FBI Alert on Alleged Insurance Fraud Scheme
The FBI is alerting Minnesota businesses about an alleged nationwide workers’ compensation insurance, health care insurance, and pension plan fraud scheme based in California. Businesses that purchased policies from American Labor Alliance (ALA) or one of its subsidiaries nationwide should contact their state insurance regulator to ensure the validity of their policies, and business owners who believe they may be victims should contact the FBI.
Court documents indicate that ALA and its affiliates allegedly offered a broad range of financial services to potential clients, and marketed itself as a special type of labor organization. This case is being investigated by the FBI, U.S. Department of Labor, and the California Department of Insurance.