The Allstate Insurance Company has filed a lawsuit against several healthcare providers in New York, alleging their involvement in a fraudulent financial scheme. The defendants include Four Square Physical Therapy, P.C., Active Motion Chiropractic, P.C., Roosevelt Family Chiropractic, P.C., Brown Stone Acupuncture, P.C., Fulton Street Acupuncture, P.C., and several individuals associated with these entities.
The complaint alleges that the defendants established "mirror-image" multidisciplinary facilities that were nominally controlled by licensed professionals but were in fact operated by unlicensed individuals. According to the lawsuit, these facilities took advantage of New York’s “No-Fault” insurance regulations by billing for medically unnecessary services or services not rendered. The unlicensed management was allegedly carried out by David Safir and others who oversaw the entities under false pretenses. The insurance company claims this resulted in more than $842,562.26 in improper payments since at least 2020.
The defendants are accused of violating federal RICO statutes, common-law fraud, and unjust enrichment. The insurer is seeking recovery of all funds it claims were wrongfully paid and is requesting a court declaration that it is not obligated to pay any pending No-Fault claims submitted by the named entities due to alleged noncompliance with licensing requirements. The complaint also alleges that fraudulent bills continue to be submitted through U.S. Mail.
The plaintiff is represented by attorneys from King, Tilden, McEttrick & Brink, P.C. The case was filed in the United States District Court for the Eastern District of New York under Case ID 1:25-cv-03843.