that he wasn’t actually injured in the crash, to which Bustamante allegedly responded “it didn’t matter.” Documents also alleged that Lahuti worked directly with a chiropractor in Falls Church. Bustamante supposedly told the agent that he just needed to give the chiropractor Lahuti’s business card, spin a little yarn about having an injured neck and back, and he could “pocket” about four or five thousand dollars.  How nice. 

“Why not take advantage?” Bustamante reportedly said.

Officials say that Bustamante then allegedly provided red carpet service, driving the undercover agent to the chiropractor’s office, where the agent explained that he felt neither pain nor dizziness, and did not even suffer from headaches or loss of sleep.

The chiropractor allegedly responded by saying that the agent’s back was out of alignment and that he could get treated and have it paid for with accident insurance.

“You should take advantage of the situation and just get treated from the accident; get taken care of because I don’t know if [the injuries were] pre-existing or not,” the chiropractor was recorded as having said.

The undercover agent said that Nancy Yaneth Reyes, who is Lahuti’s assistant, told him that he would need to have 25 visits listed with the therapist in order for him to receive the maximum amount of insurance money.  Did she miss that part about no pain, dizziness and not even a headache? 

The law office then submitted the chiropractor’s report to the insurance company and demanded $8,000. In return the company settled for $2,000, from which Lahuti presented the undercover agent with an $800 check.

It is also alleged in court documents that Lahuti falsified his claims for his own injuries sustained from a biking accident. He said the crash left him totally incapacitated and even listed the dates of his treatments. Court records state differently however, because they note that he and his wife were out of the country at the time of the treatments.

Bustamante and an accomplice named Kenneth Carlton Williams were charged with wire fraud and health care fraud. Lahuti and Reyes were charged with conspiracy to commit mail fraud.  Should be interesting to see how this unravels. 

These are merely allegations as there have been no convictions.  All parties are innocent until proven guilty.