Allstate Opens Fraud Trial Against Chiropractor Network

Law360, Dallas (February 27, 2013, 5:00 PM EST) -- Allstate Insurance Co. on Wednesday opened a Texas federal trial alleging it was defrauded in a $2 million scheme that used a multistate network of chiropractic clinics, telemarketers and personal injury attorneys to bill the insurer for unnecessary medical treatments.

Allstate alleges chiropractor Michael Kent Plambeck used aggressive telemarketing tactics to recruit car accident victims to be treated at one of the 39 chiropractic clinics in Texas, Ohio, Indiana and Alabama that are part of his Texas-based Chiropractic Strategies Group Inc. The insurer says the clinics...
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