State Farm files another lawsuit against Toronto-area clinics
Tuesday, May 8, 2012 Admin
Seeking more than $9 million in damages for fraud.
State Farm has filed another lawsuit against several Toronto-area medical clinics for filing fraudulent claims. Those named in the suit include Global Rehab Clinics Ltd., Perfect General Contracting Corp., Queen’s Medical Assessment Centre Ltd., Princess Rehab Clinic Inc., Crown Diagnostic & Assessment Centre Inc., as well as Mohammad Aslam Bajwa and Gurjeet Singh.
In its Statement of Claim, State Farm is seeking $2 million in damages for fraud, fraudulent misrepresentation and/or unjust enrichment; $2 million in damages for conspiracy; $5 million in aggravated and/or punitive damages; a declaration that State Farm is not required to pay any future or outstanding bills from the defendants; the costs of the action; prejudgment and post judgment interest; HST; and such further reliefs as the Court sees fit.
“This latest suit shows our continued commitment to proactively fighting alleged insurance fraud,” said John Bordignon, media relations at State Farm Canada. “State Farm is reacting to this form of criminal activity on behalf of our customers who are ultimately the victims of fraud. Honest people should not have to pay because of those who cheat the system or act through illegal means.”
Bordignon added that State Farm is committed to reducing the impact insurance fraud has on everyone.
“We have stepped up our efforts internally and have added a significant number of additional dedicated resources to combating insurance fraud. We are sending a clear message that we will continue to be vigilant in our investigations and will take appropriate legal action against those who engage in fraudulent activity.”