Congressional Members Call for Federal Action

On May 9, 2025, seven members of Congress submitted a formal letter to U.S. Attorney General Pam Bondi urging immediate federal intervention into what they describe as a growing national crisis: staged vehicle and construction-related accidents.

The letter highlights an alarming rise in fraudulent personal injury schemes across multiple states, including New York, Louisiana, and Georgia. According to the lawmakers, these scams are increasingly sophisticated and often tied to organized crime, including MS-13 and Russian criminal networks. One example cited involves a Louisiana ring that resulted in 63 federal indictments, including plaintiff attorneys.

New York was described as experiencing a “fraudemic,” with reports of hundreds of baseless personal injury lawsuits, many involving staged construction accidents. Georgia has seen a spike in deliberate U-Haul collisions, with 63 fraud investigations and 47 arrests since 2014.

The letter also raises concerns about the exploitation of undocumented immigrants who are allegedly coerced into participating in these schemes to repay smuggling debts, sometimes undergoing unnecessary surgeries to inflate settlements.

The members of Congress are requesting the formation of a specialized federal task force involving the Department of Justice, Department of Homeland Security, and Department of Transportation to coordinate investigations and prosecutions. They also call for public awareness efforts and tougher penalties for offenders.

The letter is signed by Representatives Mike Collins, Lance Gooden, Tony Wied, Tom Barrett, Glenn Grothman, Tom Tiffany, and Jimmy Patronis.  🀰