Greater New York Mutual Insurance Company has filed a comprehensive lawsuit against multiple defendants, alleging an elaborate fraudulent scheme designed to exploit the insurance system. The complaint was lodged in the United States District Court for the Eastern District of New York on January 27, 2026, targeting entities and individuals including Liakas Law, P.C., Dean N. Liakas, Nicholas E. Liakas, and others collectively referred to as "Liakas Defendants," among various medical and funding organizations.
The plaintiff, Greater New York Mutual Insurance Company (GNY), accuses the defendants of orchestrating a complex fraud operation that preyed on immigrants and financially vulnerable individuals by staging accidents or exaggerating injuries to inflate insurance claims. According to GNY's allegations, this scheme involved recruiting claimants to participate in fake or exaggerated accidents and then directing them through unnecessary medical procedures funded by predatory litigation loans. The aim was to create the illusion of severe injuries to drive up settlement values from insurers like GNY.
The complaint details how the defendants allegedly operated a coordinated enterprise involving legal services provided by Liakas Law, medical treatments from associated clinics and doctors, and financial backing from companies like Jumpstart Funding LLC. These operations were purportedly aimed at defrauding insurers through sham lawsuits supported by falsified medical documentation. GNY contends that these actions violated several laws, including the Racketeer Influenced and Corrupt Organizations Act (RICO), which addresses patterns of racketeering activity such as mail fraud, wire fraud, and violations of federal statutes like the Travel Act.
GNY is seeking substantial relief from the court under RICO provisions. The insurance company requests treble damages for its losses due to this alleged fraudulent activity, along with attorneys' fees and injunctive relief to prevent further exploitation of claimants and abuse of the judicial system. By bringing this action forward, GNY aims not only to recover damages but also to dismantle what it describes as a calculated effort by the defendants to enrich themselves at the expense of justice and human dignity.
The case is being handled by attorneys from The Willis Law Group PLLC representing Greater New York Mutual Insurance Company. The case ID is 1:26-cv-00450, filed before judges in the Eastern District of New York.