An intricate fraud scheme involving MS-13 gang members, Russian mobsters, and illegal migrants, is reportedly taking place in the United States in an operation that has escalated to include fake injuries and unnecessary spinal surgeries.
According to sources the scheme is paying out about $1.5M a claim.
The scam, uncovered by the NY Post, involves staging accidents to file fraudulent personal injury lawsuits, allowing the team of fraudsters to make millions off each claim.
Sources familiar with the ongoing investigation told the Post that the scheme, which has been active for at least two years, recruits illegal migrants to be used as fake accident victims.
The migrants, are often lured with promises of quick cash, then told to stage injuries, with some undergoing un-needed spinal fusion surgeries to make their claims more profitable.
The surgeries are then performed by corrupt medical professionals, and allegedly funded through a network of shady lawyers and lenders, with profits split among the conspirators.
Authorities estimate the operation has siphoned off hundreds of millions, although exact figures aren’t known because of the scheme’s sophistication.
The key players, include MS-13 enforcers and Russian mob operatives who coordinate the logistics of the staged injuries.
Illegal migrants, many who recently crossed into the U.S., are coached to exaggerate injuries, with some receiving cash payments ranging from $500 to $2,000 per incident.
The main portion of the money goes to the Dr.’s, Lawyers and the operatives that stage the fake injuries.
The involvement of medical providers willing to perform unnecessary procedures has been described as “a conveyor belt of fraud” in the legal system.
Many are outraged as migrant crime continues to be an issue in the United states with most pointing to Joe Biden and his administration’s open border policies as the reason MS-13, Russian mobsters and illegal migrants have been able to dupe the system, costing Americans more money on housing, insurance, food, utilities and every day living expenses.
The New York Post’s initial report in June 2024 first brought attention to the scam, citing anonymous law enforcement sources who described a “well-oiled machine” operating across multiple states.
In one case, testimony from a whistleblower shed light on the prosecution of Dr. Sady Ribeiro, a Manhattan surgeon sentenced to three years in prison in March 2024 for orchestrating an insurance fraud scheme centered on unnecessary back surgeries.
Peter Kalkanis, a former chiropractor and key figure in the scam, testified that these procedures were the linchpin to securing substantial payouts, revealing the depth of the operation.
Kalkanis, who admitted to earning $2 million by staging over 200 accidents across four years, told the court,
“It was always a back injury.” He further disclosed that any patient unwilling to undergo spinal fusion surgery faced the immediate termination of their case.
His testimony has provided critical insight into the mechanics of the fraud, which targeted insurance companies for high dollar settlements.
Among those implicated is Dr. Gbolahan Okubadejo, nicknamed “Dr. Bo,” a Nigerian spinal surgeon trained at Johns Hopkins with practices in Manhattan and New Jersey.
Court documents filed in Manhattan Supreme Court in May 2024 allege that Okubadejo performed unnecessary fusion surgeries to inflate payouts for patients while lining his own pockets.
The case against him remains under scrutiny as authorities continue to unravel the network involved in this elaborate scam
