S1 E51 Chisag Case Unmasking An Injury Fraud Ring

This Deep Dive takes a look into the Affirmation in Support filed by MIDAS CONTRACTORS NYC CORP. in a New York Supreme Court construction accident lawsuit initiated by plaintiff Jose Hualpa Chisag. Midas seeks judicial permission to amend its pleading to include an affirmative defense and a counterclaim for fraud against Mr. Chisag, arguing that the plaintiff intentionally misrepresented and exaggerated his injuries. Midas alleges that Chisag, who initially sustained only a minor wrist fracture, fraudulently sought extensive medical treatment, including an unnecessary cervical fusion surgery, to maximize the value of his claim. The defense asserts that Chisag's case is part of a widespread, orchestrated scheme of litigation involving over 30 interconnected individuals, including family members, who filed similar lawsuits using the same attorneys and treatment protocols shortly after their alleged accidents. The motion highlights that the pattern of injuries, specialized treatments, and specific medical providers used by the plaintiff closely track allegations detailed in two federal RICO Fraud actions against the plaintiff’s law firm and his physicians.

Ultimately, Midas requests leave to amend its answer and to conduct additional discovery concerning the alleged fraudulent conduct.

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