A former New Jersey chiropractor pleaded guilty to theft for defrauding insurance companies with fake auto insurance claims.
Craig Klein, 46, of Ridgewood, N.J., admitted that he set up an illegal chiropractic facility, Hamilton Rehabilitation Center, after he lost his license in 2006 after two convictions for the same type of schemes.
Under terms of a plea agreement, Klein will get probation instead of jail time.
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Klein paid runners – people who stage accidents to get clients – for illegal referrals. He also allowed fake personal injury claims ranging from $500 to $75,000 to be submitted to more than 30 auto insurance companies.
This latest plea marks Klein’s third conviction. In 2003, he staged a similar scam in New Jersey, and another in Massachusetts in 2008.
