State Farm sues 1-800-ASK-GARY

August 6, 2013 at 1:41AM

Excerpt from our blog:

State Farm filed a federal lawsuit in Florida against the founder of the 1-800-ASK-GARY accident referral service, accusing the company of "a massive fraud scheme."

The insurance company accuses Gary Kompothecras of fraud by taking advantage of no-fault insurance benefits that often cover medical expenses for auto accident victims.

State Farm says Kompothecras used 1-800-ASK-GARY to lure accident victims to his clinics, a violation of Florida law. The outcome of the case could affect the company's operations in Minnesota.

1-800-ASK -GARY is familiar to Minnesotans from its heavy advertising on buses, billboards, radio and television.

A lawyer for the referral service described State Farm's lawsuit as an "absurd action."

Alejandra Matos

More at startribune.com/whistleblower

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